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Home sales in Regina and area continue downward trend in July: report

A real estate sign is pictured in Vancouver, B.C., Tuesday, June, 12, 2018. The Alberta Real Estate Association is providing its members with an emergency response app after a Realtor was sexually assaulted at an open house in Calgary last month. THE CANADIAN PRESS Jonathan Hayward

Home sales in Regina and area are on par with this time last year, but remain below longer-term averages.

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That’s according to a report released by the Association of Regina Realtors (ARR) on Friday.

There were 314 home sales reported in July, which is only five less than in that same month in 2018.

The five-year average for homes sold in July is 329, and the 10-year average is 347 sales.

“Although sales for the city are below five and 10-year averages, they have jumped over numbers posted in July of ’16,’17, and ‘18, which is good news for the overall market,” said Rob Reynar, Manager of Operations of the Association of Regina REALTORS® Inc.

In Regina proper, there were 254 sales reported in July, up 5.3 per cent from 2018 when 240 were posted. That number is below the five-year average of 284 and the 10-year average of 261.

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So far this year there have been 1,903 homes sold in Regina and area, and 1,587 in Regina proper, up 4.8 per cent from 2018.

WATCH: (July 16, 2019) Regina real estate least attractive in Canada: survey

When it comes to the cost of homes, that number is still on a downward trend.

The MLS system, operated by real estate boards and Associations in Canada, determined the benchmark price in the city of Regina in July was $269,400, which is down $281,000 from just one year ago. The benchmark price is determined by a Home Price Index, which ARR says is a “much more accurate measure of housing price trends than average or median price,” according to the Association of Realtors of Regina.

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It’s also down 9.6 per cent from five years ago.

MLS Benchmark Price (a “much more accurate measure of housing price trendsthan average or median price,” according to the Association of Realtors of Regina, and Average Price of homes sold in the city of Regina. Provided / ARR

That downward trend is due to “elevated supply levels and lower levels of demand,” according to the report.

“After a comparatively good start to the year up to April, sales levels in May and June were very disappointing, falling well below historical levels,” said Gord Archibald, CEO of the Association of Regina Realtors last month.

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Despite the persistent dropping percentages, the year did start off on a high, with the 2019 average being above the 2018 and five-year average.

At the end of July, there were 1,624 active residential listings for sale in the city on the market, down 7.2 per cent from 2018’s 1,751.

In that month alone, 650 new listings in Regina and area were put on the market, which is about level with 2018 when 649 were placed on the market.

In Regina, there were 496 homes put on the market in July compared to 514 last year — a decrease of 3.5 per cent.

In 2018, there were 3,737 homes for sale from January to July; during the same time frame for 2019, there were 3,388.

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When it comes to how many homes are put on the market and how many are sold, the ratio is 51 per cent to 49 per cent in Regina and area for July.

That’s considered a balanced market ratio, but the market is not considered “balanced,” until it has stayed in that range for a number of months.

“The market appears to be swinging more into balance as we continue through the summer months.” said Reynar.

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