Calgary Real Estate Market feeling impact of COVID-19 May 2020

Calgary real estate market feeling impact of COVID-19

City of Calgary, May 1, 2020 –

After the first full month with social distancing measures in place, the housing market is adjusting to the effects of COVID-19.

April sales hit 573 units, a decline of 63 per cent over last year.

"The decline in home sales does not come as a surprise. The combined impact of COVID-19 and the situation in the energy sector is causing housing demand to fall," said CREB® chief economist Ann-Marie Lurie.

"Demand is also falling faster than supply. This is keeping the market in buyers' territory and weighing on prices."

Sales activity eased across all price ranges, but the largest declines were for homes priced above $600,000.

With a greater share of the sales occurring in the lower price ranges, the average price decline was more than eight per cent. Prices for the average home are also declining, reflected by the benchmark price, which fell by nearly two per cent compared to last year.

New listings this month totalled 1,425 units, a decline of 54 per cent compared to last year. Inventories also declined, but with 5,565 units available, they remained high enough to push the months of supply above nine months.

The economic impact of the situation is significant and early indications point toward more job losses and higher unemployment rates. Several government incentives will help cushion the blow, but challenges in the housing market are expected to persist throughout this year.

 

HOUSING MARKET FACTS

 

Calgary Detached Housing Market Update

There were 316 sales and 783 new listings in April 2020.

The median sold price was $451,000 and the average sold price was $495,932.

The average days on market were 41.

  • Detached sales eased by 63 per cent this month compared to last year, with the largest decline in the West district.
  • Slower demand was also met with easing supply, as new listings declined by 57 per cent. Overall, inventories eased by 25 per cent compared to last year. Despite the decline in inventory, the months of supply rose to more than eight months.
  • The detached benchmark price eased by one per cent over last year, totalling $479,100. Prices managed to remain flat in both the South and South East districts. The highest price decline was in the City Centre, with a drop of more than three per cent.

 

Calgary Detached Sale Price & Number of New Listings - Last 12 months Update

 
No. of Sales
No. of New Listings
Sale Price to List Price Ratio
Median Sale Price
Avg. Sale Price
Avg. Days on Market
Apr-20
316
783
96%
$451,000
$495,932
41
Mar-20
570
1343
97%
$468,500
$517,594
27
Feb-20
434
1341
97%
$464,950
$524,980
21
Jan-20
159
1211
98%
$450,000
$547,654
13
Dec-19
504
555
96%
$460,000
$528,789
64
Nov-19
703
948
97%
$462,135
$520,553
59
Oct-19
848
1327
97%
$458,250
$530,492
52
Sep-19
823
1516
97%
$458,000
$542,867
55
Aug-19
939
1587
97%
$470,000
$536,414
54
Jul-19
1000
1605
97%
$470,000
$525,413
50
Jun-19
1097
1789
97%
$470,000
$536,380
49
May-19
1180
2015
97%
$480,000
$557,054
50

Source Calgary Real Estate Board Provided by Ray Riley.com

Calgary Apartment Housing Market Update

There were 87 sales and 258 new listings in April 2020.

The median sold price was $219,500 and the average sold price was $237,091.

The average days on market were 54.

  • Apartment sales slowed to 95 units. This is a 62 per cent decline over last year. New listings also slowed, but it was not enough to support a larger decline in inventory levels, which only eased by 13 per cent compared to last year. With 1,349 units in inventory, the months of supply rose to 14 months.
  • Condominium prices were falling before recent developments in the market and the pace of decline remained relatively unchanged at more than two per cent compared to last year. Since the first energy crisis in 2014, the citywide apartment benchmark price has declined by nearly 19 per cent.
  • Year-over-year prices have eased across almost all districts, but the South East district saw the largest year-over-year decline this month at nearly six per cent.

Capitol Hill Attached Sale Price & Number of New Listings - Last 12 months Update

 
No. of Sales
No. of New Listings
Sale Price to List Price Ratio
Median Sale Price
Avg. Sale Price
Avg. Days on Market
Apr-20
0
1
0%
$0
$0
0
Mar-20
1
2
97%
$572,000
$572,000
52
Feb-20
0
6
0%
$0
$0
0
Jan-20
1
7
99%
$660,000
$660,000
3
Dec-19
2
3
96%
$615,000
$615,000
62
Nov-19
4
8
98%
$441,000
$468,500
26
Oct-19
3
13
98%
$438,000
$455,000
75
Sep-19
4
12
98%
$621,000
$627,750
50
Aug-19
3
4
98%
$747,500
$752,500
67
Jul-19
4
10
97%
$515,000
$523,750
98
Jun-19
3
5
96%
$613,500
$548,333
105
May-19
6
13
96%
$529,750
$561,417
112

Source Calgary Real Estate Board Provided by Ray Riley.com

 

Calgary Attached Housing Market Update

There were 124 sales and 391 new listings in April 2020.

The median sold price was $318,700 and the average sold price was $363,040.

The average days on market were 50.

  • Semi-detached and row properties recorded a significant drop in sales and new listings, causing inventories to decline by nearly 20 per cent. However, with a combined inventory of 1,441 units compared to just 138 sales, the months of supply rose to over 10 months.
  • Semi-detached prices eased across all districts for a citywide year-over-year decline of nearly three per cent. The City Centre recorded the largest year-over-year decline at four per cent.
  • Row priced declined in all areas except the East district. Citywide row prices declined by more than two per cent for a total of $278,300.

Cambrian Heights Attached Sale Price & Number of New Listings - Last 12 months Update

 
No. of Sales
No. of New Listings
Sale Price to List Price Ratio
Median Sale Price
Avg. Sale Price
Avg. Days on Market
Apr-20
0
2
0%
$0
$0
0
Mar-20
0
1
0%
$0
$0
0
Feb-20
0
0
0%
$0
$0
0
Jan-20
0
1
0%
$0
$0
0
Dec-19
0
1
0%
$0
$0
0
Nov-19
1
0
96%
$575,000
$575,000
74
Oct-19
0
0
0%
$0
$0
0
Sep-19
0
2
0%
$0
$0
0
Aug-19
0
0
0%
$0
$0
0
Jul-19
0
0
0%
$0
$0
0
Jun-19
3
2
95%
$670,000
$652,000
132
May-19
1
3
100%
$400,000
$400,000
11

Source Calgary Real Estate Board Provided by Ray Riley.com

 

 

REGIONAL MARKET FACTS

Airdrie

  • Sales in Airdrie slowed to 60 units in April. This decline in sales was met with a similar decline in new listings, which totalled 107 units. This helped reduce inventory levels, but with 407 units still in inventory, the months of supply rose to nearly seven months.
  • Overall, the benchmark price remains comparable to last year. Average prices have declined, but some of this is due to more homes being sold in lower price ranges, as there was a significant decline in sales for homes priced above $500,000.

Cochrane

  • April sales in Cochrane dropped to 29 units. This is 55 per cent below levels recorded in the previous year. However, new listings also eased. With only 61 new listings in the market, inventories declined to 281 units.
  • Prices were easing before social distancing measures were put in place and April's benchmark price totalled $398,900. This is nearly two per cent lower than last year. However, both the median and average price rose compared to last year. This is likely due to more homes being sold in higher price ranges, as there were no sales recorded in the lowest price range.

Okotoks

  • Both sales and new listings dropped, with totals of 17 and 44 units, respectively. Inventory remained well below last year's levels, but weaker demand pushed up the months of supply to nearly 12 months.
  • Prices were trending down from the start of the year, but levels have remained relatively stable compared to the previous year. In April, the benchmark price continued to trend down, totalling $402,300.

 

Post a Comment