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Saskatoon home sales up, prices down in December: SRAR

Home sales up, prices down in December: Saskatoon Region Association of Realtors.
Home sales up, prices down in December: Saskatoon Region Association of Realtors. Devin Sauer / Global News

The Saskatoon Region Association of Realtors (SRAR) said changes to mortgage rules that came into effect on Jan. 1, 2018 may have contributed to an increase in home sales during December.

SRAR said 205 homes were sold during the month, an increase of 11 per cent from December 2016.

WATCH BELOW: Tougher mortgage rules for home buyers now in effect

Tougher mortgage rules for home buyers now in effect
Tougher mortgage rules for home buyers now in effect

The agency also reported the number of active listings declined dramatically, with 18 per cent fewer homes on the market in December compared to a year ago.

SRAR CEO Jason Yochim said market fatigue could be a factor in the listings decline.

“This decrease in listing activity could be the result of seller’s fatigue from having been on the market for an extended time period without securing an offer,” Yochim said in a statement.

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He noted there was a positive to the numbers.

“The increase in December sales and decline in new listings is a positive for decreasing high inventory levels.”

READ MORE: Mortgage changes have negative impact on Saskatchewan housing market: expert

Home prices continues to decline, with the median price falling by 3.3 per cent in December to $324,000, while the average price declined by a half point to $339,520.

The Home Price Index (HPI) composite benchmark dropped 3.7 per cent to $295,100, the lowest level it has been at since March 2012.

SRAR reported sales of just under $1.6 billion in 2017, a decline of nine per cent from the previous year.

It was the third straight year overall sales volume in Saskatoon declined after reaching a peak of $2.1 billion in 2014.

The number of homes sold during the year was down five per cent to 3,491, and the number of home on the market also declined three per cent to 8,972.