Calgary’s housing market was off to a predictable start in January, mirroring the activity that took place during the January’s of the past three years.
Although homebuyers in the New Year were greeted by new mortgage regulations and a Bank of Canada overnight rate hike, the housing market appears to have not been significantly impacted, according to the latest data from the Calgary Real Estate Board (CREB), published Thursday.
“While it is too early to see the impact of these changes, so far, January levels are consistent with what we saw last year,” says CREB chief economist Ann-Marie Lurie.
“The recovery will be bumpy, and we will continue to monitor the impact of the lending changes relative to the overall economic climate,” she adds.
Last month, a total of 958 units sold in the city, up two per cent from a year ago and 11 per cent below long-term averages.
CREB says stable sales were met with rising new listings in January, resulting in an inventory increase and a dip in prices.
The benchmark price of a home in the city was $432,300, a 0.25 per cent drop from January 2017.
Compared to December 2017, prices eased across all product types but price declines were more significant in the apartment and attached sectors.
Here are 10 more facts that show how Calgary experienced housing market déjà vu in January.
1. Citywide new listings totalled 2,458, a 3 per cent increase from a year ago.
2. A rise in new listings caused further gains in the city’s inventory, now totalling 2,185 units, an 18 per cent gain compared to 1,848 units in January 2017.
3. Months of supply in the city remained relatively stable with a total of 4.83 months, up 10.7 per cent compared to 4.36 months a year ago.
4. In the detached segment, CREB says new listings rose as units priced over $500,000 experienced declining sales.
5. However, detached homes priced between $300,000 and $399,999 saw an increase in sales last month. “This will be an adjustment to the new reality buyers and sellers face, as pockets of the market will experience a mismatch between supply and demand,” says CREB.
6. Detached sales totaled at 583 units, similar to the 581 units sold a year ago, but 13 per cent below long-term averages.
7. In the apartment segment, sales also came in well below the long-term average with a total of 145 units. CREB says this is consistent with the slower activity seen in the segment over the past three years.
8. Elevated supply in the apartment segment compared to demand continued to weigh on prices last month. The benchmark price of an apartment was $256,200, down 3 per cent from $265,000 a year ago.
9. The attached segment saw a rise in sales last month with a total of 230 units, a 9 per cent climb from 211 units in January 2017.
10. A boost in sales in the attached market was met with a stronger gain in inventory levels, which weighed on prices in January. The benchmark price of an attached unit was $328,000, a 0.64 per cent decline below last month and a 0.33 per cent drop compared to a year ago.