This year started as a buyers’ year, much the same as last year ended.
According to the Calgary Real Estate Board both sales volumes and sale prices dropped again.
January sales totaled 763 units, which is 13 per cent below last year. While new listings declined by 16 per cent compared to January 2015, the number of new listings far outpaced the sales, causing inventory gains.
The median sale price of residential units dropped 3.1% compared to prices in January 2015, to $409,000.
The aggregate benchmark price of $447,300 in January was 1.21 per cent lower than the previous month and 3.27 per cent below the January 2015 price of $462,400. However it still remains 4.41 per cent above the January 2014 price of $428,400.
The number of new listings active in the Calgary market is up by 16% from 4,357 in December 2016 to 5,022 – a difference of 665 which is nearly a month’s worth of sales. This means there is currently about six months’ worth of homes available and if this trend continues, housing prices could start slipping at a more accelerated pace.
The number of days on the market also increased last month to 50 days. That’s an increase of 22 per cent from the previous January.
While all property types have recorded price contractions from recent highs, the largest price declines have occurred in the apartment sector as this segment has had elevated months of supply since the second quarter of 2015.
The apartment benchmark price totaled $281,900 in January, a year-over-year decrease of 6.35 per cent and 2.12 per cent lower than the previous month’s price. In fact, apartment sector prices have once again fallen below the 2007 monthly high of $301,500.
The sector that remains relatively balanced is single family detached under $500,000.
Current real estate market in Calgary is in favor of buyers. More choice and low interest rates create opportunity for buyers to carefully consider their housing needs and make a decision that works to their benefit.
CREB® continues to advise sellers to review their housing needs and to give careful consideration as to their lifestyle needs and to future financial goals before selling or pricing their home.
CALGARY HOUSING MARKET STATISTICS: January 2016
Source: Calgary Real Estate Board
COMBINED CALGARY RESIDENTIAL SALES
Sales: 764 (-12.88%)
New Listings: 2,741 (-16.15%)
Active Listings (Inventory): 5,022 (+ 4.8%)
Median Sale Price: $408,250 (- 3.26%)
Average Sale Price: $453,632 (-1.52%)
CALGARY DETACHED HOME
Sales: 465 (-12.92%)
New Listings: 1,488 (-18.95%)
Current # of Listings: 2,546 (-1.28%)
Average Days on Market: 48 (+29.35%)
Median Sale Price: $457,500 (-4.79%)
Average Sale Price: $520,871(-0.82%)
Sales: 129 (– 15.69%)
New Listings: 601 (-19.33%)
Current # of Listings: 1,253(+4.59%)
Average Days on Market: 59 (+7.27%)
Median Sale Price: $251,000 (-6.69%)
Average Sale Price: $281,296 (-8.15%)