Home sales spiked 49% in Western Canadian province

If last month was any indication, Saskatchewan’s real estate market will be on fire this year.

Sales surged by 49% year-over-year across the province in January, according to the Saskatchewan Realtors Association (SRA), hitting from 919 from 616, while new listings decreased by 5% to 1,758 from 1,855, which were 10% below the historical averages. Eighteen of the 19 markets covered by the SRA also reported lower inventories.

“We haven’t seen a January like this since 2012,” Chris Gbekorbu, the SRA’s economic analyst, said in a news release. “Although it is only one month and another COVID-like event could slow things down again like it did last March and April, this strong start should help us be optimistic for 2021.

The SRA speculated that fewer houses on the market in conjunction with higher demand could cause prices to spike, which might impel sellers to come out of the woodwork.

In Saskatoon, sales increased by 26.9% to 278 last month from 219 in January of last year, with the overall region recording 364 sales, up from 290. The volume of sales also climbed to $96.9 million last month from $71.5 million in January 2019, putting it 33.7% above the five- and 10-year averages. The average home price in the city rose to $320,300 from $305,800.

New listings in Saskatoon declined by 2.5% in January to 557 from 551 during the same month last year, 7.9% below the five-year average and 10.6% below the 10-year average. The city’s active listings also dropped by 24.5% to 1,037 from 1,373.

In the provincial capital, sales surged by 75.5% to 193 in January from 110 during the same month in 2019, which were 32.4% above the five-year average and 29.2% above the 10-year average. Regina’s sales volume last month reached $61.1 million from $37 million a year prior.

New listings in Regina marginally declined by 1.7% to 338 from 344, while active listings decreased by 30.2% to 839 from 1,202 in January 2019. The average price of a home in the city increased by 4.7% to $278,600 from $266,100.