Thank you for coming to us this month for our market update, although there are no drastic differences, we are definitely seeing some changes!
Calgary’s statistics show us that inventory is up 19% from what we were seeing at this time last year, and up about 25% from what we had last month, at 4333 new units this month. With the slight increase in inventory, we also saw a 7% increase in sales in Calgary, up from 2881 sales to 3092 sales.
The Airdrie market has shown a similar inventory increase, up 30% from 159 in May to 208 now, but still with sales numbers staying right around 200. Meanwhile, Okotoks has an inventory of 84 with sales at 75, and Cochrane has 132 units in their inventory of homes for sale right now, with 130 sales occurring over the course of May. While these aren’t major fluctuations, small changes in smaller cities, such as Cochrane and Okotoks, can make a big difference. These numbers may seem insignificant, but they show that Calgary, as well as the cities surrounding it, all only have a month’s supply of houses based on demand shown through last month’s sale rates.
When inventory is below or just able to meet demand for housing, this supports a competitive market. Along with that, median and average prices continue to rise slowly. The median price for Calgary right now remains just over $600 000, with the majority of Calgary inventory being in and around $700 000. Detached home, apartment, and townhomes prices in Calgary have risen slightly, while semi-detached homes have slightly decreased in price.
Airdrie’s median price is noted at $549 600, which is almost exactly what we were seeing last month, however, it is notable that the benchmark price for detached homes in Airdrie is at $651 000, while the benchmark for detached homes in Calgary is at $762 000, over $100 000 more!
These prices are also a major factor in the continuation of the competitive market we have been experiencing in this area, as long as there is low inventory for homes, we will be seeing the cost continue to rise slowly, keeping us firmly locked in a market most advantageous to sellers.
However, the Bank Of Canada is expected to lower interest rates from 5% to 4.75% just days ago! Experts also expect that interest rates will continue to be lowered at intervals over the course of this year. This is good news for buyers, as it will make homeownership more affordable, and work to lower housing costs in general over time.
Thanks again for coming to us at the Dione Irwin Team for your market update info! We hope to see you back again next month.