It’s now a buyer’s market when it comes to Edmonton real estate
EDMONTON – Inventory is up and sales are down in Alberta’s capital city when it comes to real estate. That is the takeaway from the fourth quarter results from the Realtors’ Association of Edmonton.
Overall sales in 2015 were down nine per cent compared to 2014. Inventory was up 66 per cent over 2014. Sales of duplexes and row houses were up six per cent. Condo sales were down 13 per cent.
“2015 was a steady year for real estate in Edmonton,” said Association Chair Geneva Tetrault.
“Edmonton and the surrounding areas experienced a decline in sales due to economic uncertainty, but we saw a slight increase in price that demonstrated that the market remained relatively stable.
“This began to cool in the fall months as inventory remained higher than normal.”
There were 17,298 residential sales reported in 2015 compared to 18,991 in 2014.
Meanwhile, in Calgary, residential sales plunged 26.3 per cent in 2015 compared to the year prior.
Watch below: It’s become a buyer’s market in Alberta
While sales were down, prices were still slightly up. The sale price of single family homes was up approximately one per cent to an average price as $437,569. The average price of a condo in 2015 was $252,954 (up 0.4 per cent from 2014).
“We continued to see home buyers take advantage of low mortgage rates,” Tetreault said. “An influx of listings at the beginning of the year meant that buyers had a larger selection of homes and were able to take more time selecting properties than in previous years.
“We continue to see a tight market in the popular $400,000 price range for single family homes.”
Tetreault had some advice for those looking to sell their home.
“They’ve really got to consider their area, the price point that they’re in, what recent sales are doing and market trends,” Tetreault said.
“If they’re pushing the price up that’s probably going to be detrimental. They really need to be priced properly to sell.”
Brendon and Ashley Eaglesham have had their house listed in Allard since October. They’ll get possession of their new home in February.
They have had to drop their listing price by $35,000. While they’ve had a lot of showings, their realtor says buyers are taking more time before they commit.
Realtor Christy Cantera says the tables have turned since last March. She describes the market now as “very sensitive” and says many homes are sitting on the market longer. Cantera also says there’s an influx of “builder spec homes” for sale.
Realtors are meeting at Northlands Wednesday for their housing forecast. Edmonton’s chief economist will also be there.
© 2016 Shaw Media