Resale home market tightening up in city

Calgary’s single-family resale home market is starting to tighten up, says an expert.
“Demand far exceeded new supply levels, so that started pushing that market into a lot less selection for consumers,” says chief economist Ann-Marie Lurie of the Calgary Real Estate Board. “It has caused some significant price gains in the single-family market.”
In particular, single-family resale homes in the city’s northwest sold more quickly, and in greater volume, in June than the rest of the city, says the board. There was more inventory and more sales in the board’s Zone A, which roughly corresponds to northwest Calgary.
With 1,400 homes available for purchase in June, Zone A had the most inventory. It also had 602 sales at an average price of $501,865 — the second highest price of the board’s four zones.
The highest average price was Zone C, roughly the city’s southwest, where the average was $594,522 for 462 sales.
Homes in Zone A spent on average 34 days on the market, where sales were quicker than in Zone D at 36 days (roughly the city’s southeast), Zone B at 37 days (roughly the city’s northeast) and Zone C at 38 days.
In Zone A, the most sales were in Coventry Hills and Tuscany at 35 each.
The fastest-selling neighbourhood was St. Andrews Heights, where seven sales took an average 10 days.
The most expensive home was in Lynx Ridge, which had a single sale at $1.425 million.
The most affordable neighbourhood in Zone A for single-family homes in June were Bowness and Ranchlands, which had median sales of $317,500. The median is the middle of the range of market prices.
Taradale proved the most popular neighbourhood in Zone B with 30 sales at an average price of $336,988 and about 30 days on the market.
Castleridge and West Dover were the fastest-selling neighbourhoods in Zone B with three and two sales, respectively, averaging 11 days.
The most affordable neighbourhood in Zone B was Radisson Heights at an average price of $195,800.
Zone B was the most affordable in the city, with prices averaging $297,722.
Mount Royal in Zone C posted the highest average price of the whole city, with the neighbourhood’s three sales averaged $1.903 million and a median price of $2,350 million. The median is the middle of the range of market prices.
The Mount Royal sales were faster sales, too, spending an average of 25 days on market.
The swiftest sale in the city was also in Zone C, where a house in Shaganappi sold in two days for $452,700.
With 25 homes sold, Evergreen was Zone C’s most popular neighbourhood for sales in June.
Cranston, in Zone D, was Calgary’s most popular neighbourhood, with 40 homses sold. Zone D’s most expensive homes were in Willow Park Estates, where two homes averaged $1.2 million.
With four homes averaging 12 days on market, Douglasglen sold the most quickly in the zone.
PLENTY OF CHOICES
While there have been some strong price gains for single-family resale homes, consumers still have plenty of other choices, says the Calgary Real Estate Board.
“A lot have turned to townhouses and condos — and to surrounding towns,” says chief economist Ann-Marie Lurie.
“What we’ve seen to date is some strong single-family price gains, mostly related to the imbalance between supply and demand in that market.”