Saskatoon & Region

---

The Saskatoon housing market continued its 2019 trend toward balance last month, as REALTORS® listed fewer but sold more homes than in the previous November, reported the Saskatoon Region Association of REALTORS® (SRAR) Wednesday.

City listings fell 16 per cent to 451 from 534, as sales jumped 20 per cent to 243 from 203. Although the average price was down three per cent, to $333,295 from $343,361, dollar volume rose 16 per cent to $81 million, up from $69.7 million.

Including the surrounding region, new listings were down 12 per cent to 694 from 791, while sales rose eight per cent to 317 from 294 for a dollar volume of $102.3 million, up one per cent from $101.7 million.

In the region alone, including communities such as Warman, Martensville and Dalmeny, new listings fell 11 per cent to 159 from 179, and sales were down nine per cent to 58 from 64. However, the average sales price rose four per cent to $314,650, up from $301,490, for a dollar volume drop of five per cent to $18.2 million.

“It’s encouraging to see strength in sales and a slight decline in listings coming to the market, to keep it balanced,” said Jason Yochim, CEO of the Saskatchewan REALTORS® Association (SRA.) All Saskatchewan REALTORS® associations will amalgamate under the SRA banner in January, 2020.

Year-to-date numbers reflect similar trends. So far this year, and with only one month to go, Saskatoon agents have listed 7,443 homes to the MLS®, down three per cent from 2018’s 7,646, and sold 3,401, up seven per cent from 3,167. Sales are also up from 2017’s 3,286.

The average sales price of $331,457 is statistically the same as last year’s, bringing the dollar volume up seven per cent to $1.1 billion, up from just over $1 billion.

In the region, 900 homes have sold so far in 2019, down five per cent from last year’s 943, and listings have fallen three per cent to 2,789 from 2,874. Dollar volume is down eight per cent to $265.5 million from $289.8 million. The average price dropped four per cent to $295,141 from $307,352.

At the end of the month, Saskatoon had 1,534 homes on the market, down 11 per cent from 1,716 at the same time last year, while the region had 947 homes, down eight per cent from 1,032.

“It’s healthy for the market to see the number of active listings continue to shrink slightly,” said Yochim. “Two years ago, we were tipping over 2,100 at the high-water mark, so 1,500 is certainly good.”

* statistics received from SRAR, Jason Yochim, CEO of SRA

As the weather cooled in October, residential sales in Saskatoon, Prince Albert and the Battlefords warmed over last year, the Saskatoon Region Association of REALTORS® (SRAR) reported today.

In the city of Saskatoon, sales rose seven per cent to 306, up from last October’s 285, helping to drive the dollar volume up five per cent to $97.5 million from $92.6 million. Listings also rose marginally to 599, up one per cent from 591. The average selling price fell two per cent to $318,450, down from $325,016.

Trevor Schmidt, interim CEO of SRAR, noted that the average five-year median sales price — $333,154 has not changed much over the past several years.

“This year, we’re tracking at the same level as the five-year average,” he said. “The market is neither high nor low; it has stabilized.

Another indication of stability in the Saskatoon market is the average length of time it takes to sell a home. Both in October and year-to-date, that average was 54 days.

“The five-year average is 55,” noted Schmidt. “Things have been quite stable considering what’s happened with the economy.”

“It shows the importance of using a REALTOR® to price properties according to what’s happening in the market, which helps foster a quicker sale.”

Year-to-date, 6,992 homes have been listed to the Multiple Listing Service® System (MLS®), down two per cent from 7,111 in 2018. Of those, 3,160 have sold, up seven per cent from 2,962, at an average price of $331,349 — statistically stable with last year’s $332,012. The dollar volume broke through the billion-dollar mark to $1.05 billion, up six per cent from $983.4 million last year.

In Saskatoon and area, which includes such communities as Dalmeny, Warman and Martensville, sales rose five per cent to 414, up from 393, in October. Year-to-date sales are up three per cent to 4,213 from 4,072, and also up from 4,099 in 2017.

Unit listings in the city and region fell two per cent to 889 from 904 last month, and also dropped two per cent year-to-date, ending October at 10,710, down from 10,895 in 2018. While the dollar volume was down two per cent in October, to $129.2 million from $132.4 million, the year-to-date volume is up two per cent to $1.365 billion from $1.342 billion.

The region alone saw a six per cent drop in listings, to 208 from 222, in October, and a seven per cent hike in sales to 88, up from 82 last year. Dollar volume in the region fell 13 per cent to $24.7 million from $28.5 million. The average selling price came in at $281,534, down 19 per cent from $348,038.

Active listings ended October down four per cent to 3,442 in Saskatoon and area, from 3,584 in 2018 and also down from 3,725 at this time in 2017. In the city, 1,712 listings were available, down five per cent from 1,808, and 1,020 homes were on the market in the region, down seven per cent from last year’s 1,095.

* statistics received from SRAR, Trevor Schmidt, Interim CEO of SRAR

April house sales jump 18 per cent in Saskatoon regio

April housing demand in the Saskatoon region was the strongest in three years, as sales jumped 18 per cent over the same month of 2018.

The Saskatoon Region Association of REALTORS® (SRAR) reported 513 sales on the MLS® system, up from 433 last April and 414 in 2017. Those sales generated a dollar volume of $169.6 million, up 12 per cent from last year’s $152 million and 14 per cent from $147 million in 2017.

Year-to-date, sales are up seven per cent to 1,440, as compared to 1,342 in 2018 and 1,368 in 2017. Dollar volume is up three per cent to $460.2 million from last year’s $447.8 million. The spring market usually brings an increase in listings, and April followed that tradition. Listings rose four per cent to 1,295, although year-to-date listings are down slightly to 3,971 from 3,989.

Compared to the 4,475 properties posted in the first four months of 2017, however, listings are down significantly.

“People came out of hibernation and said, it’s time,” said Jason Yochim, CEO of SRAR. “We’re seeing the beginning of a spring market, which is nice.”

Other factors potentially influencing the market include stable interest rates and lower prices, he added.

“There’s less inventory and people are buying what they’re finding on the market,” Yochim said. “It’s feeling more like it’s time to make that move.”

In the city of Saskatoon, the number of properties brought to market actually fell two per cent in April to 774, down from 787 last year and significantly down from the 842 listed in April, 2017.

Year-to-date, 2,511 homes have been listed, down three per cent from 2,594 in the same period of 2018. Listings in 2017 were considerably higher, at 3,024.

April sales in the city proper came in at 380, up 14 per cent from last year’s 333 and generating a 16 per cent increase in the dollar volume, to $130.4 million. That figure is up from both 2018 and 2017, when $112.7 million and $113.6 million in sales were recorded, respectively.

So far this year, Saskatoon sales are up seven per cent to 1,047, up from 978 in 2018.

The average selling price in the city increased one per cent to $343,121 in April, up from $338,438 last year. Year-to-date, the price remains down by two per cent at $327,995.

The region surrounding Saskatoon, including towns and cities such as Warman, Martensville and Dalmeny, saw a whopping 25 per cent increase in dollar volume to $31 million on 105 sales, up 36 per cent from 77 last year. The average price was down eight per cent to $295,780.

Active listings in Saskatoon as of April 30 were down three per cent to 1,778 from 1,834 last year, and up four per cent in the region, to 1,083.

Stronger sales activity was reflected in Saskatoon’s sales to listing ratio, which at 49 per cent is considered a balanced market.

“It’s an encouraging sign,” said Yochim. “A balanced market offers a good equilibrium, with a good balance of buyers and product from sellers. Depending on how long it lasts, it helps slow the decline in pricing.”

New housing starts are down considerably, which is also affecting the market. March, for example, saw a 33 per cent drop in single family home starts and a 70 per cent fall in multiple units. It will take some time before the rising demand spurs more building, because there is always a lag between an improvement in sales and starts, Yochim said.

Prince Albert and region also recorded improved home sales, which rose 25 per cent to 60 units, up from 48 last year. Dollar volume jumped 26 per cent to $12.2 million from $9.7 million last April. Listings were up a marginal two per cent, to 168 from 165. In the city itself, sales were up 41 per cent to 38.

“That’s encouraging for P.A., because the market was quite depressed for a number of months,” Yochim said.

Activity was less robust in the Battlefords region. Sales rose 17 per cent in April to 35, up from 30 last April, but dollar volume dropped 35 per cent to $5 million from $8 million. Listings, however, fell seven per cent to 138.

Every market, including the strengthening Saskatoon market, comes with its own challenges for buyers and sellers, noted Yochim.

“If you want to know how the recent changes in the market affect your individual home and needs, it’s best to contact a SRAR member. They have the knowledge, experience and objectivity to help you make good decisions about your personal circumstances.”

Month of March - Springing Up

After a fairly strong February, the city of Saskatoon’s March housing market had spring in its step as both new listings and sales rose over last year, by five and 11 per cent respectively.

The Saskatoon Region Association of REALTORS® (SRAR) reported 702 listings were posted to the Multiple Listing Service® (MLS®), up from 668 last March, but significantly down from 850 in 2017.

Sales jumped 11 per cent to 258, up from 233 last year but down from 308 in March 2017. At the same time, the average selling price dropped four per cent to $316,445, down from just over $328,000 a year earlier, partly due to a higher proportion of entry-level home sales below $400,000. There was also a significant decrease in the number of sales recorded between $400,000 and $450,000.  Even so, the dollar volume of homes sold increased seven per cent to just over $81.6 million, up from $76.5 million a year earlier.
 
“We’re coming into the spring market, and the degradation of prices over the last three year has made it a little more attractive out there. People do get a little bit more optimistic in the spring,” said Jason Yochim, CEO of SRAR.

“Some of that optimism may have sprung from the federal government’s recent policy announcement regarding changes to home buyers’ plan, which provides a five per cent interest-free loan on existing homes, and 10 per cent on new homes, to first-time buyers. Our industry has been lobbying for changes such as this for a long time.”
 
The Saskatoon Region, which includes smaller communities in the Census Metropolitan Area, saw a five per cent increase in listings, to 1,084 (up from 1,034 in 2017) and a four per cent increase in monthly sales, to 359 (up from 345). Listings generally begin to trend upward as March, and spring, approach.
 
Excluding Saskatoon, regional listings were flat with last March and sales fell nine per cent to 77, down from 85. The selling price dropped 12 per cent to $275,000. In 2019 so far, Saskatoon and region listings, taken together, are down two per cent to 2,675, 1,736 of those in the city proper. Sales are up two per cent to 929, up from 909 in 2018, and dollar volume has fallen one per cent to $213 million, down from $215.5 million. Active listings sat at 3,184 at the end of March, down one per cent, with 1,611 of those in Saskatoon, down four per cent.

While the 2019 market has been kinder to home sellers than in the last three years, it remains important to price properties appropriately to present conditions, said Yochim. The sales to listings ratio was 37 per cent in March, which still signifies a buyers’ market.
 
“Home sellers, not to mention buyers, can benefit from the knowledge a REALTOR® brings to a housing transaction. REALTORS® know how to help a seller arrive at a realistic price, and they are also professionals who subscribe to a strict code of ethics. They can guide sellers, and buyers, through the process, and help them make the best decisions.”
 
OTHER REGIONS
 
The spring market has had a slower start in Prince Albert and region, where listings rose four per cent to 128 (from 123 last March) and sales fell 10 per cent to 38, down from 42.  Dollar volume was down 29 per cent to $6.7 million, from $9.5 million in the same month of 2018. However, the statistics tend to appear more dramatic to the smaller size of the market.
 
It was a similar story in The Battlefords region, where listings rose five per cent to 120 units, up from 114 a year ago, and sales fell three per cent to 32. However, that was a drop of just one unit from last year’s 33 sales.  Dollar volume fell 37 per cent to $4.5 million from just over $7 million. The region did, however, see an increase in the average price of four per cent to $188,000. Dollar volume was down 22 per cent to $4.5 million.

“The market is considerably more challenged in smaller cities. Saskatoon hasn’t been affected as much on sales activity because of our diversified economy.”

February listings drop, sales rise in Saskatoon region

Despite the very cold temperatures in February, Saskatoon and region home sellers found a little warmth as new listings dropped seven per cent and sales rose six per cent. The Saskatoon Region Association of REALTORS® (SRAR) reported 731 homes were listed, down from 783 in the same month of last year, while sales rose to 296 from 280. The dollar volume of homes sold through the Multiple Listing Service (MLS®) rose four per cent, to $95.8 million from $92.4 million. Year to date, listings dropped seven per cent to 1,591, sales were up one per cent to 570, and the dollar volume was down a marginal one per cent to $180.8 million.

Excluding the region, new Saskatoon listings were down 8.6 per cent in February to 478 — the fewest since 2013 — while sales held steady with last year, rising by one to 211. Months of inventory dropped to 6.7 from 7.5 last February. City homes listed to date in 2019, at 1,033, are at their lowest level in nine years. February statistics indicate a change in a market that has been declining for four years. “Sales have stabilized somewhat, and inventory levels are coming down,” said Jason Yochim, CEO of SRAR. “As an optimist, I believe and hope it will continue. However, people have to be confident that the economy is improving before committing to the purchase of a home.”

He noted that while some sectors of the economy, such as potash mining, are doing well, others are less robust.

“It’s not that people aren’t working; they are. But they won’t upgrade unless they have confidence in their situations.”

The average price in Saskatoon also recovered slightly to $338,268, up 2.3 per cent from last February. Yochim cautioned that average prices can be misleading, because the basket of sales in any given month can be very different from another. For example, if two or three high-priced homes sell, that can significantly skew the average.

A better gauge, said Yochim, is the Home Price Index (HPI), which tracks prices over time based on a benchmark determined 15 years ago.

Saskatoon’s overall HPI, including apartment-style condos, was $282,600 last month, down three per cent from last year. The most expensive category, two-storey single-family homes, was down one per cent at $356,000.

Saskatoon remains a buyers’ market, with a sales-to-listing ratio of 44; but the ratio has risen from 34 in January, for a year-to-date ratio of 40. A ratio of 50 is a balanced market, while a ratio of 60 denotes a sellers’ market.

YTD Home Sales Down 5%

December residential home sales on the Multiple Listing Service® system (MLS® System) in Saskatoon totaled 164 transactions, 20% fewer than December of 2017 which recorded 205 residential sales. The region surrounding Saskatoon had 43 MLS® sales in December of 2018, only one less than the previous December. The total annual number of residential home sales for 2018 in Saskatoon totaled 3,329 units. This is a 5% decline compared to the total number of home transactions for 2017. This represents the fourth straight year of a decline in annual home sales in Saskatoon. By comparison there were 4,417 MLS® sales in 2014, an overall reduction of almost 25%. There was no change in the total annual sales for the surrounding region with 986 residential MLS® transactions.

The total dollar volume recorded for residential MLS® sales in Saskatoon in December was $55.6 Million, down 20% from December 2017. The total dollar volume for the entire year reached $1.108 Billion, 8% lower than 2017. The combined dollar volume for Saskatoon and region for last year was down 4% from 2017 at $1.524 Billion.

Residential MLS® listing totals for the year continued to be lower than previous years. A total of 7,956 residential listings were recorded for Saskatoon on the MLS® System in 2018. This is an 11% reduction from 2017’s total of 8,969, representing over 1,000 fewer new listings. The five-year average for new listings in a calendar year in Saskatoon is 9,081. “Even though overall sales are down, fewer new listings has helped contribute to fewer properties available to buyers in the Saskatoon market.” comments Jason Yochim, CEO of the Saskatoon Region Association of REALTORS® (SRAR). The total number of active listings at the end of the year was 1,487, consistent with the five-year average of 1,480 available properties. The highest level of active properties was in July of 2017 when there were 2,210 active listings in the city of Saskatoon “Available properties will vary depending on neighborhood, price range and style.” cautions Yochim “some price ranges with still have a good supply to choose from while others will not. It’s important to remember that REALTORS® have the greatest access to available property” he adds. REALTORS® work in the market every day, subscribe to a strict code of ethics and are dedicated to developing professional standards and continuing education in the real estate profession. This is not the case for those who sell real estate in the province and who are not members of an association of REALTORS®. 

When it comes to home price trends, the best indicator of what is happening with home prices is the Home Price Index. The Home Price Index establishes attributes for a typical single-family home with a base value in 2005. From that starting point, changes in value are recorded over time to get a better sense of what is happening to pricing and where prices may be trending. The value for the typical single-family home in January of 2005 was $140,400. This value reached its peak in May of 2015 at $329,500. At the end of December, this value is at $307,000, down from $310,900 in November. This value is virtually unchanged from a year ago, however, it has been trending downward since the middle of 2018. For more information on HPI go to contact a member of the SRAR or visit saskatoonrealtors.ca .

Home Sales Soften in November

The total number of residential home sales for the month of November in Saskatoon on the Multiple Listing Service (MLS®) totaled 203 units. This represents a 22% decline compared to the same month last year. The highest total for sales to the end of November was in 2014 reaching 4,203 transactions. This total has been steadily declining since with year to date sales at the lowest in ten years. At the end of last month there was a total of 3,167 residential MLS® transactions in the city, this is a 25% decline from the high of 2014. 

Total new residential MLS® listings has also been declining since 2015 when there were 9,411 by the end of November. The total number of residential MLS® listings for Saskatoon as of November 30thwas 7,646, a 12% decline compared to last year and a 19% decrease from 2015.  Total active residential listings at the end of last month was 1,716, comparable to the five-year average and slightly higher than the 10-year average of 1,388. At the current rate of sales, it would take just over 8 months to liquidate the current active listing inventory. “The months of inventory has been steadily increasing from 3.8 months in November of 2012.” comments Jason Yochim, CEO of the Saskatoon Region Association of REALTORS® (SRAR). “Even though homes in November were selling at 96.2% of the asking price, it still took two months for the average home to sell in Saskatoon” he added. The sales to new listing ratio helps to determine if it is a sellers or buyers’ market. It is considered to be a balanced market when the ratio is at 50%, a lower percentage than this is considered a buyers’ market and above, a sellers’ market. The sales to listing ratio in Saskatoon for November was 38%, favoring buyers. 

Typically, when referencing home prices, the focus in real estate is often on the average price. The danger in this is that the average can be misleading and is easily skewed. Case in point, if there are more, higher priced homes that sell in a certain period than another comparable period, the average will be higher. The opposite could occur the following month resulting in a lower average. A better indicator of what is happening with home prices is the Home Price Index. The Home Price Index establishes attributes for a typical single-family home with a base value in 2005. From that starting point, changes in value are recorded over time to get a better sense of what is happening to pricing and where prices may be trending. The value for the typical single-family home in January of 2005 was $140,400. This value reached its peak in May of 2015 at $329,500. Currently this value is at $310,900. Even though this is up 0.8% from a year ago, it has been trending downward in the past 6 months very slightly. For more information on HPI go to contact a member of the SRAR or visit saskatoonrealtors.ca 

Number of Listings Declining

The total number of new residential listings in Saskatoon on the Multiple Listing Service (MLS®) year to date totaled 7,111. This represents a 12% decline when compared to the same period last year with 8,065 properties listed. The total number of residential listings for Saskatoon and region year to date is 10,929, a 10% decline from last year. The individual month end totals for new listings in 2018 was down each month as well compared to 2017 totals. This decline in new listings has contributed to lower inventory levels for available properties in Saskatoon. At the end of October there was a total of 1,808 active residential properties for sale in Saskatoon and 1,095 in the regional market surrounding Saskatoon. The five-year average for active listings in Saskatoon is 1,806 while the ten-year average is 1,487. “Since 215, the Saskatoon market has experienced higher inventories of active listings, this puts downward pressure on pricing and often upward pressure on the sales to new listing ratio.”  comments Jason Yochim, CEO of the Saskatoon Region Association of REALTORS®. The median price of a home in Saskatoon has declined as well since 2015 as has the average price. The average residential price was $332,000 at the end of October, down 4% from a year ago and $20,000 from two years ago. Although much focus in real estate is on the average price, the average can be misleading and is easily skewed. A better indicator of what is happening with home prices is the Home Price Index. The Home Price Index establishes attributes for a typical single-family home with a base value in 2005. From that starting point, changes in value are recorded over time to get a better sense of what is happening to pricing and where prices are trending. The value for the typical single-family home in January of 2005 was $140,400. This value reached its peak in May of 2015 at $329,500. Currently this value is at $312,600 virtually unchanged from a month earlier. The Benchmark price for a typical Townhouse style property in Saskatoon was $222,900 last month, for apartment style properties, $180,100 in October. For more information on HPI go to saskatoonrealtors.ca.

Year to date, the total number of residential sales on the MLS® system in Saskatoon was 2,964, down 2% from last year. For Saskatoon and region the total number of sales was 4,074, a 1% decline from 2017. Total MLS® sales of 285 in Saskatoon for October was unchanged from the same month last year and but down 9% from October 2016. “It s encouraging to see home sales at a comparable level to last year in spite of economic challenges and the “stress test” changes to financing earlier this year.” Comments Jason Yochim, CEO with the Saskatoon Region Association of REALTORS®. “It would seem that sellers are recognizing the importance of expert advice from our REALTOR® members in pricing to the current market.” he adds.

Average Home Sale Price Declining

Year to date the average price of $332,700 for a home in Saskatoon represents a decline of 4% from a year ago. By comparison in the past three years, the third quarter average price was $347,165 in 2017 and $352,103 in 2016. Although much focus in real estate is on the average price, the average can be misleading and is easily skewed. A better indicator of what is happening with home prices is the Home Price Index. The Home Price Index establishes attributes for a typical single family home with a base value in 2005. From that starting point, changes in value are recorded over time to get a better sense of what is happening to pricing and where prices are trending. The value for the typical single family home in January of 2005 was $140,400. This value reached its peak in May of 2015 at $329,500. Currently this value is at $312,200 which is the highest level for 2018 and is virtually unchanged from a month earlier. The Benchmark price for a typical Townhouse style property in Saskatoon was $219,700 last month, this is the lowest point since April of 2007 when the value was $205,300. For apartment style properties, the Benchmark value of $176,200 in September was the first increase since December of 2007 when the value was at $190,600. For more information on HPI go to saskatoonrealtors.ca 

Active listings in Saskatoon continued to shrink with year over year decline of 7%. In Saskatoon at the end of September there were 1,944 active listings compared to 2,082 a year ago. Active listings are higher in the region surrounding the city which includes the cities of Martensville and Warman. At the end of September there were 1,161 available properties compared to 1,086 for the surrounding area. The decline in available properties is mostly attributable to an overall decline in new listings coming on the market. Year to date, there were 6,521 properties listed in the city of Saskatoon, a decline of 11% compared to 2017. In the month of September, there were 648 new listings in Saskatoon. By comparison in September of 2017 there were 767 new listings and 779 in 2016. “It seems that sellers who are not highly motivated are choosing to wait until conditions are more favourable to sell.” Comments Jason Yochim, CEO with the Saskatoon Region Association of REALTORS®. “Currently we are in a buyers market with elevated levels of inventory and downward trending prices for most properties.” He adds.

In the month of September there were 268 residential sales on the MLS®. This is similar to September of 2017. The total number of sales for the first three quarters of 2018 was 2,679, a 5% decline from last year. By comparison, in the first three months of 2016, there were 2,935 sales in the city of Saskatoon.

Active Listings Continue Decline

For the seventh straight month this year, the number of active listings in the market was down year over year. At the end of August there were 2,019 active residential listings in the city of Saskatoon, a decline of 8% from a year ago. Of the active listings, approximately 1,227 are single family while just over 780 fall under condominium ownership. The decline in active listings is largely due to a decline in homes listed year over year. To date, a total of 5,875 residential properties have been listed in Saskatoon on the Multiple Listing Service® (MLS®), down 11% compared to the end of August last year. “In a slower market, one typically sees fewer speculative sellers than in a hot market” comments Jason Yochim, CEO with the Saskatoon Region Association of REALTORS® “It’s important to bear in mind that homes sell in all markets. If a seller needs to sell then they must be sure to have good advice and price to the current market conditions.” adds Yochim.

In the month of August there were 329 residential sales on the MLS®. This is on par with August of 2018 and just lightly below the five year average of 352 sales for August. Year to date there have been 2,411 residential MLS® sales in Saskatoon, of these 1,751 are single family properties, unchanged compared to the first eight months of last year. On the other hand, there were 648 condominium at the end of last month, 11% fewer than last year.

Year to date residential MLS® sales between $200 - 300,000 totaled 657 transactions, down from 707 a year ago. The number of homes that sold between $350-750,000 on the MLS® year to date was also down by just over 100 sales from 1,036 transactions in 2017. So far in 2018, a total of 41 properties have sold in excess of $750,000 in Saskatoon, on par with last year.

The Home Price Index (HPI) Value for single family residential home sales in Saskatoon increased slightly from July to $312,200. The HPI measures the change in value over time for a typical single family home with a standard set of attributes. This rate of change reports similar to the Consumer Price Index and is the most accurate indicator of home pricing. The HPI value for townhouse style residences declined for the month to $225,200, down from $234,400 in July. Benchmark pricing for apartment Style condominiums continue to decline for the eighth straight month. For more information on HPI go to saskatoonrealtors.ca . Year-to-date, the average sale price was $334,226, a 4% decrease from the same period last year. Average prices can be misleading as outlier sales can skew the average sale value one way or the other over a short period of time. This is why the median price of HPI value is a better indicator of the market.

Last month, the average home in Saskatoon took 52 days to sell in Saskatoon. The five year average for days to sell in the month of July is 50.4 days.

REALTORS® subscribe to a strict code of ethics and are dedicated to developing professional standards and continuing education in the real estate profession. This is not the case for those who sell real estate in the province and who are not members of an association of REALTORS®.

Increase in July Home Sales 

The month of July saw a significant increase of over 25% in the year-over-year Multiple Listing Service® (MLS®) sales activity with a total of 390 unit sales in the month. This compares with 310 transactions in July of 2017. Total MLS® transactions for Saskatoon year to date was down 3.3% with 2,082 home sales compared to 2,152 to the end of July 2017. 

“Although one month does not constitute a trend, it is very encouraging to see such a significant increase in activity during a month when many buyers typically leave town on vacation” comments Jason Yochim, CEO with the Saskatoon Region Association of REALTORS®. Other positive indicators are a decline in the number of new MLS® listings coming on to the market. 

A total of 710 new MLS® listings in July represented a decrease of 10% over last year and well below the five year average of 830 listings. Fewer new listings combined with an increase in sales reduced the number of active listings from 2,109 in June to 2,048 at the end of July. The five year average for active MLS® listings is 1,977 units. “Lower inventory levels will help move the market from a buyer’s market towards balance and stabilize home prices.” adds Yochim.

MLS® sales below $200,000 totaled 57 transactions in July, 55% higher than July of 2017, while year to date sales increased by 26% with 307 transactions. Homes that sold between $300-400,000 on the MLS® in July showed an increase of 27% over the previous July while year to date the number of sales in this price range totaled 1,229, a decline of 5%. Home sales in excess of $400,000 totaled 540 transactions year to date, a decline of 12% over the previous year.

The Home Price Index (HPI) Value for single family residential home sales in Saskatoon took a slight decrease in July of 0.1% to $315,400 compared to $315,800 at the end of June. The HPI measures the change in value over time for a typical single family home with a standard set of attributes. This rate of change reports similar to the Consumer Price Index and is the most accurate indicator of home pricing.

The HPI value for townhouse style residences continued on its upward trend, increasing by 1.2% for the month to $234,400. For more information on HPI go to saskatoonrealtors.ca . Year-to-date, the average sale price was $334,676, a 4.1% decrease from the same period last year. Average prices can be misleading as outlier sales can skew the average sale value one way or the other over a short period of time. This is why the median price of HPI value is a better indicator of the market.

Last month, the average home in Saskatoon took 49 days to sell in Saskatoon last month. The five year average for days to sell in the month of July is 48 days.

Home Listings Down Year to Date

  

Fewer home owners seem ready to put their home on the market this year compared to last. In May, a total of 943 properties were added on the Multiple Listing Service® (MLS®) in Saskatoon representing a 9% decrease from last May. Year to date there were 13% fewer homes listed year to date in Saskatoon.

 

The total number of active listings in Saskatoon at the end of May was 2,001, just slightly above the five year average of, 1,945 units. “Typically we see the highest number of active listings between May and September.” comments Jason Yochim, CEO with the Saskatoon Region Association of REALTORS®, “It’s the most active time in our market largely due to favorable weather.” He adds. Inventory levels for active MLS® listings reached an all-time high in July of last year with 2,210 homes for sale in Saskatoon. At the current rate of sales it would take five and a half months to liquidate the current stock of active listings. 

In May there were 364 home sales, a decrease of 13% from last May. Year-to-date sales for Saskatoon are down 7% with a total of 1,345 residential MLS® home sales. Home sales so far this year have declined in every price range with the exception of homes under $200,000 which saw a 30% increase for a total of 203 sales. The price range with the greatest decline in sales were homes priced between $450-500,000 with a year-to-date total of 85 sales, a 17% drop from last year. Homes selling between $750,000 and $1M are on par with last year at 19 sales. Homes in excess of $1M however are off sharply with three MLS® sales year to date. In 2017, there were three home sales in May alone over $1M and nine year to date.

The sales to listing ratio has decreased from 43% in April to 39% in May. The sales to listing ratio is a comparison of the number of sales for a period of time to the number of new listings. “Saskatoon remains a buyer’s market. However, homes that are priced to market and in good condition will still command great interest and in some cases competing offers.” comments Yochim. Last month, the average home in Saskatoon took 47 days to sell in Saskatoon last month, this is the lowest time to sell so far this year.

Year-to-date, the average sale price was $334,449, a 4% decrease from the same period last year. Since averages can be misleading, a better reflection of the market is the median. The median home sale price year to date is $320,000. The five year average for median residential home sale prices in Saskatoon is $341,980.

The Home Price Index Composite Benchmark Price (HPI) continued in an upward trend for most home types (except apartment style) again in May. The HPI is the most accurate indicator of where home prices are trending. For more information on HPI go to saskatoonrealtors.ca .

REALTORS® subscribe to a strict code of ethics and are dedicated to developing professional standards and continuing education in the real estate profession. This is not the case for those who sell real estate in the province and who are not members of an association of REALTORS®.

 

Spring Home Sales Show Positive Increase 

Residential home sales in Saskatoon were 6.7% higher than April of last year with 335 units selling last month. This represents a third of home sales in Saskatoon so far this year. Although the year to date sales for the first four months of 2018 is down 4.8% over the same period in 2017, last month’s increase in sales helped to close the gap. The increase in April sales also was a welcome reversal of a two month trend of declining sales for February and March. Unit sales for April showed increases for homes priced under $350,000. Of the 202 sales in April under $350,000, 73 were condominiums. Homes that sold between $400,000 and $450,000 showed a 30% increase in sales in April over the same month last year with 39 sales. Homes that are properly priced in that entry level have been seeing competing offers in many cases.

Also of note, year to date there have only been two residential sales over $1M in Saskatoon compared with six for the first four months in 2017. The number of active residential properties for sale in Saskatoon at the end of April was 1,834 units. This is consistent with the five year average of 1,830. This is largely due to a decrease in the number of new listings brought to the market. The number of new listings for the first third of 2018 was 2,594 compared to 3,024. This represents more than a 14% decline year over year.

The sales to listing ratio increased to 43% from 37% a year ago. The sales to listing ratio is a comparison of the number of sales for a period of time to the number of new listings. Although the sales to listing ratio is moving towards balance,  we are still in a buyer’s market. The increase in this ratio in April was largely due to the 6.5% reduction in new listings and the comparative 6.7% increase in sales. Last month, the average home in Saskatoon took 53 days to sell compared with the five year average of 47 days. 

The average sale price saw its first increase this year by 1.75% to $318,729 in April. For the first quarter of 2018, the average home sale price in Saskatoon was $333,826. Since averages can be misleading, a better reflection of the market is the median. The median home sale price increased slightly from March to $320,000. The five year average for median residential home sale prices in Saskatoon is $332,650. 

Home Inventory Levels Declining

A year over year decline in home sales and new listings in February contributed to a declining availability of homes in the Saskatoon market. At the end of last month there was a total of 1,588 active residential listings in Saskatoon. This represented a 4% decline from a year ago when there were 1,659 properties available. Although the number of sale transactions in February, 211, represented a 6% decline from the same month last year, strong sales in January helped the overall sales year to date to remain 1% ahead of last year. Year to date, a total of 413 residential sales have been recorded on the MLS® in the city of Saskatoon. In February, REALTORS® in Saskatoon listed a total of 1,159 residential properties, this is a 14% decline compared to last February’s number of 1,332.

In February of 2016, a total of 1,410 homes were listed for sale. The number of transactions that occurred in Saskatoon was 203 units which represents an 11% increase over January of 2017. The overall dollar volume for home sales in Saskatoon was just under $70 million which is a 6% decline from last February. The year to date total volume of transactions is unchanged from last year at $139 million. Year to date sales in the region surrounding Saskatoon, which includes the cities of Warman and Martensville, totaled 122 units representing a 14% increase. The overall dollar volume for this surrounding market was just under $39.5 million for the first two months of the year, an increase of 12% compared to last year. “For the past couple of years inventory levels have hovered around 2,000 available properties.” Comments Jason Yochim, CEO with the Saskatoon Region Association of REALTORS® (SRAR) “It is definitely a positive trend to see inventory levels shrinking, this is helpful for slowing price decline.” he adds. The average sale price for a home in Saskatoon slipped 1% in February.

The Home Price Index (HPI) composite benchmark value declined only very slightly in the last 30 days to $292,800. Although this is its lowest point since February of 2012 the decline in the composite price appears to be slowing. With the exception of a couple of months in the spring of last year, the HPI composite value has been in an overall decline since August of 2016 when the value was $317,600. 

Housing Sales Up Over January 2018

January home sales in Saskatoon are off to a positive start in 2018. The number of transactions that occurred in Saskatoon was 203 units which represents an 11% increase over January of 2017. The five year average for January is 194 units. Last month’s sales activity also resulted in an increase in the overall dollar volume of 10.5% to $90,673,143 representing the highest dollar volume for January since 2014. Sales in the region surrounding Saskatoon, which includes the cities of Warman and Martensville showed a 27.5% increase with 65 transactions and an 11.7% increase in dollar volume at $18,049,600.

“While it is still very early in the year, the past three months have shown trends of increasing sales for Saskatoon, which is certainly a positive sign after many months of lower sales.” according to Jason Yochim, CEO with the Saskatoon Region Association of REALTORS® (SRAR) “It is good to see inventory levels shrinking as well which will help with upward pressure on pricing in time.” he adds.

The average and median home price in Saskatoon in January also increased. The average sale price for a home in Saskatoon was $344,771, up 1% from last January, while the median price increased by 4.1% to 330,000. Significant increases in the number of homes selling in the higher price ranges contributed to these upward pricing changes. Overall the number of sales between $400,000 and $1M increased by 45% with 64 sales. The number of homes that sold in January between $500,000 and $750,000 made up just over a third of the 64 transactions. The number of home sales between $200,000 and $300,000 remained strong and consistent with last January at 56 transactions. Many of these would be multi-family sales which helps to absorb inventory in that sector of the market.

The Home Price Index (HPI) composite benchmark value declined by 4.1% in January to $293,300, its lowest point since February of 2012.

With the exception of a couple of months in the spring of last year, the HPI composite value has been in an overall decline since August of 2016 when the value was $317,600. “If inventory levels continue to decline due to absorption and fewer properties being listed, home prices should expect to see some increase later in the year.” predicts Yochim. The number of active listings in Saskatoon at the end of January was 1,529, the lowest level in the past three years for January and a 4% reduction from last year. This was aided by the increase in sales and a 14% decline in the number of new listings for January.

Home Sales Increase in December

Home sales of 205 units in Saskatoon, was up 11% in December when compared to the same month in 2016. Sales activity in the area surrounding Saskatoon saw a 13% increase for December. This increase in activity could be partially attributed to the mortgage rule changes for conventional buyers that took effect January 1st 2018. Home buyers with 20% or more down payment now have to qualify at an interest rate that is 200 basis points higher than the posted rate, or the Bank of Canada’s five-year rate, whichever is higher. Listing activity on the other hand, declined dramatically with an 18% reduction in new listings for December year over year. “This decrease in listing activity could be the result of seller’s fatigue from having been on the market for an extended time period without securing an offer.” according to Jason Yochim, CEO with the Saskatoon Region Association of REALTORS® (SRAR) “The increase in December sales and decline in hew listings is a positive for decreasing high inventory levels” he adds.

The year to date story for 2017 however is one that indicates a slower market overall when compared to 2016. The overall sales volume recorded by the SRAR was just short of $1.6 Billion for the year representing a 9% decrease from 2016. This is the third straight year of decline since the $2.1 Billion market peak realized in 2014. Home sales of 3,491 units in Saskatoon for 2017 represented a 5% decline from 2016. This is significantly lower than the five year average of 3,957 sales. In 2017 there was a total of 8,972 homes listed for sale in the Saskatoon market representing a 3% decline from the year previous. The sales-to-listing ratio for the year was 35%, which is a ratio of the number of sales for the year when compared to the number of new listings. In other words, roughly a third of the homes listed for sale ended up actually selling. The number of days on market for a home in Saskatoon in December was 61. This was a sharp increase from 51 in December of 2016 as well as the five year average of 52 days.

Not surprisingly, with lower sales and still a large inventory of homes to choose from, home prices continued to see downward pressure. The median price for a home in Saskatoon declined by 3.3% in December to $324,000 while the average price showed a half point decline to $339,520 for the month. The Home Price Index (HPI) composite benchmark value declined by 3.7% in December to $295,100, its lowest point since March of 2012. The HPI composite value has been in an overall decline since August of 2016 when the value was $317,600.

“Successfully selling a home in this current market requires more that information” comments Yochim “Sellers need the guidance to understand how historical sales data impacts their pricing decision.” 

Buyers Market Continues

Conditions remain ideal for those in search of a new home in Saskatoon. There was a total of 1,967 active listings at the end of October in Saskatoon plus an additional 1,022 available residential properties in the region outside Saskatoon. This is an increase of almost 12% in active residential listings compared to the same point last year. With upcoming mortgage rule changes in the new year, relatively low interest rates and more available homes, this is an ideal time for buyers to tie up that purchase. The sales to listing ratio for Saskatoon was just over 40% in Saskatoon in October. This means that for every 10 homes that were listed, four were successfully sold. The number of sales for October in Saskatoon was 287 units. Although this was an 8% decline compared to October 2016, it represented an increase of 10% over Septembers sales of 262. Year to date sales for Saskatoon a the end of last month were 3,030 units which is a 6.7% decrease for the same period last year. Year to date a total of 8,069 home were placed on the market in Saskatoon, down slightly from 8,217 the previous year. “I expect that there may be a slight spike in sales as the year winds down” comments Jason Yochim, CEO with the Saskatoon Region Association of REALTORS®, “this would be due to recently introduced mortgage qualification rules for conventional buyers plus a sense of upward pressure on interest rates.” The federal government continues to address issues with overheated markets in Canadas two largest cities. These rule changes however affect local real estate markets much differently.

The average days on market for a home in Saskatoon was 54 days which is unchanged from September and slightly higher when compared to October of 2016 where it took an average of 50 days to sell. Not surprising, with higher inventory levels, and declines in sales, the average selling price for a home in Saskatoon continues to decrease, with a year over year decline of 3.2% to $331,889. The Medan price however remained unchanged at $330,000.  The MLS® Composite Home Price Index (HPI) Benchmark Price increased by 5.1% to $328,600. The Composite HPI measures the rate of change in a benchmark price for a typical home and is the most accurate indicator of pricing direction in a market. This increase would suggest that in spite of a decline in the average home price, the trend is moving upward for home prices.

September Home Sales Decline

The Saskatoon real estate market saw a 19% decline in MLS® home sales in September compared to a year ago. Total MLS® sales for September of 2016 totaled 324 compared to just 262 in 2017. The year-to-date total of 2,745 MLS® sales in Saskatoon, is a 6% reduction compared to 2,935 MLS® sales for 2016. Overall, the entire number of sale transactions recorded by the association in Saskatoon and region at the end of September was 3,701 units compared to 3,957 in 2016. This translates to a 10% decline in dollar volume or roughly $140 Million dollars. The number of available properties for sale declined by around 100 units from August to September with a total of 2,082 available properties on the market. The five year average for active listings on the market is 1,797 units. “Ideally it would be nice to see the number of active listings around that five year average or lower” comments Jason Yochim, CEO with the Saskatoon Region Association of REALTORS®, “that level of inventory would bring us closer to balanced market conditions.” By comparison, in 2007 when the market was a strong sellers’ market with escalating home prices, there was an average of just over 400 active listings through the year. Ten years later that average is just under 2000 active listings.   

The average length of time for a home to sit on the market is 55 days, just slightly above the five year average for days to sell in September which is 46. The sales to listing ratio is a comparison of the number of sales for the month relative to the number of new listings taken. It is considered to be a balanced market when this ratio falls between 40-60%. A percentage above this range is considered sellers’ market while a percentage below is considered a buyers’ market. The sales to listing ratio for September is was 34%, well below the five year average of 42%. “In a buyers’ market with elevated inventory levels it is critical to understand pricing and to properly prepare your home to compete against other homes in your price range.” cautions Yochim.   

The average selling price for a home in Saskatoon for the year decreased by 1.4% to $347,043. The median price also declined slightly by 2.1% to $327,900. In July of this year the Saskatoon Region Association of REALTORS® elected to remove lot sales from the aggregate number of home sales to give a more accurate picture of pricing. This change has helped to support the average price to some degree in comparison to last year.  The MLS® Composite Home Price Index (HPI) Benchmark Price increased by 3.6% to $326,700, up 3.6% from a year ago. This increase is also impacted by the removal of lot sales from the total sales volume. The Composite HPI measures the rate of change in a benchmark price for a typical home and is the most accurate indicator of pricing direction in a market.

Buyer’s Market Continues

 

A slight decline in home sales year over year, low interest rates and stable home prices coupled with elevated inventory levels, continues to make Saskatoon an ideal market for home buyers. At the end of August there were 2,183 active listings in Saskatoon, just slightly down from the record set last month. “In the coming months, home buyers will look back with hindsight and realize how opportune the market was with all of these elements in place.” According to Jason Yochim, CEO with the Saskatoon Region Association of REALTORS® “It is only a matter of time before the market shifts as it always does.” The concern is that buyers waiting for the bottom of the market in order to make a purchase, may end up paying more when buying on the upswing.

The average home is taking approximately 55 days to sell which is the greatest number of days in the past several years. The five year average for days to sell in August is 46. Homes that have been priced relative to this market will see a sale in much less time. The sales to listing ratio compares the number of new listings against the number of sales for the month. In August, the sales to listing ratio was 41% which is consistent with the past three months. This means that for every five home listed there are two sales. The sales to listing ratio year to date was 37.7% which is down 3.5% compared to 2016. Furthermore, based on the current level of home sales, it would take between six and seven months to clear out the active listings, this is above the five year average of just over five months.

Two thirds the way through the year, Saskatoon and area saw a total of 3,344 transactions, down 5% from last year. The total number of homes listed for sale, year to date, was 9,904 which is virtually unchanged from 2016. The total dollar volume for Saskatoon and region year to date was $1,139 billion, down 9% from the same period last year. Within the Saskatoon market, the number of transactions year to date was 2,484 representing a 5% decline from the same period last year.

With lots to choose from ,the average and median price continue to show signs of slipping. The average price year to date declined by 1% to $347,414 while the median price declined by 1.5% to $329,950. Considering the challenging economy, high supply of housing and a softened demand, pricing has not been dramatically impacted so far. “Pricing of a home is one of the most important decisions in a successful sale.” Comments Yochim, “REALTORS® are the most informed when it comes to knowing the market for a specific property at a specific time.” he adds.