Courtesy: Saskatoon Star Phoenix
Prices for Saskatoon bungalows, condos and two-storey homes all rose by more than six per cent during the last months of 2010, Royal LePage Real Estate said Thursday.
With an increase of 6.7 per cent during the same period in 2009, detached bungalows took the top spot for price increases, selling at an average of $331,250 in the fourth quarter.
Prices for standard condos in 2010 rose 6.2 per cent over the year prior, selling for an average of $230,000 at the end of last year.
Standard two-storey homes sold for an average of $359,250 in the fourth quarter of 2010, a 6.1 per cent increase over the same period in 2009.
“The market is performing as earlier predicted for many regions in Canada,” said Norm Fisher, associate broker with Royal LePage Saskatoon Real Estate.
“A strong first half of 2010 and a weaker second half — Saskatoon was no exception to these forecasts.”
The 2010 real estate year saw a jump in the number of people buying homes priced at $300,000 or higher. A significant drop was noted in the number of sales of homes under the $300,000 mark.
“We noticed this trend a few months ago,” Fisher said. “The higher end is strengthening. Saskatoon is on good economic footing with one of the lowest unemployment rates in the country.”
Market inventory rose 35 per cent in 2010 over 2009, a factor Fisher said affected the increase in average home prices.
Nationally, average home prices rose between 3.9 and 4.6 per cent in the fourth quarter.
Royal LePage forecasts a three per cent increase in the price of a home in Canada this year, rising to an average of $348,600.
While prices are on the rise, the agency says home sales in Canada are expected to drop by two per cent in 2011.