Lower Sales and Stable Prices in May Housing Market
May saw the housing market relax a bit with slightly lower sales than the same period last year and prices that were, overall, stable. Regardless of the drop in sales, current sales figures are favorable in comparison to levels that were set in 2008. According to Larry Westergard, president of the Realtor Association of Edmonton, financial incentives, changes in the qualifying rules for mortgages, and the threat of mortgage rate increases caused a peak earlier in the year, with more buyers exercising their options in April, leaving the customer base for May a bit leaner.
In May, the average price for a single family home in Edmonton rose by around one percent to around $390,583. The price for a condominium dropped about two percent to around $248,526, while row houses and duplexes were down around two percent to an average price of $320,204. But overall, the average residential price was up .025 percent to an average of $340,192.
May saw 3,670 residential listings with sales of 1,682 properties, yielding a sales-to-listing ratio of 46%. Just as in April, the average time to sell a home was 44 days, and the inventory at month’s end was 8,780 residential units, up a bit from April’s 8,056 available units. If sales remain at their current level, this inventory will last for more than five months.
Westergard went on to encourage buyers, sellers, and realtors to relax and enter into a sales transaction without any pressure, while also warning that he does not mean that you should delay making or accepting an offer that you find attractive. Westergard says that with fifty to sixty homes selling every day, you do not want to see the home of your dreams getting snapped up by someone else who is a bit more eager. Additionally, according to Westergard, the realtor can be not only an expert advisor and coach when it comes to making a decision about buying a home or selling a home, but also a calming influence.
