Housing market in a city near Calgary shifts as inventory skyrockets by 170%
If you are on the hunt for a house just outside of Calgary, a new report has revealed that one city is seeing its housing market undergo some changes.
The Calgary Real Estate Board (CREB) released its regional monthly statistics package for April, revealing that sales in Airdrie totalled 185, an 8.4 per cent year-over-year decline and a 10.1 per cent decline so far this year.
Inventory has shot up in Airdrie, with a whopping 170.6 per cent year-over-year increase, and for the third month in a row, sales activity eased compared to last year’s levels.
The CREB said that despite the declines, sales remain above long-term trends. At the same time, new listings continue to rise, but with 185 sales and 290 new listings in April, the sales-to-new listings ratio reached 64 per cent, an improvement over recent months. Inventory levels continued to trend up this month.
However, after three consecutive years of exceptionally low April levels, inventory is now consistent with long-term trends. With 2.3 months of supply, conditions are moving to a more balanced state, taking the pressure off home prices. In April, the total residential price was $544,700, relatively unchanged compared to both last month and last year’s levels.
Other spots around Calgary to see inventory rise by more than 100 per cent include Chestermere at 113.5 per cent and Strathmore at 102.9 per cent.
Looking at the detached benchmark price for a house in surrounding communities, Canmore leads the pack at a whopping $1,692,400, while Strathmore narrowly beat out High River for the lowest benchmark price for a detached home at $564,100.
CREB
Looking directly at Calgary, the CREB said that ongoing economic uncertainty has weighed on consumer confidence and impacted housing activity in April. A rise in inventory levels helped the market shift to a balanced condition, and the additional supply has helped relieve the pressure on home prices following the steep gains reported over the past several years.
If you are in the mood for more real estate stories, take a look at these five Calgary neighbourhoods that are seeing the most overbidding for homes, or the least and most expensive areas to rent in Calgary right now.
You can check out the full monthly statistics online.