Market update July 1-15

Although the mortgage rules changed on July 9, this past week(July 9- 15) would have been the period where a lot of the last-gasp deals were finalized and showed up on the books. The 30-day sales-to-new-listings ratio today is at 77%, the highest it’s been in July since 2005, but I wouldn’t read much into it.  I attribute it to the fact that a preoccupation with Stampede prevented people from listing their homes, while at the same time, a flurry of sales which were conceived 10-15 days ago were being finalized. I’d expect to see a lot of new listings in the coming weeks, with not so brisk a pace of sales. Compared to last year only, sales were up 37% this past week, while new listings were down 10%.

I’ve long maintained that average prices are a poor indicator of the housing market. Here’s a story that goes a little further  Average house prices don’t tell the whole story.


3 responses to “Market update July 1-15

  1. Since real estate is already priced quite low relative to the rest of Canada the new mortgage rules won’t have much of an effect in Calgary. I’d still have to say this is the worst time to buy a house in Canada since the days of the caveman.

  2. Bob wouldn’t listings have been slow every year at this time due to Stampede? I think you’re overestimating that. And wouldn’t sales also be slow due to stampede?

    Halfway through and we are on pace for 1713 SFH listings in July which would be the slowest July for listings as far back as I can find records (2003).

    We’ve slowly been getting hotter every month this year. If this Sales:New listings holds up over the rest of the month the next few months might be scorching. There have been a few days recently with greater than 100% sales:new listings.

    Jimmy, you blew my cover. It’s a well-known fact that realtors can influence the market simply by their spin, so I was trying to keep the market from heating up even more. 🙂 -Bob

  3. I cannot understand how the real estate market is going to collapse in a market (calgary) with a rapidly expanding economy, job growth, labour shortages and strong net inward migration. This isn’t Greece. Oilsands projects have 10-yr lead times, are labour intensive and are not hugely sensitive to small variations in oil prices.

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