It would seem that the market in Edmonton refuses to believe that the Alberta economy is not doing very well.
The Edmonton REALTORS® Association released its August figures and home prices remain fairly stable even though inventory is up and prices are ever-so-slightly lower. Compared with the average home price in August 2015, the average home price in all property types in Edmonton was nearly the same at $369,956. That's 4% below July's average.
Average prices in the detached market segment also fell by 4% from $450,366 down to $434,362. Single family home prices in August last year were consistent with this year's figures.
There wasn't as much price movement in the condominium segment. The average price last month was $251,526 which is only 2% less than July's average and only a 1% difference from condo sales in August 2015.
The same holds true for the attached home segment. The average price for a duplex or row house in August was $344,377, which is 1% lower than July's average and 2% less than prices in August 2015.
Association chairman Steve Sedgwick said in his monthly report that the economy in Alberta has been under extreme pressure for a prolonged period of time and despite that, home prices in Edmonton remain strong. Compared to the state of the residential market in August 2015, prices have dropped by 1% and 2% which is remarkable given the circumstances throughout Alberta.
In August, 1,433 home were sold so by volume, sales fell by 5% from July and 2% from the previous August. Breaking that down, 861 units were detached homes. That figure is 3% fewer homes than was reported in August 2015. There were 406 condos sold, which is 6% fewer units that last year and 136 attached homes sold, which is actually 11% more than the number of duplex or row houses that sold in August 2015.
There were also fewer homes hitting the market this August. Actually, 5% fewer listings than July and 6% fewer listings than in August 2015. It took an average of 55 days to sell a property in Edmonton in August, the same number as last summer. That number in July was 54. Single family homes sold the quickest at 49 days, followed by attached homes at 56 days and condos with an average of 62 days.
Sedgwick reported that the weeks leading up to September are part of the cycle when there are fewer listings and fewer sales. He admitted that part of the stability in Edmonton's average all residential prices are the properties priced in excess of $750,000. These sales keep the average home price figures somewhat elevated.
August 2016 Change from Aug 2016 Change from Aug 2015
Detached Average: $434,362 -3.55% -0.80%
Detached Median: $400,000 -1.72% -0.00%
Attached Average: $344,377 -1.07% -2.02%
Attached Median: $325,250 -0.23% -4.62%
Condo Av Price: $251,526 -2.31% -1.12%
Condo Median Price: $235,000 -3.29% -0.15%
Residential Listings: 2,747 -5.11% -6.25%
Residential Sales: 1,433 -5.41% -2.18%
Residential Inventory: 7,908 -1.74% +9.42%