Calgary Real Estate Market Statistics for February 2019
Media release: Oversupply of housing market as we feel the chill
City of Calgary, March 1, 2019 – Weak sales activity continue, and inventory remains elevated in the city’s housing market due to effects of Calgary's economic climate.
Prices are being affected, as a result.
CREB® chief economist Ann-Marie Lurie states “It is not a surprise that slowing activity in the housing market has persisted into February.”
“There has been no substantial change in the economic climate and concerns regarding potential layoffs in the energy sector are weighing on confidence.”
Benchmark prices citywide were $414,400 as of February. Almost five per cent below January’s last year, 10 percent less than recorded 2014 highs and slightly lower than figures for last month.
Price declines and slower sales appear to influence sellers even though the market remains oversupplied. Compared to last year, this month new listings eased by eight per cent, with a total of 2,211 units. Inventory levels remain elevated at 5,885 units, even with sales of 976 this month.
HOUSING MARKET FACTS
- Detached sales were 1,079 units for the first two months of the year. That is roughly 30 per cent under long-term averages and 13 per cent down from last year’s levels. Activity persisted below normal levels over all city districts and sales eased except the North West.
- Year-to-date new listings were 2,544 units, roughly overall a two per cent decrease from last year’s levels. New listings adjustments showed a range of a 23 per cent decline in the North district and 15 per cent increase in the North West district.
- Average inventories in the detached category increased by 25 per cent so far this year, despite new listing adjustments. Whereas the North East and East districts, considered the more affordable detached areas, show fallen inventories compared to last year.
- Prices continue in a down trend with detached inventory remaining beyond five months. Citywide benchmark prices for detached were $475,600, more than 5 per cent over February records and below last months by 0.2 per cent.
- Activity in sales continued to slow with 149 sales, despite the apparent apartment affordability.
- Continued new listings declines for the seventh consecutive year showing an impact on inventory levels, not alike to the detached sector.
- Inventories eased, but February’s slow sales kept supply near nine months. February inventory totalled 1,301 units, which was 9 per cent below last years recorded levels.
- Apartment condo prices have fallen over the previous monthly highs by 16 percent. Prices in February were $252,300 for apartment condominium, similar to last months recorded levels and a decline compared to last year of 1.7 per cent.
- Benchmark prices have eased citywide, but modest gains recorded in some city districts. Pointing towards price stability in parts of the market, but not enough to negate prior declines.
- Inventory levels are over 4 per cent below levels compared to last year. With stable conditions in the attached sector, prices staying consistent and unchanged from last month with a near seven months of inventory.
- Similar to the apartment sector, activity varied somewhat depending on the location. Compared to last year semi-detached benchmark prices eased by over 5 per cent, sharpest declines appearing in City Centre and South districts.
- Marginally improved prices in the North district.
- Prices in the semi-detailed sector eased over all districts related to last year and persist roughly 14 per cent below monthly highs. Decline in row prices close to 4 percent compared to last year. Row prices decreased by nearly four per cent in comparison to last year.
REGIONAL MARKET FACTS
- Airdrie housing sales totalled 150 units in 2019. Which is 27 units below recorded levels from the same time last year, but corresponding to the past 10 years recorded activity average.
- Inventory levels increased to 448 units, even with new listings easing compared to 2018. Months of supply elevated at five months due to low sales activity and higher inventories.
- In February detached prices have totalled 355,200, which is 4 per cent lower than 2018 in the same time period.
- Residential sales year-to-date in Cochrane persist comparable to levels last year, due mostly to detached sale growth.
- Months of supply levels overall remained just shy of seven months. There was an increase in inventory levels, with new listings in first two months comparable to the same period in 2018.
- Compared to last year an oversupply in the market has caused prices to decline. The February detached benchmark price of $413,300, on a year-over-year basis, was 1.3 per cent lower that price levels in 2018.
- New listings were far more than sales activity even with new listings in the Market easing compared to last year. Causing rising inventory and months of supply remaining elevated at ten months. For the first two months of 2019 sales activity shows a decrease of 30 units compared to last year.
- Benchmark prices in February continue to be affected with persistent oversupply of detached homes with prices at $411,500. Showing a 4.6 per cent decrease from last year and 1.3 per cent lower than last month.