| Dynamic tension between buyers and sellers in Edmonton market
Edmonton, July 3, 2008: The inventory of homes on the Edmonton Multiple Listing Service® (MLS®) is still at near record levels although sales in June were better than the last month and the number of new listings dropped over seven percent. Buyers and sellers seem to be in a standoff with both sides just beginning to accept the reality of the current market. Single family dwelling and condo prices have been stable during the first half of the year yet some people still anticipate dramatic price shifts. “Although sellers have received higher prices in the past year, about half of them lowered their asking price by seven percent on average to get a sale,” said Marc Perras, president of the REALTORS® Association of Edmonton. “Some buyers seem to think that further discounts are possible and are delaying their buying decision unnecessarily. The market finds its own level and has varied within a three percent range over the last six months. REALTORS® have buyers who are staring down the sellers but sometime soon someone will have to blink.” The dynamic tension between buyers and sellers has kept prices stable so far this year. Single family dwellings sold for $381,384 on average* in June and condos sold for $262,365 on average in the Edmonton market. This is down just half a percent for single family detached homes and up half a percent for condos over the previous month. During the first half of the year prices have only varied slightly from the year end price with SFDs up 0.25% and condos up 3% for the year-to-date. The average residential price (which includes all types of housing) was also up slightly month-over-month at $341,376 and just 4% lower than the peak price of $354,718 set in July 2007. The average days-on-market was up two to 55 days. Total residential sales were $632 million for the month and total year-to-date MLS® sales were $3.72 billion at the end of the first two quarters. “Historically, there has never been a better selection of homes available in this market,” said Perras. “Additional inventory is coming into the market every day but obviously better quality homes sell first. Buyers should be taking advantage of the current conditions and making a buying choice before prices rise or inventory drops. Sellers should be discussing pricing strategies with their REALTOR® to ensure that they have adjusted their asking price to be in the right price range for this market.” -30- Highlights of MLS® activity
¹. Residential includes SFD, condos and duplex/row houses. Contact:
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