Stay ahead of everyone else by following our Monthly Market Snapshot of the Calgary Real Estate Market This shows what’s really happening! The market is driven by supply and demand so here we show the inventory (supply) and sales (demand) and most importantly the relationship between the two and how it affects the price of Calgary Real Estate. A simple way to keep up to date with how the market is trending and ahead of most! All numbers are taken from the Calgary Real Estate Boards Stats package for Realtors. I have also included some general comments which are simply my opinion.
Absorption Rate (Months of Inventory) (the inventory divided by the number of sales in the last month). What does this mean you might ask?
| Buyer’s Market | >4.0 | Drives prices down |
| Balanced Market | Between 2.4 to 4.0 | Prices typically remain stable |
| Seller’s Market | <2.4 | Drives prices up |
*** Absorption Rate***
In my opinion this is the most critical number to look at. All categories except for apartment condos increased slightly this month. Apartment condos took a small decrease and this is most likely balancing out from last month when it increased substantially. In summary Detached and Attached homes are doing well while row houses and apartment condos are showing an oversupply of inventory compared to sales.
| July 2016 | August 2016 | Change | |
| Detached | 2.47 | 2.78 | 0.30 |
| Semi Detached | 2.88 | 3.60 | 0.72 |
| Attached – Row | 4.43 | 4.77 | 0.34 |
| Apartment | 6.11 | 5.88 | -0.23 |
| Total City | 3.27 | 3.61 | 0.34 |
Calgary Listing Inventory
August inventory levels stayed almost the same as July Levels
| Inventory | July 2016 | August 2016 | Change |
| Detached | 2746 | 2720 | -26 |
| Semi Detached | 521 | 497 | -24 |
| Attached – Row | 886 | 868 | -18 |
| Apartment | 1558 | 1571 | 13 |
| Total City | 5711 | 5656 | -55 |
Calgary Sales:
Sales in all categories decreased this month which in my opinion is very normal for this time of year with summer holidays and many peoples focusing on getting kids ready to go back to school.
Important note: Sales from July to August 2015 decreased by 193 or 11.7% compared to 10.2% this year.
| Calgary Sales | July 2016 | August 2016 | Change | % Change |
| Detached | 1110 | 980 | -130 | -11.71% |
| Semi Detached | 181 | 138 | -43 | -23.76% |
| Attached – Row | 200 | 182 | -18 | -9.00% |
| Apartment | 255 | 267 | 12 | 4.71% |
| Total City | 1745 | 1567 | -178 | -10.20% |
Calgary Real Estate Sales Prices:
Pricing changes in August were not drastic. Detached and Semi Detached increased while Attached-Row and Apartment categories decreased with the largest decrease in the Apartment category which is the sector with the highest absorption rate. I would expect further price declines in the Apartment condo sector.
| Sales Prices | July 2016 Benchmark Price | August 2016
Benchmark Price |
Change |
| Detached | 502,300 | 503,200 | 900 |
| Semi Detached | 385,200 | 387,100 | 1,900 |
| Attached – Row | 310,300 | 310,000 | -300 |
| Apartment | 277,000 | 274,900 | -2,100 |
| Total City | 440,000 | 440,200 | 200 |
Sales Prices “Year to Date”
Year to date prices
| Sales Prices | Dec 31, 2015 Benchmark Price | August 2016 Benchmark Price | Change
$ |
% Change |
| Detached | 514100 | 503,200 | -10,900 | -2.12% |
| Semi Detached | 393100 | 387,100 | -6,000 | -1.53% |
| Attached – Row | 318500 | 310,000 | -8,500 | -2.67% |
| Apartment | 288,000 | 274,900 | -13,100 | -4.55% |
| Total City | 452800 | 440,200 | -12,600 | -2.78% |
Point of Interest
Just my personal opinion but it is important to note that buyers are still acting as if it is a buyer’s market. What I mean here is they are shopping carefully looking for value and taking their time to make decisions.
Price Sensitivity
It is also important to note that homes in the lower price ranges are still moving much quicker than homes in the higher price ranges.
**Please note that these numbers do change on a community basis and more so for towns. This report does not include rural properties. If you would like to find stats on your community just let me know. If you have any questions about this summary, would like to receive it monthly or Real Estate questions please feel free to contact us.
Tags: Calgary House Prices, Calgary Housing Market, September Market Snapshot