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Average price slips as fewer people moving to Alberta, realtors association says
8 h: I5 n U3 \& P/ t8 ]Bill Mah, The Edmonton Journal- h- n8 x+ |4 G3 P9 w5 D+ ?
Published: 1:31 am
+ q. d2 P1 q+ {) U, |EDMONTON - The buyer still reigns in Edmonton's housing market, where the number of homes for sale has skyrocketed by 268 per cent from a year ago.9 T: A7 F. {. m% v: S/ ?
7 x/ H; P! {% k1 l" p! A8 OFigures released Thursday by the Realtors Association of Edmonton show there were 9,464 residential properties available in the city area -- up by a whopping 1,220 homes from February.1 H. |- J8 m2 n9 W3 u7 A
7 r0 f p, W5 x O2 dThat's the third-largest inventory in Edmonton history. Only last September and October were there more homes for sale at month's end, 9,918 and 9,577 respectively.
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2 v9 S$ ^- B1 gAssociation president Marc Perras said the inventory, about six month's worth, stems largely from fewer people moving to Alberta.+ i1 k: M2 k0 `! M; Q2 t. p
% y( s+ ^$ V: _$ y" v. aNet migration to Alberta last year was 27,048. That's down significantly from 74,523 who moved here in 2006, according to Statistics Canada data.! K# K, m1 ~, }4 q4 n s0 q5 {2 j0 O
3 K3 k/ a8 l# l- S"We had an industry that ramped up, expecting that those numbers would keep up and now, as a result of that drop-off, we've seen inventory numbers come up fairly significantly," Perras said., P) m' ^ I# p i/ ?0 [
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He predicted home prices will increase by the year's end as inventory drops and called the current situation a "stable, normal" market.9 J2 [0 Q! F' G2 k# A6 X
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"Our sales volumes are similar to what we saw in 2004 and 2005 and our prices are essentially flat.& J8 S; Y& C1 C. D
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"We saw quite a roller-coaster ride last year when prices jumped up significantly in the first six months and fell off significantly in the last six months."
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A single-family home sold in March for an average price of $387,632, down 2.7 per cent from March last year.: P2 d& R# \$ k! q! J/ Z5 y4 e
3 I/ ^6 v/ L" e- Q4 x: A7 Z( t+ hBut the average residential price -- including single-family homes, condos, duplexes, mobile homes and others -- was $343,760, 5.66 per cent higher than March 2007.
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There were 1,557 residential properties sold in March with new listings of 4,236 for a sales-to-listing ratio of 37 per cent. Homes spent 51 days on the market, down one day from last month.
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Total MLS sales in March dropped 31 per cent from a record-setting pace in March 2007.( H: ^" n s6 [
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Meanwhile, a house price survey released Thursday by Royal LePage Real Estate Services says Edmonton-area houses became more affordable in the first three months of 2008.
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- e1 Z3 i1 P! T# J% WThe study looked at certain local markets examined and found the average price of a "standard two-storey home" fell 3.7 per cent to $363,707.
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; N0 k; H6 H& R/ {* H) p# u) R! M+ vThe price of detached bungalows fell 4.9 per cent to $330,000 from the same time last year. Standard condo prices also fell 7.7 per cent year-over-year to $235,000, said the LePage study.+ @+ v1 N" |' i# L
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Ken Shearer, a Royal LePage broker and owner, said debate over energy royalties kept house prices lower.
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( f( F" F/ e7 L"As a result of this debate, the market has receded from the wild pace it experienced last year as buyers are simply no longer interested in paying skyrocketing house prices," he said.
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According to the report, prices varied by specific market in the Edmonton region. Here are some highlights:
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Sherwood Park: Average prices for two-storey homes dropped by 7.1 per cent to $390,000, while detached bungalows and condos were unchanged from last year.( o5 D& I3 {. f7 c! [
G8 F: F% H5 C: f2 _1 p. i# J. }Spruce Grove: A two-storey home rose 6.9 per cent to $405,000 year-over-year./ s" V! q0 ~( l
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Riverbend/Terwilligar: A two-storey property rose by 12.7 per cent to $410,950 over the same time last year. The average price of a detached bungalow rose by 2.6 per cent to $390,000, while condo prices dropped by 10.6 per cent to $235,000., {4 B0 O R# J: \2 `
* d$ Q" i1 f0 x9 a, Y" W3 aLeduc: Average condo prices rose by 9.1 per cent to $240,000 year-over-year. Two-storey house prices dropped by 7.5 per cent ($310,000.)1 Y, ^0 K9 ?* K' P
, N2 ?6 I0 B! P; E6 ^! i# ~# uSt. Albert: The average price of a two-storey home fell by 12.8 per cent to $340,000 while detached bungalows dropped by 12.3 per cent and condos by 13.3 per cent.
9 o2 g) {& C7 E0 [/ lCastle Downs: Average detached bungalows fell by 18.6 per cent to $285,000. Average two-storey homes went down 11.4 per cent to $350,000.
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# I2 V0 H' ]: {. z3 f# M. m3 {Clareview: Detached bungalows decreased by 8.8 per cent to $310,000, year-over-year. Condo prices fell by 16 per cent to $210,000 from the same time last year. |
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