After a strong start to 2020, economic conditions have dramatically changed, as COVID-19 is impacting all aspects of society.

The economic impact is starting to be felt across many industries. This includes the housing market.

This month saw a double-digit gain in sales, but last February was one of the slowest levels of activity since the late '90s.

With the extra day this February, monthly sales totaled 1,197 units.  A combination of these two factors resulted in a 23 per cent improvement over last year, but sales remain well below longer-term trends and consistent with the lower levels reported over the past five years.

Housing market conditions continue to follow similar trends to last year, with gains in sales.

At the same time, there have been further reductions in new listings and inventory, and more declines in prices.

December sales improved to levels more consistent with activity recorded over the past five years. This follows weak sales activity last year.

A stronger second half in 2019 was enough to push annual sales up by one per cent.

CREB^®Now sat down with CREB® chief economist Ann-Marie Lurie to discuss takeaways and surprises from the 2019 housing market in Calgary and area.

Year-to-date residential sales in the city remain just above last year's levels due to improvements in the attached sector so far this year.

However, November sales activity eased over last year's levels, mostly due to pullbacks in the apartment sector.

Sales activity in October improved by nearly 10 per cent compared to last year, driven mostly by improvements for apartment and attached product.

For the third consecutive month, sales activity improved over last year's figures, and year-over-year new listings and inventories eased. This trend will help support more stability in the housing market.

From mortgage stress test relief and red tape reduction to general economic good news and jobs to boost consumer confidence, Calgary's housing industry is cautiously optimistic the recent change in provincial government could help cross a few items off its wish list.

However, that all hinges on the new United Conservative Party (UCP) government following through on its campaign promises.

Winter is more about skis and snowballs than buyers and sellers. But as the warm weather emerges, so does a renewed interest in real estate. Now that hope springs eternal, a little knowledge of the market will prevent you getting snowed under.

While navigating their spring housing prospects, consumers must consider the economy, the local market and their personal situation. Overall economic conditions have seen little change in recent years, with high unemployment and limited job growth. The effect in Calgary is that demand generally remains low, but there are some promising signs.