New listing levels starting to match sales

A new report indicates the segment of Calgary's resale residential housing market with the greatest influence on the overall market is showing signs of pricing stability.

The detached benchmark price totaled $503,400 in September, which is 3.3 per cent below last year, but the second consecutive month at this price level, reported CREB® today.

While overall economic conditions remain soft, for now the detached sector is demonstrating some steadiness in terms of pricing, the member-based organization said.

Housing market offers some surprises, different perceptions, say local experts

A quick look at today's real estate market might not exactly fill first-time homebuyers with optimistic anticipation. Yet dig deeper and there's plenty of reason to get excited, say housing experts.

Even though home sales are down by double-digit percentages in terms of units sold and money spent compared to a year ago, the average selling price is up slightly — about two per cent, to $474,605 in August, according to CREB®.

Detached versus higher-density segments paint different pictures of health

Overall resale residential housing sales activity in Calgary was down again in August, totalling 1,567, reported CREB® in its monthly housing summary.

However, the organization noted 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.

Calgary's aging sandwich communities seek their place in shifting housing landscape

What's old is new again. It's an apt description of homebuyers' newfound interest in Calgary's sandwich communities – those not-quite-inner-city neighbourhoods that long outgrown their suburban roots.

Built along what was then the city's outskirts starting in the late 1950s, these detached-heavy communities such as Thorncliffe, Huntington Hills, Ogden, Winston Heights, Albert Park, Fairview and Kingsland represented optimism and prosperity synonymous with the post-Second World War era.

Fast-forward several generations later and upwardly mobile generation-Xers and millennials are returning to their birth places, attracted by location, ample amenities and familiarity.

Districts, housing types tell different stories about Calgary's housing market in August

Fewer new listings within Calgary's resale residential housing market continued to moderate price declines last month, according to new statistics.

Yet experts note what's arguably more interesting is how the interplay between new listing levels and prices within the city's districts, and even housing types, are providing consumers with some much-needed intel on their next purchasing decision.

Satellite communities showing similar signs of strain; officials still optimistic

Feeling the pinch of a slowing economy, smaller satellite community housing markets have mirrored a downward drift in prices compared with Calgary but continue to be an attractive draw for buyers.

Depending on the region, CREB®'s mid-year forecast update has shown only a slight reduction in sales compared to long-term trends and actual growth in other outlaying districts.

Still buzzing with plenty of activity in new-home construction, Airdrie sales activity slowed in 2016 but hasn't dropped compared to five-year averages. A continual inventory build-up has kept new listings on pace with the past three years for Airdrie, which experienced a 5.37 per cent population growth since last summer and has recently surpassed 60,000 residents.

Breaking it down by the numbers

Earlier this year, CREB®Now published a feature on five things you needed to know about CREB®'s 2016 Economic Outlook & Regional Housing Market Forecast. With the REALTOR® organization recently updating the document, we revisit those insights on what's to come:

17,321

After originally forecasting 18,416 sales in 2016, CREB® is now predicting Calgary's activity to fall to 17,321, a 3.8 per cent drop from last year. By sector, revised estimated peg detached to decline by five per cent, while attached and apartment will be down by eight and 19 per cent, respectively. Meanwhile, CREB® chief economist Ann-Marie Lurie said the year began by favouring buyers, but is exhibiting more balanced conditions in areas such as the detached sector.

CREB®'s mid-year update cites tough start to 2016, forecasts continued challenges moving forward

Calgary's housing market will continue to battle recessionary conditions during the second half of 2016, but the worse might be behind it.

That's the word from CREB® as it released a mid-year update to its annual Economic Outlook & Regional Housing Market Forecast.

"With no near-term changes expected in the economic climate, housing demand is expected to remain weak for the second consecutive year as resale activity is forecasted to decline by eight per cent in 2016," said CREB® chief economist Ann-Marie Lurie, who authored the report.

Indicators suggests Calgary's housing market might be evening out

New housing market statistics are reinforcing the emergence of so-called balanced conditions in Calgary.

In its monthly stats package for June, CREB® noted key segments of the local market are seeing increased price stabilization brought upon by more moderate sales declines and listing increases.

CREB® chief economist Ann-Marie Lurie singled out last month's detached sector, which saw new listings decline at a faster rate than sales (five and 3.7 per cent, respectively) for only the second time in the past 12 months – the last time coming in January. As a result, the sector's benchmark price totaled $502,400, which was 0.4 per cent higher than May, yet still 3.4 per cent lower than last year's levels.

Resiliency in the detached and semi-detached markets temper price fluctuations

Calgary home prices continue to slide in most areas of the market, but not at the rate that many might expect, reported CREB® in its June housing summary. (Click here for the full report.)

CREB® partly attributed June's stats to resiliency in the detached and semi-detached sectors of the market, where sales compared to new listings and standing inventory started returning to more balanced levels.

"The detached market has been gradually moving towards more balanced conditions, helping to prevent price levels from declining at the faster rates we saw in the previous two quarters," said CREB® chief economist Ann-Marie Lurie. "While this is welcomed news for sellers, it's very likely that pricing challenges will persist in the housing market until economic conditions start to improve."