Calgary housing market still weighed down by oversupply, CREA says
'Achieving more stable conditions will take time'
Housing in Calgary is still a buyer's market as there continues to be an oversupply of homes for sale, according to the Canadian Real Estate Association.
Prices fell in November by two per cent, compared to a year ago, while the number of sales so far in 2019 is just above last year's levels, said CREA's latest housing market statistics report.
"Achieving more stable conditions will take time. Sales activity has been settling in at lower levels and is likely being influenced by the economic conditions and uncertainty weighing on our market," said CREA chief economist Ann-Marie Lurie in a release.
The benchmark price for a home in Calgary was $419,100 — just below the previous month's level and two per cent lower than last year's.
"Market conditions continue to vary depending on price, location and product type," the report said.
"For example, prices have ranged from a year-to-date decline of nearly eight per cent for row product in the east district to a two per cent increase for semi-detached product in the north district."
For detached homes, sales in November were comparable to last year but still 20 per cent below long-term trends.
"Like some of the other sectors, the detached market is slowly moving toward more balanced conditions. However, it is still oversupplied, and this trend continues to weigh on prices," the report said.
In the attached sector, sales in November were six per cent higher in November compared to a year ago and just below long term averages.
Nationally, a major rebound in sales in the Greater Vancouver Area and continued growth in the Greater Toronto and Montreal regions propped up sales, while Calgary, Edmonton and Regina saw declines.
Overall, there were 37,213 homes sold through CREA's MLS system, up from 33,437 in November 2018.
The increase in sales came as the national average price for a home sold in November was about $529,000, up 8.4 per cent compared with a year ago. Excluding Greater Toronto and Greater Vancouver, the average price was around $404,000, up 6.9 per cent compared with last year.
With files from The Canadian Press