Since the markets were more or less turned off this time last year, we took a look at the ten year averages to compare instead of comparing year over year. The total amount of sales across Alberta in March exceeded the ten year average for the month by 56%.
The hot spots in the Province continue to be the bedroom communities such as Cochrane, Okotoks and Airdrie…plus Canmore. The markets across the Province are all moving quite well with most out performing the ten year averages for sales.
The big question right now is how long this can last, and will the newly implemented restrictions have an impact. The truthful answer is that no one knows for sure as anything can, and has happened in Real estate….and then you add a Pandemic to the mix. We continue to be in unknown territory.
However, given that we have come through the past year without the bottom falling out of the market, consumer confidence has returned to Real Estate. All indications support the strong markets to continue as the first time home buyers are fuelling the market, allowing teh move up buyers to make a move up the property ladder. With incredibly low interest rates, increased savings and limited options as to where to spend money, people are choosing Real Estate.
While the current pace is not fully sustainable, there are currently more buyers than homes available. Based on the fact that we had just under 14,000 showings on CIR Realty’s listings alone for the month of March, that suggests that there are many buyers still seeking homes.
|Busy is an understatement as CIR Realty’s activity continues to skyrocket! While showing activity has continued to taper down across the Province, we had 13,908 showings on CIR Realty’s listings in the month of March!!! The week over week showings have slowed coming into April, but that is not the case for transactions. To put it into perspective, March was our busiest month in company history by over 55% the last company record!! In the first week of April we are 10% ahead of the first week in March which suggests that it is going to be an even busier month to come!|
Airdrie had one of the best months on record for total transactions in the month of March! In fact, the sales numbers were 96% higher than the ten year average for sales in March. The increased sales activity, and lower inventory has kept most of the market in a sellers market, with the exception of the Apartment style condos which are edging towards a balanced market. These trends continue to lower days on market, and are having upward pressure on pricing.
The sales in Brooks were 62% higher in total sales compared to the ten year average for the month of March.The market remains to be in very balanced conditions, which is helping lower days on market and the total months of inventory. With sales occurring in the higher price ranges, the pricing has risen but that does not seem to be indicative to the values in the area, just which price points are currently selling.
Calgary’s sales in all price ranges have greatly exceeded the recent years past for the month of March! In fact, the total volume of sales exceeded the ten year average for the month of March by 55%. With the lower inventory levels, and increased sales, the months of supply continues to lower as all sectors with the exception of Apartment style condos have moved into the sellers market territory. This has led to lower days on market and increases in prices across the board.
The hot streak continues in Camrose as sales in March exceeded the ten year average for the month by 84%! The starter and move up markets are both doing well and we are seeing prices continuing to edge upwards as inventory levels remain low.
Canmore has now moved all sectors of its market into a sellers market as the months of supply are all below 2 months. Interestingly enough, as the price points in the market increased from $200,000 to $1,000,000+, so did the number of transactions. With sales in the town exceeding the 10 year average for March by 140%, it continues to be one of the hottest markets in the Province!
Cochrane continues to be one of the hottest markets in Alberta, as the total number of sales in March exceeded the ten year average by 122% and hit all time new records for both sales and new listings coming onto the market! With the steady performance of the market over this past year, each sector has moved into a sellers market with the exception of the Apartment style condo which remains in balanced territory. The increased sales combined with lower inventory is leading to lower days on market and increases in prices.
Crowsnest Pass had another large jump in activity with the sales in March exceeding the ten year average for the month by 109%! With the continued performance in sales, and lower inventory rates, the months of supply have dropped and are helping stabilize pricing in the area.
Lethbridge’s market continues to be carried by most of the sales occurring in the $200,000 – $400,000 price range, but sales did increase across all price ranges. In fact the sales for the month outperformed the ten year average for the month by 61%. The detached and semi detached markets continue to rise while the row and apartment style are still lagging behind with the row housing remaining balanced, and apartment style still well within a buyers market.
Okotoks continues to have low inventory levels and sales are trending well above average which has led to sellers market conditions in all sectors. The sales in March exceeded the ten year average for the month by 81%. Home prices have continued to rise in the detached, semi detached and row sectors due to the market conditions, however the apartment style condos have yet to see increases but we anticipate that to change with the low inventory and active market.
Olds is one of the slower markets in the Province….which sounds funny to say because sales are trending 23% higher than the ten year average for sales in March. With inventory levels being lower than years past, combined with the heightened sales, the months of inventory continue to lower bringing the market closer to a balanced market. We are seeing prices stabilize and anticipate balanced conditions coming into Spring.
Red Deer’s market continues to be a very busy balanced market for across all sectors except for the Apartment style condos that are still in buyers market territory. The total sales for the month of March exceeded the ten year average for the month by 37%, and listing inventory remains low which is contributing to the market picking up. There are upward trends on pricing in the detached sector as a result of the low months of supply. We expect these trends to continue into the Spring market.
Rocky Mountain House had the strongest sales in March since 2014 with sales exceeding the ten year average for the month by 33%. With the sales activity and the lower inventory, it has helped lower the months of supply, and the days on market. While the market remains to be more of a buyers market, these improvements are moving it towards a balanced market which is stabilizing pricing.
The Strathmore market continues to strengthen as sales in March exceed the 10 year average for the month by 69%. The large portion of the market selling is in the $200,000 – $400,000 range. Given where the most sales are occurring will likely explain the benchmark price lowering month over month but if this activity continues we do anticipate stronger pricing around the corner.
Stettler had a great March with sales trending 25% higher than the ten year average for the month. What we are seeing in Stettler is different from much of the rest of Alberta as there is a relatively normal amount of inventory on the market for this time of year. This is a result of more new listings coming onto the market which should help keep market conditions balanced.
Sundre’s sales continued to climb in 2021 as the transactions in March were 25% higher than the ten year average for the month. The steady sales, and low inventory is leading to improvements in pricing as the Benchmark price rose month over month.
-Steve Phillips, CIR Realty