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Average price slips as fewer people moving to Alberta, realtors association says
( J% j4 w/ O$ n, Z7 D: X: ?Bill Mah, The Edmonton Journal
" }3 Z. F5 o( V2 CPublished: 1:31 am5 [: _/ M$ q( G& Y, |& L: i, P
EDMONTON - The buyer still reigns in Edmonton's housing market, where the number of homes for sale has skyrocketed by 268 per cent from a year ago.' g3 R; F, `. u9 O& C7 y' P! s
- F% F. g& _# ~" n5 bFigures released Thursday by the Realtors Association of Edmonton show there were 9,464 residential properties available in the city area -- up by a whopping 1,220 homes from February.
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1 I9 @0 V5 T- \* d% l/ }That's the third-largest inventory in Edmonton history. Only last September and October were there more homes for sale at month's end, 9,918 and 9,577 respectively.
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Association president Marc Perras said the inventory, about six month's worth, stems largely from fewer people moving to Alberta.
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Net migration to Alberta last year was 27,048. That's down significantly from 74,523 who moved here in 2006, according to Statistics Canada data.
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"We had an industry that ramped up, expecting that those numbers would keep up and now, as a result of that drop-off, we've seen inventory numbers come up fairly significantly," Perras said.
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He predicted home prices will increase by the year's end as inventory drops and called the current situation a "stable, normal" market.
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8 O l- H" w. T2 ?5 I2 N2 Y, l"Our sales volumes are similar to what we saw in 2004 and 2005 and our prices are essentially flat.
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"We saw quite a roller-coaster ride last year when prices jumped up significantly in the first six months and fell off significantly in the last six months."' b" d' q( ]# {! S
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A single-family home sold in March for an average price of $387,632, down 2.7 per cent from March last year.
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( H' u" ~1 o' p( h- c/ MBut the average residential price -- including single-family homes, condos, duplexes, mobile homes and others -- was $343,760, 5.66 per cent higher than March 2007./ @+ b+ v2 Q' L* h- C2 i
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There were 1,557 residential properties sold in March with new listings of 4,236 for a sales-to-listing ratio of 37 per cent. Homes spent 51 days on the market, down one day from last month.
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Total MLS sales in March dropped 31 per cent from a record-setting pace in March 2007.) ]' N5 h+ U7 c$ {
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Meanwhile, a house price survey released Thursday by Royal LePage Real Estate Services says Edmonton-area houses became more affordable in the first three months of 2008.
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The study looked at certain local markets examined and found the average price of a "standard two-storey home" fell 3.7 per cent to $363,707.
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1 t, A& x3 m3 G5 _* z- `The price of detached bungalows fell 4.9 per cent to $330,000 from the same time last year. Standard condo prices also fell 7.7 per cent year-over-year to $235,000, said the LePage study.! C: O3 K) z' ^! s
! O- C9 U6 P6 ]0 kKen Shearer, a Royal LePage broker and owner, said debate over energy royalties kept house prices lower.
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"As a result of this debate, the market has receded from the wild pace it experienced last year as buyers are simply no longer interested in paying skyrocketing house prices," he said.
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/ _" d, c$ B# A. H0 fAccording to the report, prices varied by specific market in the Edmonton region. Here are some highlights:, e) O8 e; Q; U# J, x, w$ b
6 P! \9 {9 ]5 `9 q3 Q2 tSherwood Park: Average prices for two-storey homes dropped by 7.1 per cent to $390,000, while detached bungalows and condos were unchanged from last year.4 q4 g4 P" M' t# b' ]4 f
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Spruce Grove: A two-storey home rose 6.9 per cent to $405,000 year-over-year.0 U& b' I$ T ^( ]6 N
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Riverbend/Terwilligar: A two-storey property rose by 12.7 per cent to $410,950 over the same time last year. The average price of a detached bungalow rose by 2.6 per cent to $390,000, while condo prices dropped by 10.6 per cent to $235,000.
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8 f0 }; `6 U7 I9 cLeduc: Average condo prices rose by 9.1 per cent to $240,000 year-over-year. Two-storey house prices dropped by 7.5 per cent ($310,000.)+ ]) U# O6 |( H- U
' Y# S$ p* H9 f q7 i" L, K2 WSt. Albert: The average price of a two-storey home fell by 12.8 per cent to $340,000 while detached bungalows dropped by 12.3 per cent and condos by 13.3 per cent.. Y1 ~8 b$ o4 e, ~
Castle Downs: Average detached bungalows fell by 18.6 per cent to $285,000. Average two-storey homes went down 11.4 per cent to $350,000.
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4 i$ X g9 z I3 I) ?Clareview: Detached bungalows decreased by 8.8 per cent to $310,000, year-over-year. Condo prices fell by 16 per cent to $210,000 from the same time last year. |
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