MAY 2016

NEWS

Calgary, May 2, 2016 – Market imbalance in Calgary’s residential resale housing market continued to weigh on citywide prices in April.

Much like the previous month, year-over year sales fell while new listings increased, resulting in inventory gains across all sectors of the market.

As a result, benchmark prices in the city declined by 0.4 per cent from last month, and 3.4 per cent from last year, to $441,000.

For sellers, the reality of seven consecutive months of price declines has started to sink in, said CREB® president Cliff Stevenson.

“From re-considering the listing of their home to lowering expectations on price, sellers are beginning to adjust to the current market reality,” he said. “However, some buyers in the market are still not willing to pull the trigger because they expect even bigger discounts. And so that gap between buyers’ and sellers’ expectations still persists across many product types and locations.”

Despite this, the detached sector fared better relative to the other sectors of the market. While detached sales activity has fallen by over four per cent so far in 2016 compared to last year, the sales to new listings ratio improved in April. This prevented sharper inventory gains and caused months of supply to move toward more balanced levels.

The same cannot be said of other market sectors. Year-to-date apartment and attached sales declined by a respective 19 and 13

per cent compared to last year. Slower sales, combined with rising inventories, ensured that market conditions continue to favour buyers in these segments.

“While the weak economic climate is influencing demand, the apartment and attached sectors are further impacted by increased supply in the competing new home sector and rental markets,” said CREB® chief economist Ann-Marie Lurie. “This is one of the contributing factors to the steeper price declines recorded in the apartment sector.”

Since the start of the price declines monthly unadjusted benchmark apartment prices have declined by 7.6 per cent, while semi, row and detached have declined by a respective 5.9, 4.6 and 4.1 per cent.

MINDING THE GAPSellers continue to adjust pricing expectations

CITY OF CALGARY INVENTORY & SALES

SalesInventoryPrice

ark Benchm EB®Source: CR

Ellyn Mendham, Tom Westcott,& Michele SwiggumYOUR CALGARY REAL ESTATE SOLUTIONS

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MAY 25 - 28

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JUNE 5

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CALGARYEDITION

Calgary has North America’s largest urban pathway system, measuring in at nearly 800km.

There are 120 languages spoken in Calgary and 25% of our population is foreign born.

Canada’s best selling cocktail, the Bloody Caesar, was invented in Calgary.

You can walk 16 kms throughout downtown Calgary without having to step outside. The Plus 15 system connects over 100 buildings via a series of bridges 15 feet above the ground.

Calgary has over 8,000 hectares of park land within the city limits.

The Bow River is one of 3 top Trout streams in the world. Anglers come from all over the world to try their luck at landing Brown Trout.

Ginger Beef was created in Calgary in 1974 by a chef at the Silver Inn.

The median age in Calgary is 36.0 yrs of age, with 50.09% of the population female and 49.91% male (2011 Census.)

Calgary ranks as the cleanest city in the world by Mercer Global Financial (2015) and ranked #33 worldwide on the Mercer Quality of Living Survey (2015).

The Bow is the tallest office tower in Canada outside of Toronto.

Source:visitcalgary.ca

Ellyn Mendham, Tom Westcott,& Michele SwiggumYOUR CALGARY REAL ESTATE SOLUTIONS

R E A L T O R S ®

RE/MAX REALTY PROFESSIONALS403-259-4141 w w w. C a l g a r y R e a l E s t a t e S o l u t i o n s . c o m