Alberta Real Estate Market Update: June 2022
The Alberta Real Estate Association reported 8,553 homes sales in June, 7% fewer than June 2021, and down 9% from May.1 There were 13,567 new listings across the province in June, an increase of 2% year over year, and a decrease of 6% month over month.
With more listings available relative to demand, the sales-to-new-listings (STNL) ratio was at 63% in June, down two percent from May and trending towards more balanced market conditions (a ratio of 40-60% is considered to be a balanced market).
Active listings at month-end were down 13% year over year, with a month-over-month increase of 8%. As a result, months of inventory increased 19% month over month, though it was down 6% from last year. The reduced demand impacted average selling prices in Alberta to the tune of 6% below May’s level, though still 4% higher than June 2021. The average selling price across the province in June was $449,290.
The Calgary region saw seller’s market activity in June, despite sales decreasing by 7% month over month, as well as new listings decreasing by 5% over the same time period. Homes were taking longer to sell as active listings climbed 4% compared to June, but were still down 22% compared to June 2021. The increase in inventory impacted average selling prices, which declined by 1% month over month, though they were still up 5% from June of last year.
The Calgary Real Estate Board (CREB) reports2 3:
- Market: Seller's Market
- Sales: 2,842 (down 3% year over year and down 7% month over month)
- New listings: 4,061 (down 2% year over year and down 5% month over month)
- Active listings: 5,405 (down 22% year over year and up 4% month over month)
- Sales-to-new-listings ratio: 70% (previous month was 72%)
- Average price for a detached home: $667,673 (up 14% year over year and up 1% month over month)
- Average price for a semi-detached home: $541,181 (up 6% year over year and at par month over month)
- Average price for a townhouse: $353,285 (up 3% year over year and down 3% month over month)
- Average price for a condo: $279,802 (up 9% year over year and down 3% month over month)
- Overall average price for a home: $ 517,059 (up 5% year over year and down 1% month over month)
Comments from CREB® Chief Economist Ann-Marie Lurie: “As expected, higher interest rates are starting to have an impact on home sales. This is helping shift the market toward more balanced conditions and taking some of the pressure off prices. While we are starting to see some transition, it is important to note that in Calgary year-to-date sales are still at record levels and prices are still far above expectations for the year."
Edmonton is teetering on seller’s market versus balanced market conditions in June with a sales-to-new-listings ratio of 60% (a ratio of 40-60% is considered a balanced market), down just one percent from May. With sales down 9% and new listings down 8% month over month, active listings did not follow suit and increased 7% over the same time period. Average days on market also rose 14% to an average of 33 days, contributing to more balanced conditions in the region. Despite more inventory and homes sitting longer, average selling prices remained at par month over month.
The REALTORS® Association of Edmonton (RAE) reports4:
- Market: Seller's Market
- Sales: 2,593 (down 5% year over year and down 9% month over month)
- New listings: 4,319 (up 4% year over year and down 8% month over month)
- Active listings: 8,057 (down 4% year over year and up 7% month over month)
- Sales-to-new-listings ratio: 60% (previous month was 61%)
- Average days on market: 33 (down 6% year over year and up 14% month over month)
- Average detached selling price: $494,302 (up 5% year over year and up 1% month over month)
- Average duplex selling price: $387,811 (up 9% year over year and down 2% month over month)
- Average condo selling price: $238,377 (down 2% year over year and at par month over month)
- Average residential selling price: $405,776 (down 2% year over year and at par month over month)
Comments from RAE Chair Paul Gravelle: “We continue to see a gradual decrease across the board in the Edmonton real estate market. As interest rates and inflation continue to rise, we anticipate that we will see further impacts on the housing market in the days to come."
If you need to sell or buy a home, an experienced FairSquare Group Realty agent can help you navigate the market safely and with professional insight. FairSquare Group Realty supports Canadians by providing exceptional real estate experiences with incredible rewards: sellers save thousands in commission and buyers receive $2,000 cash back* when they purchase a home with one of our REALTORS®. Call 1-877-888-3131 to learn more.