Sales Still Strong Despite High Inventory

In January 2008, 1,227 residential sales were made, which almost met the previous record of sales for the month of January, established last year with 1,554 sales. The Realtors association of Edmonton expects that prices of homes will not drop drastically despite the higher number of properties on the market. As of the end of January, 7,352 properties were listed.

The average price for single family dwellings declined slightly by 0.6% to $379,567, condo prices increase marginally by 1.9% to $257,956, and duplex/rowhouses decreased in price by 1.7% to an average price of $301,756. Overall, residential real estate prices increased by 0.7% to put the average price at $332,051. This is 9.3% more than what the average price was in January 2007.

To view the full press release from the Realtors Association of Edmonton (formerly known as the Edmonton Real Estate Board), please continue reading.

Resale Housing Sales Strong in January

• Monthly Statistics
• Quarterly Statistics

Edmonton, February 5, 2008: Resale housing sales in January were almost record setting. The previous record was set at the height of the real estate frenzy in January 2007. The REALTORS® Association of Edmonton reported that 1,227 residential sales were notched last month as compared to 1,175 units in January 2006 and 1,554 units last year.

“Near record January sales indicate that housing sales will remain strong in the Edmonton area as buyers and sellers adjust to the new pricing levels,” said Marc Perras, president of the REALTORS® Association of Edmonton. “Prices are stable and are not expected to drop sharply despite the large inventory.” There were 7,352 residential properties listed on the MLS® at the end of January. The previous January high was 5,490 available properties in January 1996. There were 7,094 properties in inventory at the end of December 2007 and almost 10,000 properties at the peak last September.

3,417 new residential listings were added in January with 1,227 sales resulting in a 36% sales-to- listing ratio (down from 62% in December). The average days-on-market rose to 61 days from 56 in December. REALTORS® reported that interest from buyers and activity through their offices picked up in January as total MLS® sales for the month reached $460 million.

The average* price for a single family dwelling dropped marginally (0.6%) from December to $379,567. Condo prices rose 1.9% on average* to $257,956 and duplex/rowhouse prices were down 1.7% at $301,756. The overall residential price was up 0.7% to $332,051. The average residential price is up 9.3% from last January.

“Buyers now have a wide choice of properties to choose from and prices are stable,” said Perras. “It’s a good time to get into the market as a first time buyer or someone moving up or down.”

Total MLS® sales (including rural and commercial) were 1,349, also the second best January in local history.

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Highlights of MLS® activity

¹. Residential includes SFD, condos and duplex/row houses.
². Single Family Dwelling
³. The middle figure in a list of all sales prices

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* Average prices indicate market trends only. They do not reflect actual prices, which vary from house to house and area to area. For information on a specific area, contact your local REALTOR®.

The REALTORS® Association of Edmonton (Edmonton Real Estate Board), founded in 1927, is a professional association of 3,262 Brokers and Associates in the greater Edmonton area. The Association administers the Multiple Listing Service®, provides professional education to its members and enforces a strict Code of Ethics and Standards of Business Practice. The Association also advertises property listings and publishes consumer information on the Internet at www.mls.ca and www.ereb.com, as well as in the Real Estate Weekly and on their web site at www.rewedmonton.ca. The Association supports charities involving shelter and the homeless through the REALTORS® Community Foundation (RCF).