Citywide year-over-year sales growth reaches double digits
The monthly statistics package from CREB is available here
Calgary, Oct. 1, 2014 – Calgary's condo
sectors continue to set the pace for the city's residential resale housing
market, which recorded 2,148 sales in September, nearly 12 per cent higher than
the same period last year.
"September's
sales growth was stronger than expected, due largely to a surge in condominium
apartment and townhouse sales," said CREB® chief economist Ann-Marie
Lurie, who credits Calgary's strong economy and fewer options in the
lower-priced single-family market behind the continued demand.
For
the fifth consecutive month, year-over-year condominium apartment sales growth
outpaced growth in the single-family sector. Year-to-date condominium apartment
sales totaled 3,819, a 21 per cent increase over last year. This compares with
a seven per cent increase to 13,842 units in the single-family market over the
same time frame.
Added
supply in the condominium apartment sector, meanwhile, is providing more
choices. New listings increased by 48 per cent in September over last year and
nearly five per cent over last month, further improving inventory levels and
pushing this market into balanced territory.
In
the condominium townhouse market, sales and listings continued its year-to-date
trend, rising 20 and 21 per cent, respectively, compared to the same period a
year ago. Over the first three quarters, 3,002 units have exchanged hands,
relative to the 4,011 new listings.
Despite
and increase in new listings, the condominium townhouse market continues to be
relatively tight, with absorption rates remaining below two months.
"While
overall supply levels have improved, the condominium townhouse sector continues
to reflect the tightest market conditions in Calgary," said CREB®
president Bill Kirk.
New
listings in the single-family market similarly increased in September, helping to
improve inventory levels above two months. A total of 2,148 units entered the
market during the month, a jump of nearly nine per cent compared to the same
period last year.
"While
conditions are now more balanced, the composition of the single-family market
has changed," said Lurie. "One-quarter of year-to-date sales in the
sector has been for product priced below $400,000. Last year, it represented 35
per cent of the market share. Two years ago, it accounted for 44 per cent of
all single-family sales."
The
single-family benchmark price topped $512,800 in September, similar to August,
but a 10.6 per cent increase year-over-year.
Condominium
apartment and townhouse benchmark prices grew to respective $298,900 and
$330,200, reflecting gains of more than 9.5 per cent relative to last year.
"Calgary's
housing market throughout the spring flavoured the seller, resulting in
higher-than-expected price gains," said Kirk. "Now a more balanced
market is relaxing some of that upward pressure on home prices, and prices are
leveling off relative to the previous month. Year-over-year, however, gains are
still in the double-digit range."
Recent
price gains have encouraged listings growth and, ultimately, supply in all
sectors, said Lurie.
"However, citywide inventory levels continue to remain below historical norms, and current demand levels continue to point toward healthy absorption rates," she said.