Calgary Real Estate Board - Calgary MLS® June 2009

Calgary Home Sales Increase for 6th Consecutive Month

The number of single family homes and condos sold in June in Calgary metro are both up from the same time a year ago.

MLS® sales activity of single family Calgary metro homes was 1,837 in the month of June 2009 showing an increase of 16% from 1,584 sales in May 2009, according to figures released by the Calgary Real Estate Board (CREB®). This is the 6th consecutive month home sales have increased in Calgary Metro. This was an increase of 28% from June 2008 when single family home sales were 1,439. The number of condominium sales for the month of June 2009 was 738, an increase of 13% from the 653 condominium transactions recorded in May 2009 and a increase of 33% from June 2008 when 556 condominiums changed hands.

"This is the 3rd consecutive month we are seeing our inventory return to a balanced market," says Calgary Real Estate Board President Bonnie Wegerich. "Our inventory turnover for single family homes and condos in metro Calgary is now just over 2 months. This is a remarkable shift from the nearly 11 months of inventory we saw in January of this year."
"A rise in demand along with fewer listings has helped bring supply in balance with demand," says Wegerich. "Affordable prices, low interest rates and pent-up demand continue to fuel this gradual rebound. Should this trend continue, I think we can confidently say the bottom of the market has come and gone before many buyers had a chance to notice.".

The average price of a single family Calgary metro home in June 2009 was $447,142 showing an increase of 2% from May 2009 when the average price was $436,427 and showing a decrease of 6% from June 2008 when the average price was $473,774. The average price of a Calgary metro condominium was $285,595 showing a 4% increase from May 2009 when the average price was $275,212 and showing a decrease of 9% over last year when the average price was $315,042. Average price information can be useful in establishing trends over time, but does not indicate actual prices in centres comprised of widely divergent neighbourhoods, or account for price differentials between geographical areas.

"It is not the buyer's market we saw in January of this year. As our inventory trends lower, choice and selection will decrease. Nonetheless, there are still great opportunities out there for buyers." says Wegerich.
"The good news is that pricing remains relatively affordable," says Wegerich. "We are not liable to see significant price gains in 2009, but more likely a gradual and steady improvement in home values."

Single family Calgary metro new listings added for the month of June totaled 2,244 with no change from May 2009 when 2,235 new listings were added and showing a decrease of 19% from June 2008 when 2,787 new listings came to the market. Calgary metro condominium new listings added in June 2009 were 927, down 7% from May 2009 when the MLS® saw 998 condo listings coming to market. This is a decrease of 25% from June 2008 when condominium listings were 1,234.

The median price of a single family Calgary metro home in June 2009 was $399,000 showing an increase of 2% from May 2009 when the median price was $390,000 and down 2% from June 2008 when the median price was $408,000. The median price of a condominium in June 2009 was $265,000 up 4% from May 2009 when the median was $255,000 and down 6% from June 2008 when the median price was $282,000. All Calgary Metro MLS Statistics include properties listed and sold only within Calgary's City Limits. The median price is the best price that is midway between the least expensive and the most expensive home sold in an area during a given period of time. During that time, half the buyers bought homes that cost more than the median price and half bought homes for less than the median price.

"We are encouraged by this upward trend in sales but there are still some economic fundamentals need before we see a full recovery in the housing market," added Wegerich. "A rebound in employment and oil prices will have a significant impact on the housing market in Calgary ----we expect this won't take effect until the beginning of 2010."

The Calgary Real Estate Board is a professional body of 5,142 licensed brokers and registered associates, representing 256 Member offices. The Board does not generate statistics or analysis of any individual member or company's market share. All MLS® active listings for Calgary and area may be found on the Board's website at www.creb.com

Jim English

Your Calgary Real Estate Specialist
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