April 2015 Calgary Real Estate Benchmark Prices Down Slightly

The Calgary Real Estate Board’s (CREB®) April 2015 Calgary Regional Housing Market Statistics for the City of Calgary confirmed that the Benchmark Price for Total Residential (detached, attached & apartment homes) dropped to $451,600 from the most recent high of $459,900, in November 2014 and $459,100 in January 2015. The April 2014 Benchmark Price for all Calgary real estate was $443,400 still putting April 2015 at 1.85% higher than a year ago. Even the median price has remained fairly stable over the past year and sits at $419,000 in April 2015. Where's the market crash that the media was so keen on reporting in January and February of this year?

City of Calgary Real Estate Market Facts for April 2015:

New Listings were down 18% - to 3,064 from 3,734 in April 2014.

Sales were down 22% - 1,957 units compared to 2,521 in April 2014.

Days on the market increased to 40 compared to 27 in April 2014.

Inventory levels rose to 5,579 units (covering all 3 housing types: detached, attached & apartment homes), up from 3,904 in February 2014.
This is still well below the record high level of over 6,900 units in February 2008.

Overall supply levels were 2.85 months of inventory (compared to 1.55 in April 2014) - this is still considered a buyer's market but leaning towards a balanced market.

The most critical statistic for the month was the New Listing Inventory which is typically the highest in the spring months of April, May and June. This year, the trend is different. Sellers are deciding to sit on the sidelines and wait. As a result, the April 2015 New Listings of 3,064 was less than the previous month at 3,126 and much less than April 2014 at 3,734.

Further confirmation of the trend towards a balanced market from a buyer's market is the Total Inventory - it peaked in March 2015 at 5,693 and was 5,579 in April 2015 for all housing categories. From January to February 2015 it DECREASED from 3,268 to 2,936 units - an 11% drop. Compare this to the same period in 2014 when it INCREASED from 2,381 to 2,703 units (+13.5%).

CREB® chief economist Ann-Marie Lurie commented on this by saying:

“While conditions continue to favour the buyer, both the months of supply and the sales to new listings ratio, which represent measures of market balance, tightened in April. If this trend continues, it should help prevent resale inventories from rising to previous highs and limit some of the downward price pressures we’ve been seeing”

The increase in new listings varied depending on price point, housing type and community. Sales of detached homes were down in all price point categories in April 2015 compared to a year ago. Sales of attached homes consistently had increases in the $550,000 to $799,999 categories in April 2015 compared to 2014. Sales of apartment homes were also down in all categories in April 2015 except the under $200,000.

CREB® president Corinne Lyall commented on this month's statistics by saying:

“With fewer buyers making purchase decisions and improved selection for resale, new home and rental property, sellers have been either adjusting their expectations on price or delaying their plans about when to list their home.” She also added that, "There’s improved selection across all segments of the market, which takes some of the urgency away for buyers as they consider all of their options before making a purchase decision. Sellers have more competition and need to be aware of how much product is available in comparable neighbourhoods."

The Benchmark Price is the best indicator of price changes and trends since it tracks similar properties over time. Median Price is also a better indicator than the Average Price as it follows the Benchmark Price more closely. Compare the differences between the three price types over the past 5 years in the chart below.

City of Calgary detached homes account for the most sales and represent the typical trend of all 3 housing types.
The chart below highlights the numbers with comparisons for the previous months starting from January 2015.
Notice how sales have increased in both years but the New Listings have levelled out at 1,774 homes.

Also, the Benchmark Price of $510,200 was up from April 2014 and only down slightly from January 2015 as shown in the chart below.

Calgary Detached Homes Statistics

The chart below highlights the price category where detached home sales are taking place. Based on year-to-date totals, the $400,000 to $499,999 and $500,000 to $599,999 price categories are doing better this year than the previous 3 years. The Median Price of a a detached home in April 2015 was $479,400 - right where most of the sales are taking place.

Notice how the trend for Calgary Luxury Homes (over $1,000,000 price category) sold year-to-date 2015 has not done better than 2014 or 2013.

Year-to-Date Calgary Detached Homes Sales by Price Range

These overall Calgary real estate market statistics help shed light on the general state of the real estate market and the trend unfolding for 2015. If you have questions about the market in your community or about your type of residential home (detached, attached or apartment), we'd be happy to answer any questions you may have.

For more information on the current Calgary real estate market, contact us online, or call 403-837-8100. We're here to help!

To read more details about the Calgary real estate market in April 2015 visit: CREB® April 2015 Market Statistics