The numbers are out for the Edmonton real estate market for June 2008. You may remember back in April we predicted inventory would peak by June and it looks as though it may have peaked in May.
The number of new listings in June was down from May by 7% to 3985 which had more of an impact on inventory than the flat-lining sales:
Prices are also holding fairly steady at $341,376:
Single family home average prices dropped 0.5% while condo prices rose 0.5% over May, while single family homes are up .25% since the beginning of the year and condos are down 3%.
As you can see inventory remains above the normal levels for Edmonton, this means buyers have a lot to choose from and sellers have a lot of competition:
So I thought I’d throw in a new chart this month: Supply vs. Demand. A lot of people seem confused – how can prices be dropping when Alberta’s economy is so strong? Well it’s a simple story of supply vs demand, as you can see, thins are a little out of whack:
Both the absorption rate and the sales to new listings ratio suggest we are in a balanced market (the absorption rate is (5.8 months, which means if inventory and sales remained steady it would take 5.8 months to sell all the homes on the market):
