Calgary house prices and sales rise in September: CREA

Calgary house prices and sales rose in September compared with a year ago, according to the Canadian Real Estate Association.

In releasing its monthly data on Monday, CREA said MLS residential sales in Calgary reached 1,789 units in September, up 11.4 per cent from September 2010 while the average sale price rose by 1.3 per cent on an annual basis to $406,252.

Year-over-year in Alberta, sales rose by 9.7 per cent to 4,316 units while the average price increased by 3.0 per cent to $359,637.

Nationally, MLS sales of 37,760 were up 11.0 per cent from September 2010 and the average price rose by 6.5 per cent to $352,581.

“Canada’s housing market remains stable amid continuing financial market volatility, contributing to Canadians’ confidence in the economy and providing support for Canadian economic growth,” said Gregory Klump, CREA’s chief economist, in a statement. “Interest rates are expected to remain low for longer, and evidence suggests that recent changes to mortgage regulations are preventing the kind of excesses they were designed to avert. Both of these developments are good news for the housing market.”

In October, MLS sales in Calgary month-to-date up to and including Monday have reached 505 single-family units and 181 condo units. For the same October 1-16 period in 2010, there were 421 single-family home sales and 148 condo sales.

So far this month the average MLS sale price for a single-family home is $460,680 while it’s $274,915 for a condo. For the same period last year, the average sale prices were $447,763 for a single-family home and $278,134 for a condo.

Canadian housing continues to look balanced and healthy, as low mortgage rates and a falling jobless rate are offsetting weaker consumer confidence and tighter mortgage rules, said Robert Kavcic, an economist with BMO Capital Markets.

“We continue to expect sales and prices to cool in the year ahead, but the landing should be a soft one,” he said in a commentary.

© Copyright (c) The Calgary Herald

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