We
are following the traditional patterns of falling inventory as we go
into the winter season. There were 1291 properties on the market at the
end of July. We are now at 971 units on the market at the end of
October.
The
market has seen brisk unit sales in September and October in the
$200,000.00 - $350,000.00 range. There has been a significant decline
in unit sales over the $350,000.00 range from last year in the same
period. Overall unit sales YTD has increased by 5%, while new listings are declining. This is showing up in the lower inventories.
This
is good news for the sellers. It is getting more difficult for the
buyers to find properties in the lower price ranges in the more popular
areas such as the older South East areas. (area 2).
Area 2 unit sales are up 12%. This is primarily in the under $300,000.00 price range. In
the extreme East area (area 1) of the city, home unit volumes are up by
17% over last year. Judging by the price range volumes, this is in the
townhouse and condo markets for the most part. Area 3, especially in
the single family units has a short supply of homes in the $250,000.00
– 350,000.00 range. Unit sales are down in area 4, in large part due
to lack of supply. Area 5 is having a good year with the expansion in
the Hamptons as well as a strong demand from first time home buyers for
the $200,000.- $250,000.00 single family resale homes. Unit sales YTD
over $350,000.00 are down overall.
I
feel this tells us that the majority of the buyers today are first time
home buyers who are encouraged by the low interest rates and attractive
mortgage terms offered by the lenders.
I
expect we are going to see a solid market in the coming years as
sellers begin to realize that we are not going to get a major step up
in prices. We are back into the stable slow growth market that we were
accustomed to in the past.
Saskatoon
is a great place to live. We are enjoying a level of prosperity and
stability here that is envied by the rest of the country. I believe
that we are better to have stable growth rather than the huge price
swings that the west coast and central Canada has seen in the past.
So
if you are considering selling, the market is good for sellers. The
buyers are having trouble finding the property they are seeking at what
they consider as good value.
If
you have been wondering what the value of your property is, and what to
expect in your price range and area, I will be happy to sit down and
discuss it with you.