Calgary real estate looks like it’s starting to find some firm ground, with condo numbers showing improvements. January numbers from the Calgary Real Estate Board (CREB) did show further price erosion. Not great, but inventory and sales did show promising signs of finding a better balance in the future.
Prices Are Still Declining
Condo prices across the city declined in all but one area year-over-year. The benchmark price is now $269,900, which represents a 4.96% decline from the same time last year. The largest decline was in East Calgary, where the benchmark fell 12.95% to $200,400.
The one sector that bucked the trend was North East Calgary. There the benchmark price rose to $273,200, a 0.92% increase from the same time last year. As you likely noticed, prices are still a little soft when compared to the rest of the country’s almost parabolic rise.
New listings in Calgary are starting to rise again. CREB saw 626 new condo listings in January, which was a 4.68% increase from the same time last year. This caused total condo inventory to rise by 1.36% to 1,269 units. This isn’t necessarily a bad thing, but greater inventory that doesn’t find sales can push prices lower.
Speaking of sales, condo sales did show encouraging growth. CREB logged 151 sales, which is a 17.05% increase from the same time last year. At the current rate of sales, that puts condo condo inventory at 8.4 months. Still a buyers market, but the 13% decline from the same time last year shows it’s getting closer to a balanced market.
Declining prices aren’t great in any market. However, it looks like Calgary condos may be finding a better balance between sales and listings. 2016 wasn’t a great year for condo sales, but 2017 is off to a better start so far.
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