Here is our update on the Edmonton real estate market. (Previous week’s numbers are in brackets). For the past 7 days:
New listings: 599 (617, 550, 558)
# Sales: 293 (254, 273, 321)
Ratio: 49% (41%, 50%, 58%)
# Price changes: 554 (511, 522, 563)
# Expired Listings: 270 (261, 787, 72)
# Canceled/withdrawn/terminated listings: 65 (55, 158, 163)
Net loss/gain in listings this week: -29 (47, -668, 2)
Active listings for single family homes: 4236 (4242, 4183, 4457)
Active listings for condos: 2910 (2901, 2882, 3094)
We had a question this week about the number of vacant and never lived in homes on the market, out of the 4236 single family homes on the market 1316 are vacant and for condos 1054. In other words, 33% of the listings on MLS are vacant!
Thanks Sara and Sheldon for bringing the result on time. I was expecting lower sale which is quite opposite!
Still long way to go to eat up whole inventory.
Gr8 Job
Thanks
I have a question.
There are some houses for sale by Realtors. But they are not listed on the MLS web page. (I am certain it’s not the typical time delay after it’s sold.)
What is the official status for these houses? Are they counted as inventory?
Thanks!
***Only homes in the MLS database are counted as inventory. Sara. ***
Oh Thanks for the result on time.
Oh, wait until people can no longer take out those 0% down, 40-year mortgages this fall. That will cull plenty of buyers from the market.
From Canadian Mortgage Trends:
A few more thoughts from our end:
* The median Canadian family makes $66,343 a year according to the last census. Other things being equal, that’s enough to qualify that family for a roughly $328,300 house–if they choose a 40-year amortization. (assuming prime rate and $3,000 a year for property taxes and heat)
* If, however, the family can now access a 35-year mortgage at most, the maximum they can qualify for drops to $312,615.
* The moral is, if you need a 40-year amortization or $0-down loan, buy soon. 5-6 lenders have already pulled 40-years and $0-down mortgages from the shelves, and the other lenders could do so at any time as well (even before the October 15 transition).
If we don’t see a September Rush, then there’s going to be a huge amount of support removed from the market.
just my two cents as I’m shopping for a new house in Sherwood Park to be ready next year(hopefully). Apparently a major developer in Sherwood Park sold a huge number of lots to the builders at the peak, so buying a new house in Sherwood park isn’t going to get cheaper anytime soon. Compared to Hamptons on the West End, there is a 50K premium for Sherwood Park, which is crazy. It’s an interesting dynamic in the Edm market at the moment.. It seems that homes are selling fast in some neighborhoods while other areas have numerous For Sale signs drooping and weathered after sitting for months on the front lawn. One thing I know is that the vultures and bottom feeders are definitely out there in full force.. The New home sales people I’ve spoken with advise that they are now getting cancelations from buyers who signed contracts at the peak for for homes nearing completion. I’ve been advised that Realtors are very interested in these opportunties and want to get their clients first crack at buying these homes at a discount.
Sara’s video isn’t sugar coating the real estate scene. Telling it pretty much like it is.
Quit ingonring me Ned from Winnipeg.
I am still waiting for your one fundamental reason why Winnipeg will outperform Edmonton over the next few years????
Your 4.5% EI isn’t the answer, it is 3.3% in Edmonton.
At least back your words up before posting the same stuff over and over again.
One logical reason, that’s all I am asking. I’m dying to hear this “refreshing logic” you claim to have stashed in your head…
***Ned won’t be responding. He’s been blocked for being a troll.***
and I meant “ignoring”. Ned probably needed that helper…
Ned it turning this blog into a preschool class, not the forum of intelligent discussion that it should be! Seriously, you guys are gonna lose readers if you don’t axe this clown. I know I’ll be on my way out soon… and I have a condo to list too, maybe I’ll find someone else.
***Thanks for the comment. I appreciate that Ned has ruffled some feathers. Unfortunately we can’t babysit him full time and have dealt with some of his comments and his trolling. The best thing to do with Ned is ignore him.
ned,
you are right, all Albertans are going to Moncton, but not a single one to Winnipeg!
ned,
I grew up in Moncton, it is nice. A lot of the maritimers will return home, if the work is available, as it slowly is becoming. But, Canada has always seen provincial migration back and forth. So, Irving Oil builds a new refinery in Saint John NB, 1000 NB’ers in Fort Mac go back home. Then 1000 unemployed plant workers from southern ontario fill the void. The circle of life continues, but one constant remains….The only part of winnipeg these people see is from the By-pass Highway.
Something is not right…..
We saw a large property today with great architectural features, in a prime location.
On the market for 3 months, price reduced once, but still 21% above the current City Tax Assessment.
Could be a lovely property that should hold its value well, in the long term, with a good cleaning and some cosmetic updates.
We told the listing agent that we might make an offer, but only at 75% of the asking price.
Instead of laughing us out of his office and telling us to get real, he told us that he was very confident that the buyers would seriously consider such an offer!
Now we are wondering whether he is right, in which case closing this sale would be way too easy.
Either he is hoping we’ll get carried away and enter negotiations that end up closer to the asking price, or this property is seriously overpriced, and we would probably still be overpaying.
I guess it’s a puzzling market right now for everybody involved!
The stats do indeed look good. Seems that the whole bubble talk and market shifts don`t affect Edmonton. Seems that actually nothing changed. the Numbers are fairly the same, but as it was said here, just wait for the 40-year mortgage to stop. Than the numbers will scramble. Inventory going up, sales going down and if the prices don`t go down, it will stay like that.
Elli
Anybody know what percentage of new mortgages are of the 40-year variety?
mdm,
We sold our house in Edmonton last year close to the peak and got an excellent price. The purchasers renoed it a bit and listed it 3 months ago at a whopping 60% over the price they paid for it, WAY above the city assessment, way above what any reasonable person would pay for it. Since then, it’s been reduced once but is still way way too high.
Something is not right, indeed…what’s not right is that there are still a whole lot of sellers (and/or realtors) out there who think it’s still 2007, and all they have to do is wait long enough for the right sucker to come along.
Sorry to be so blunt.
wj,
Sarah’s stats today on absorbtion rates might give your flippers nightmares