Fifth consecutive month that the benchmark price has declined, says Calgary Real Estate Board

Mario ToneguzziCalgary’s resale housing market experienced a decrease in MLS transactions in October as the number of homes listed for sale remained high and prices dropped, according to statistics released on Thursday by the Calgary Real Estate Board.

The board said it was the fifth consecutive month that the city’s benchmark price has declined.

“Job growth in this city remains a concern, as unemployment levels remain well above levels expected for this year. Rising costs of ownership also continue to weigh on housing demand,” said Ann-Marie Lurie, CREB’s chief economist.

“At the same time, housing supply levels are not adjusting fast enough to current conditions, resulting in price adjustments.”

Here are the highlights of CREB’s monthly stats for October:

  • MLS sales fell 9.88 per cent year-over-year to 1,322;
  • total value of all sales was $619.53 million, a drop of 11.11 per cent;
  • new listings fell by 6.44 per cent to 2,440;
  • the number of homes for sale at the end of October was up by 13.35 per cent to 7,345;
  • months of supply, which indicates how long it would take to sell all the listed homes given the current demand, increased by 25.78 per cent to 5.56 months;
  • on average, it took 60 days to sell a home, up 20.69 per cent;
  • the sales-to-new-listings ratio fell by 2.07 per cent to 54.18 per cent;
  • the sales-to-list price ratio dropped by 0.74 per cent to 96.37 per cent;
  • the city’s benchmark price was down 2.94 per cent to $426,300;
  • the median price decreased 1.14 per cent to $410,250; 
  • the average sale price was off by 1.36 per cent to $468,634.

“With these types of market conditions, many potential buyers should be able to find the home that they are looking for with well-priced listings appearing in certain price ranges,” said Tom Westcott, CREB’s president. “Sellers need to manage expectations and have accurate data in order to be aware of what is selling in their community.”

Mario Toneguzzi is a veteran Calgary-based journalist who worked for 35 years for the Calgary Herald, including 12 years as a senior business writer.

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