Advertisement

Edmonton home sales drop, time on market grows as real estate cools

Click to play video: 'Edmonton home sales drop, time on market grows as real estate cools' Edmonton home sales drop, time on market grows as real estate cools
WATCH: Realtors say we’re in a buyers' market – a drastic change from just a few months ago. As Morgan Black reports, Edmonton recorded its first large drop in the real estate market in a long time.

After a hot couple of months, Edmonton recorded its first large decrease in the real estate market in July.

According to the Realtors Association of Edmonton (RAE), home sales dropped 23.8 per cent in July from June of this year, and saw a year-over-year drop of 10.3 per cent from July 2021.

Single-family home sales were down 12.4 per cent from July 2021 and 24.4 per cent from June 2022.

Read more: Home sales down 3% in Calgary as of July as interest rates rise: real estate board

Condo sales fell 1.6 per cent from July 2021 and 22.1 per cent from June 2022, while duplex/rowhouse sales dropped 12.7 per cent year-over-year and 21.3 per cent from last month.

“This is the first time this year that we’ve seen such large decreases in our month-over-month statistics in the Edmonton real estate market,” said Paul Gravelle, board chair for the RAE.

Story continues below advertisement

And Gravelle says the market hasn’t bottomed out yet.

Read more: Toronto-area home sales down 47% from last July, 24% from June: real estate board

“Although July is typically a slower month for real estate due to holidays, we expect to see a continued downward trend as we get closer to the start of fall,” he said.

Click to play video: 'No conditions, offers over asking, homes snatched up fast: Edmonton’s real estate market heating up' No conditions, offers over asking, homes snatched up fast: Edmonton’s real estate market heating up
No conditions, offers over asking, homes snatched up fast: Edmonton’s real estate market heating up – Mar 3, 2022

Listed homes are sitting longer and selling for less, too.

Single-family homes averaged $489,370 — a five per cent year-over-year increase, but a month-over-month drop of one per cent. Those homes are sitting an average of 33 days on the market, six days longer than in June.

Read more: Home sales, prices in Metro Vancouver and Fraser Valley continue to drop

Story continues below advertisement

Condominiums sold for an average of $229,463, seeing a small decrease of 4.4 per cent year-over-year and 3.7 per cent compared to June 2022. Those are taking an average 52 days to sell, five days longer than the previous month.

Click to play video: 'Ask the Expert: Navigating Edmonton’s hot real estate market' Ask the Expert: Navigating Edmonton’s hot real estate market
Ask the Expert: Navigating Edmonton’s hot real estate market – Apr 18, 2022

Higher interest rates are being blamed for a slowdown in real estate markets across the country.

In Toronto, July sales fell 47 per cent from the same time last year and 24 per cent from this past June.

Residential home sales in Metro Vancouver saw more than a 40 per cent decrease, comparing July 2021 to this year and a nearly 25 per cent drop in just one month.

Click to play video: 'Albertans feeling the pinch as Bank of Canada hikes key interest rate' Albertans feeling the pinch as Bank of Canada hikes key interest rate
Albertans feeling the pinch as Bank of Canada hikes key interest rate – Jul 14, 2022

Sponsored content