High inventory, stable prices for the 2018 real estate market
Edmonton, January 3, 2019: The Edmonton Census Metropolitan Area (CMA) real estate market marked a year of stable average and median prices, decreasing sales, and increasing inventory.
New listings and active inventory are down compared to October 2018. Listings decreased 15.38% and inventory decreased 2.00% month over month. When compared to November 2017, both categories were up. New listings increased 9.97% and inventory increased 9.86% year over year.
Year-to-date average prices remained relatively stable throughout 2018. The residential average sale price was $369,607, a decrease of 1.28% compared to 2017. In the specific categories, average single family home prices decreased 0.85% to $434,028, condominium average prices decreased 4.9% to $236,008 and duplex/rowhouse average prices decreased 1.75% to $342,150.
Residential year-to-date unit sales were down 5.57%, to a total of 15,519 residential units sold, compared to 16,435 in 2017. Single family homes were down 4.36%, condominium unit sales were down 7.73% and duplex/rowhouse unit sales decreased 8.63%. Sales volume in 2018 was also down 6.78% to $5.73 billion compared to $6.15 billion in 2017.
“The real estate market in 2018 experienced record-high inventory levels, rising interest rates and the effect of the mortgage stress test, resulting in lower sales all property categories,” says REALTORS® Association of Edmonton Chair Michael Brodrick. “It was a challenging market for both buyers and sellers and it appears 2019 will be similar.”
Listings for December 2018 decreased 43.09% compared to November 2018, and decreased 3.85% compared to December 2017. End of month inventory decreased 9.69% month over month and increased 10.83% year over year.
Year-to-date days on market for residential units was 62, up 3 days from the average of 59 days on market in 2017. Year-to-date listings were also up, increasing 3.53% over 2017. The reported annual sales to listing ratio was 47%, indicating a buyers’ market.
In the month of December, sales decreased both month over month and year over year. In total, the average residential unit sales decreased 30.13% relative to November 2018, and decreased 19.65% compared to December 2017. Average prices were mostly stable, decreasing 0.02% to $360,450 month over month and increasing 1.03% year over year.
3 Average prices indicate market trends only. They do not reflect actual changes for a particular property, which may vary from house to house and area to area. Sales are compared to the month end reports from the prior period and do not reflect late reported sales. The RAE trading area includes communities beyond the CMA (Census Metropolitan Area) and therefore average and median prices may include sold properties outside the CMA. 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 real estate 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.YEGisHome.ca, www.realtorsofedmonton.com, and www.REALTOR.ca. REALTORS® support charities involving shelter and the homeless through the REALTORS® Community Foundation. Trademarks are owned or controlled by The Canadian Real Estate Association (CREA) and identify real estate professionals who are members of CREA (REALTOR®) and/or the quality of services they provide (MLS®).