An improvement in detached home sales is driving a slow recovery for the Calgary housing market.
Data from the Calgary Real Estate Board shows 1,342 sales of all home types in February, 19 per cent below long-term averages but better than the past two years and up almost 19 per cent from February 2016.
Benchmark prices were lower for all property types with apartments and attached homes losing 2.9 per cent and 5.1 per cent respectively. The detached benchmark edged higher from January but was 1 per cent below February 2016 at $501,900.
CREB president David P. Brown says that a sense of optimism has returned to the market’s sellers but there is also some caution that a surge in listings could be on the way. Realistic pricing is key.
Inventory for now has tightened; down from 5 months of supply a year ago to 3.4 months; while the sales-to-new-listings ratio has grown from 39 per cent in February 2016 to 55 per cent last month.
“It will take some time for these conditions to translate into all housing segments and achieve price recovery,” said CREB chief economist Ann-Marie Lurie. “But all indicators continue to point toward a slow transition from a contracting market toward one that is stabilizing at lower levels.”
Steve Randall has more than three decades of media experience encompassing online, newspapers, magazines, radio, and podcasts. He focuses on insights and news for professionals in finance, real estate, and legal services. Steve writes for multiple Key Media titles in Canada, United States, Australia, and New Zealand.
