Employment numbers and housing costs have converged to pull down the Calgary market’s home sales activity, according to the latest report by the Calgary Real Estate Board.
“Job growth in this city remains a concern, as unemployment levels remain well above levels expected for this year. Rising costs of ownership also continue to weigh on housing demand,” CREB chief economist Ann-Marie Lurie said.
No asset class was left unscathed. Detached home sales fell by 8.6% compared to October last year, while condo apartments shrank by almost 7%.
Attached housing units posted the greatest decrease, falling by 15% year-over-year and 14% below long-term averages.
Read more: Alberta’s most and least affordable home markets
The total number of homes sold in Calgary last month was 1,322. Meanwhile, inventory was at 7,345 – a near-record-high for the city’s housing supply.
“Housing supply levels are not adjusting fast enough to current conditions, resulting in price adjustments,” Lurie added.
The city’s benchmark home price also fell by 2.9% year-over-year to settle at $426,300. October 2018 was the 5th straight month of decline in the sale value of Calgary’s residential units.
Calgary’s commercial spaces a prime candidate for cannabis
Edmonton would-be buyers guardedly eyeing their purchases
Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate