By Norm Fisher January 3, 2014 - The Saskatoon Region Association of Realtors® (SRAR) released the MLS® residential real estate statistics for December of 2013 today accompanied by the following release. Please note that many of the association’s comments touch on “year-to-date” numbers, and some are based on all sales within the board’s trading area. The charts which you see, as always, reflect activity within the city of Saskatoon on a month-to-month basis over the past several years.
Dollar volume for real estate sold in the Saskatoon market area (all types and categories) reached a record $1.9 billion by year end due in part to a four percent increase in the average sale price to $344,000 over the previous year.
The number of active listings available in Saskatoon was up 20 percent. “The number of new homes listed over $500,000 has increased. Also, when we see overpriced listings sit for a while they tend to be re-listed at a lower price which falsely inflates the true number of ‘new’ listings,” comments Jason Yochim, Executive Officer for the Saskatoon Region Association of REALTORS®.
“Still, a nine percent increase in the number of units listed compared to only a increase of just one percent in sales for the year reflects a softening in our market.” The sales to listing ratio (percentage of listings that actually sell) for the Saskatoon market was 47 percent for 2013 compared to 51 percent for 2012. This reflects a shift to more of a buyer’s market. “Some price ranges and areas of Saskatoon have less inventory and have a sales to listing ratio of 57 percent or greater. These would include some of the older areas and west side neighbourhoods with homes under $500,000.” says Yochim.
In 2013 the Saskatoon Region Association of REALTORS® recorded a total of 5,670 sales. Of these sales 1,661 were in the price range between $350,000 and $500,000 while 507 sales exceeded $500,000. The price range with the greatest increase over 2012 was between $450,000 and $500,000 at 36 percent. The next highest increase in sales year-over-year occurred in the $750,000 to $1 million range by 33 percent with 61 sales. Within the city of Saskatoon, 4,202 homes were sold throughout the year.
“From time to time the subject of affordable housing comes up. Saskatoon sits quite well when compared to the rest of the country with an average sale price of slightly more than four times of the average annual household income,” according to Yochim. “Some cities, like Vancouver, are double this ratio.” Through various incentive programs and housing alternatives, the consumer has many options to choose from when looking at purchasing their first home on a tight budget.
In 2014, Yochim expects that the market will remain in balanced territory with a sales to listing ratio in the low 50 percent range and with the average days to sell being around 45 days.
Copyright Norm Fisher Royal LePage Saskatoon Real Estate