According to Re/Max, average residential price in Regina rose the highest of any major market in Canada, by 9.56% annually in the past 10 years. Saskatoon was not far behind, ranking third at 9.25%. The national average was 6.82%.
Reginaâ€™s average residential prices set a new high for January, rising up to $260,000, according to the Association of Regina Realtors. Thatâ€™s up 10% from the previous high set the month before.
The average selling price in Saskatoon rose 11% in January from a year earlier, going from $270,265 to $300,353. The city is home to the youngest and fastest growing population in Canada, according to a report last week by Statistics Canada.
Saskatoon surpassed Albertaâ€™s major cities in growth for the first time in decades. Regina ranked third in population growth, behind Vancouver.
Statistics Canada said international immigration had a lot to do with the growing numbers of Saskatchewan residents.
That coincides with a drop in housing starts in Saskatoon, according to the Canada Mortgage and Housing Corporation (CMHC).
In January, construction began on 140 houses in Saskatoon, dropping 26% from the 161 starts in the same period in 2010, according to CMHC. In Regina, construction resulted in 127 housing starts last month, compared to 94 a year earlier.
But both cities will see home construction proceed at a slower pace this year, according to Michael Fabiyi, a market analyst with CMHC in Saskatchewan.
â€œLast yearâ€™s heightened pace of production fuelled an increase in supply, particularly units under construction in both Regina and Saskatoon,â€ Fabiyi said in a news release. â€œAs a result, some moderation from last yearâ€™s elevated pace of activity can be expected in the early months of 2011.â€
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New reports this week by Re/Max and two Saskatchewan real estate boards both show significant home price gains.