November 2, 2016 / News
The Edmonton and Calgary Real Estate Board have both published their respective market statistics for the month of September, 2016. Here is Citytrend’s overview of the September Real Estate Trends in Alberta.
The month of September saw an increase in sales from 1,422 sales in 2015 to 1,645 sales in 2016. This is the first increase year to year in a very long time. With fewer listings from 5,622 in 2015 to 5,425 in 2016, the inventory is not the reason behind the increase. The increase may be the result in the mortgage rules providing the motivation for buyers to pull the trigger before their purchase power erodes below their price target. Next month will be the test to see if the market is improving or if the spike was the result of the new mortgage rules. Prices seem to be stable with an average price of 1.02% and a Median Price decrease of 2.15%.
The month of September saw a decrease in sales from 1,543 in 2015 down to 1,339 in 2016. This monthly decrease is consistent with the annual trend of a decrease of approximately 8%. The annual decline in activities still placed the pace above 2013 levels, marking a clear distinction with Calgary over the last 3 years. With an average sales price increase to $373, 926 in 2016 from $368,276 in 2015, Edmonton is reaching an average record price this month.
The markets in Calgary and Edmonton have been progressing at their own pace for the past 3 years. Although both economies have been affected by the provincial recession, Edmonton has been more resilient with its employment, making its real estate market slower but positive. Calgary is still facing uncertainties. The September Real Estate Trends are still not deviating from the patterns of the past two years. The next 3 months will be key in setting the tone for 2017.