City of Calgary, September 2, 2016 – 
Overall sales activity was down again in August, totaling 1,567. However, this figure does not reflect the big differences in activity between the detached sector, versus the high density apartment and attached segments of the market. “While overall sales have eased for detached homes, so too has the amount of new listings on the market preventing inventories from reaching previous highs and limiting the downward pressure on pricing,’ said CREB® chief economist Ann-Marie Lurie. “This is not the case in both the attached and apartment sectors which have recorded inventory levels near August highs.”
The detached benchmark price totaled $503,200 in August, 3.3 per cent below last year, but similar to levels recorded last month. Meanwhile, condominium apartment prices continue to decline totaling $274,900 in August, 7 per cent below last year and are at levels comparable to figures reported at the end of 2013.
Price declines were higher in the apartment sectors, due to the more pronounced imbalance between supply and demand. On average, apartment inventories rose to levels well above historical norms. At the same time, sales are at their weakest level since 2003 causing months of supply to average over 6 months so far this year.
It is really interesting to see how different market segments are reacting to the downturn. The absorption rates for detached homes in the bedroom communities of Airdrie, Cochrane and Okotoks are very different with Airdrie continuing to out-perform Cochrane and Okotoks and even the City of Calgary!
The best time to buy is when there is a lot of inventory from which to choose. For those who are considering taking advantage of the low interest rates to invest in real estate there are several market segments with low absorption rates to choose from. If you are interested in an investment strategy specific to your needs please contact us. We would love to help!
Hope this helps!
Susanita de Diego
Download Calgary and Area Real Estate Statistics – August 2016
