Real Estate Stats 2011 overview
According to figures released by CREB® (Calgary Real Estate Board) on January 3rd 2012, Calgary residential sales in 2011 increased 8% over last year, with 18,568 sales for 2011 compared to 17,267 in 2010.
Recovering from tepid sales activity in the first half of 2011, early improvements in employment and migration resulted in a pickup in housing demand in the second half of the year. By the end of June 2011, year-to-date sales activity had only increased by 2% compared to the second half of the year, where residential sales improved by 15%. “While sales activity in 2011 remained below the long run average by 17%, monthly figures point towards the trend of this gap narrowing,” says Sano Stante, president of CREB®.
2011 single family sales totalled 13,186, a 9% increase over last year. While sales increased, listings remained low, with an annual
total of 24,245, 6% lower than 2010 levels. The decline in listings relative to sales pushed down inventory levels to 2,761, resulting in four months of supply.
Meanwhile, the condominium market recorded declining sales for nearly half of the year, but favourable pricing and improved economic conditions pushed sales up by double digit rates for the second half of the year. 2011 condo sales totalled 5,382, a 4% increase over the previous year. The rise in sales was complemented by an annual 12% decline in listings. This helped to
tighten the condominium market, causing inventories to decline to 1,287 and months of supply to remain just above four months.
“The demand recovery in the condominium market lagged the single family market, as price adjustments in both the single family and condominium markets resulted in more selection for consumers,” Stante says. “For the first time in several years, consumers had additional selection of single family homes at a lower price range, which directly competed with the condominium market.”
Single family average price in 2011 reached $466,402, a 1% increase over last year. While there have been some strong monthly increases, primarily due to sales in the upper end skewing the prices, overall prices have remained fairly stable. Meanwhile, the year-end median price of $405,000 remains at levels similar to 2010.
Condominium prices have remained persistently low in 2011, while some of the monthly figures have been boosted by high end penthouse sales. By the end of 2011, the average price of $287,172 remained 1% lower than the previous year.
“Throughout 2011, elevated levels of inventories have limited price growth as consumers benefitted from sufficient supply of housing to choose from; however, as these inventories drop to levels more consistent with a balanced market, we can expect some moderate price growth moving forward,” Stante concludes.