Real Estate Market Gathering Steam, Best Sales Growth in Canada

Posted by Alan Zunec on Thursday, May 24th, 2012 at 11:37am.

Calgary is once again poised to become the hottest real estate market in Canada. MLS data from April showed that the city saw 2,720 properties change hands, a 30 percent increase over April of 2011. On a national level, sales this April saw a 11.5 percent increase from April of 2011. Robert Kavcic from BMO Capital Markets noted that for the first time in nearly three years, sales have climbed above the average ten year mark.

Prices are rising more modestly though. The Canadian Real Estate Association, or CREA, noted that in April the average home price was $414,932 which is a 0.7 percent increase. Nationally the increase was 0.9 percent. But inventory is tightening up. All it would take for Calgary to see its real estate market skyrocket would be a continued high price point for oil and continued strong economic factors resulting in more people moving into the province.

New listings were up 4.4 percent, at 4,370, comparing April of 2012 to the same month in 2011. Nationwide that increase was 4.9 percent with 89,739 properties listed. The average sales price in Alberta came in at $365,830, a 1.9 percent jump, with 10,718 new listings, a 2.4 percent increase. Some 6,191 homes changed hands, an increase of 23.5 percent province wide.

Once red-hot Vancouver saw sales decrease by 13 percent, with a near ten percent drop in price to an average of $735,315. Toronto saw 10,350 sales in April, up 14.5 percent from the same month in 2011, at the same time seeing a 8.4 percent price hike to an average of $517,556.

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