Bleeding slows down in Edmonton real estate market

Posted by on Tuesday, July 5th, 2016 at 4:11pm.

The downward slide in both home sales and prices in the Edmonton housing market leveled off last month.  That’s the good news.

The not-so-good news is that sales are down 11.1% over June 2015.  But for now, home prices on average are holding their own as we head into the slower summer months.

June’s Report

The REALTORS Association of Edmonton reports that 1,117 single-family home were sold in June, which is virtually the same as the 1,119 reported detached home sales the previous month.  That figure is 10.1% less that June 2015 sales.

Condominium activity was very robust in June with 465 units changing hands, 11.5% more that May but well below sales figures from June 2015.  In the attached and semi-attached sector, final sales figures for June came in at 173 which was 14.8% fewer than units sold in May of this year and 9.8% less than June 2015.

In terms of home prices, the average price across the board remained virtually unchanged from year-to-year.  In specific sectors, the story in June was varied.  The average single-family home price was $435,366 which is 1.1% less than May and 1.8% lower than the average detached price a year ago.  The average price of a condominium increased in June to $263,326 which is up 3.5% over May and 2.5% higher than June of last year.  The sale of several luxury condo properties in Edmonton has slightly skewed the average prices. 

In the semi-attached and attached sectors, the average selling price in June was $352,778, up ever so slightly by 0.7% over May but 4.6% higher than the average price in June 2015.

Steve Sedgwick, chair of Edmonton’s REALTORS® Association, stated in his monthly report that the average price is changed little in comparison with the sustained lull in residential sales that has occurred in the past several years.  He pointed to the fact that properties with higher price tags have been responsible for keeping average home prices more resilient.

The number of new listings has dropped month-to-month and year-to-year by 6% and 4.7% respectively with 3,041 listings coming online.  Despite this lag, which could be just a temporary thing, there are 8,179 residential units on the market in Edmonton as of June 30 which is up significantly from previous years. Last June there were 7,177 units on the market and in June 2014, only 5,609.

Sedgwick said that it’s a good time to be purchasing a home under $450,000 as buyers have an excellent selection with opportunity to negotiate a good price.

The number of days on the market dropped by one day from May but was up by 4 days compared to activity in June 2015.  Single-family units took 50 days on average to sell last month while it took 58 days for condos and 53 days for attached units. 

June 2016                                       Change from May 2016            Change from June 2015 

Detached Average:    $435,366                    -1.18%                                     -1.88%

Detached Median:     $404,000                    -1.46%                                      -2.65%          

Condo Av Price:        $263,326                    +3.45%                                    +2.99%

Condo Median Price: $244,000                    +4.72%                                    +2.52%

Residential Listings:        3,041                     -5.94%                                     -4.82%

Residential Sales:            1,785                    +0.79%                                    -11.11%

Residential Inventory:    8,179                      +0.33%                                  +13.96%

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