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2012 begins as a seller’s market for Saskatoon homes: SRAR

Norm Fisher — Fri, 03 Feb 2012 03:56:54 +0000

The Saskatoon Region Association of Realtors® (SRAR) released the MLS® residential real estate statistics for January of 2012 today, accompanied by the following release.

In 2012 we are starting out with a market that favors sellers. The number of residential properties listed in Saskatoon was 528 units, down only 1% from last January while the MLS® sales were up 20% to 310 units (247 units within the city limits, an increase of 27% compared to January 2010). This resulted in an increase in the average selling price of 6% to $318,163. There were a total of 951 active listings for January 2012, which was also down 1% from last January.

The $300,000 to $349,999 price range recorded the most sales at 68 units, an increase of 51% from 45 units in January 2011. The highest average sale price of $377,757 remains in the neighborhoods on the far East side of Saskatoon, which also has the most active listings and units sold.

Activity was slower in the areas surrounding Saskatoon. There were only 185 residential properties listed compared to 213 properties in January 2011 for a decrease of 13%. The number of sales was down 26% from 57 to 42 units year over year. In spite of this quieter activity the average residential sales price in the areas surrounding Saskatoon was up 3% from last January to $279,171.

The number of days to sell remained almost unchanged at 46 within Saskatoon while listings in the area surrounding Saskatoon took 75 days on average to sell which is an increase of 25%. The area with the shortest time to sell continues to be the North end, West of the river, at 33 days on average.

If the supply of product continues to remain consistent with last year and if the anticipated increase in demand occurs, our city will remain in a seller’s market with buyers competing for their purchases. It is expected that Saskatoon will continue to buck the softening price and activity trend taking place across Canada.

Jason Yochim
Executive Officer
Saskatoon Region Association of REALTORS®

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Week in review on a short vacation

Norm Fisher — Sun, 29 Jan 2012 12:10:27 +0000

Hi everyone,

I’m away on a short vacation until February 3. This week’s review will be combined with the following week’s numbers when I return.

Business carries on with Lyndon and Susan running the show. If you have real estate questions, please feel free to contact one of them. Either would be delighted to hear from you.

I look forward to talking with you when I get back. Thanks again for reading.

Norm Fisher
Royal Lepage Saskatoon Real Estate

Saskatoon housing affordability improves in 2011: Demographia

Norm Fisher — Tue, 24 Jan 2012 04:39:05 +0000

Housing affordability in Canada saw its greatest deterioration in years according to the 8th Annual Demographia International Housing Affordability Survey: 2012. Demographia’s estimates suggest that Canadian home buyers can expect to pay 4.5 times the country’s median income to purchase a home priced at the median,* a number which the survey authors consider “seriously unaffordable”.

Saskatoon recorded its third consecutive annual improvement in affordability according to Demographia’s study. It moved from a median multiple of 4.3 in 2010 down to 4.0 by the third quarter of 2011 to re-enter the ranks of the “moderately unaffordable” for the first time since 2007.

Calgary, Montreal and Victoria also showed modest affordability improvements during 2011 while Halifax, Ottawa, Regina, Toronto, Vancouver, and Winnipeg all became less affordable.

Vancouver once again reined for the largest income to price gap in Canada. In that area it now takes 10.6 times median income to purchase a home priced at the median, up from 9.5 times just a year ago.

Click image for a larger view.

See the entire Demographia survey for 2012 and past reports for 2011, 2010, 2009, 2008, 2007, and 2006.

*The median defines the centre point where half of all values are above and half are below that point. For instance, if the median income for an area were $50,000 then half off all income earners would earn more than that and half would earn less. In the case of home values, it’s the point at which half of all sales occur above the number, and half occur below.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call or email.

Our Saskatoon home search tool offers MLS listings represented by all real estate brands, presented with more detail than you’ll find anywhere else. Check it out here.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon real estate week in review: January 15-21, 2012

Norm Fisher — Sun, 22 Jan 2012 17:03:48 +0000

The second full week of the new year wrapped itself up looking a lot like the first. Saskatoon real estate agents reported a total of 52 house and condominium sales to the local MLS®, for a weekly decline of three homes and a year-over-year increase of four. New listings in the same housing categories slipped by seven units from last week to just 96 and finished two units shy of last year’s numbers. For those who can’t read between the lines, the most recent numbers show three consecutive weeks of increasing sales and decreasing new listings when viewed on a year-over-year basis. It’s far too early to draw any conclusions from that because we’re dealing with some pretty small numbers but it will be interesting to watch and see if any notable trends develop in the weeks ahead.
The total inventory of active residential listings on the Saskatoon multiple listing service® continued to edge higher growing by 16 homes over the course of the week to 918, just nine fewer than were available at the same time in early 2011. Today’s total inventory shows 535 active single-family home listings and 305 condominiums. At the same time last year, those Saskatoon housing categories stood at 503 and 376 respectively. The year-over-year decline in available condo listings continues to widen moving from 15 percent last week to 19 percent by the close of this week.
Cancelled and withdrawn listings slipped lower to just 21 with eight of those returning to the system on the same day they were removed, most at a lower price. This week, an additional 15 sellers adjusted the asking price on their existing MLS® listing. Another 15 properties expired from the system without a sale.

Fewer sales at the upper end of the real estate market brought the average selling price of a Saskatoon home lower this week by $45K to $305,680. The median sale price followed along and in fact, slid a bit more to $283,000. The six-week average still managed to push a little higher, gaining less than a thousand dollars on the week to close at $318,244 while it claimed an annual increase of just over seven thousand dollars. The four-week median price slipped about twelve thousand dollars to $309,500 finishing above the close of $298,000 recorded during the same week of 2011.

Overbid activity was pretty scarce as just one lucky seller found a buyer who was prepared to bid up their price. That particular sale closed $2,000 above the asking price. Seven sellers closed with a full price offer while 44 of 52 recorded sales resulted in a sale price that was $8,640 below the asking price, on average.

Highlights from the news this week

Big banks warn on housing market - CBC News
Saskatoon housing prices see slight increase in fourth quarter – Star Phoenix
Canadian home sales edge higher in December – CREA News
Locking in never looked better - Financial Post
Housing appears set for a soft landing, but not Vancouver? - Globe and Mail
Low rates boost home sales - Financial Post
Is now the time to lock in my mortgage? – Globe and Mail
More expensive homes selling in Saskatoon – Star Phoenix
Mark Carney sees consumer debt burdens growing fatter - Globe and Mail
Our love affair with home ownership might be doomed – Globe and Mail
Canadians fueling Phoenix housing recovery – Financial Post

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Clear softening trend will lead to correction in Canadian home prices: CIBC

Norm Fisher — Thu, 19 Jan 2012 16:56:44 +0000

In a short report from CIBC economist Benjamin Tal says there are “clear signs that the Canadian housing market is softening.” He points to a small decrease in the national sales to listings ratio and the smallest year-over-year price increases since October 2010 as leading indicators of a softening real estate market.

“While we do not see house prices crashing, we do believe that house prices in Canada will level off in the near future and might start trending downward modestly. Further out, the most likely scenario is that the eventual increase in interest rates will lead to a decline in prices (probably in the magnitude of 10%-15%). But given the current balanced affordability position, the more significant adjustment will be in housing market fundamentals that are likely to catch up with prices in the coming years—paving the way for a healthier housing market later in the decade.”

Indeed a softening in house prices in the next year or so is a necessary condition for such a soft-landing scenario. If the pace of house price increases accelerates during that period, then a year or two from now the likelihood of a violent price correction will be higher than it is now. “

Read the CIBC report here.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Canadian home sales edge higher in December, 2011: CREA

Norm Fisher — Thu, 19 Jan 2012 16:43:28 +0000

CREA economist Gregory Klump reports on MLS® sales and listings for the Canadian real estate market for December, 2011.

Highlights from CREA’s release

Sales activity rose 1.8 per cent from November to December.
Annual activity totalled 456,749 sales in 2011, up 2.2 per cent from 2010.
The number of newly listed homes increased 3 per cent from November to December.
A simultaneous increase in sales and new listings kept the national resale housing in balanced territory.
The national average home price was up just 0.9 per cent on a year-over-year basis in December, marking the smallest increase since October 2010.

Read the complete release here.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call or email.

Our Saskatoon home search tool offers MLS® listings represented by all real estate brands, presented with more detail than you’ll find anywhere else. Check it out here.

Norm Fisher
Royal LePage Saskatoon Real Estate

Samsung’s smart window technology coming to a home near you?

Norm Fisher — Sun, 15 Jan 2012 15:57:12 +0000

I happened across a video that was shot at the 2012 Consumer Electronics Show in Las Vegas, which showcases Samsung’s Smart Window technology. It’s amazing!

As a window, it does everything that you might expect, allowing light into the home and keeping the weather out. At it’s core, it’s so much more. The transparent touchscreen is home base for the display of digital media and widgets including weather, twitter, web browsing, and so on.

At the right price, it’s got great potential as the family media centre where a large screen television might be difficult to incorporate into the room.

The video that I initially saw said that Samsung intends to enter a mass production stage in the next couple of months. A post on Engadget says it’s still in the concept stage. In any case, check it out.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Multi-family development near Montgomery Place can proceed

Norm Fisher — Sat, 14 Jan 2012 19:07:22 +0000

Last week, Montgomery Place residents scored a bit of a win when the City of Saskatoon announced that a proposed wind turbine at the nearby landfill would not go ahead as planned. This week, they weren’t so lucky as city administrators prepared a report for council that states a proposed multi-family development on land just North of 11th Street can move forward in the approval process.

The report states that existing zoning is appropriate for the proposed development which will meet the city’s long-term plans to encourage a mix of housing types in all neighbourhoods. Currently, single-family homes are the only type of housing available in the Montgomery area. Further, the report explains that the development will contribute to a “more compact and efficient urban form and make effective use of existing community infrastructure,” an important consideration given the rapid population growth that Saskatoon is experiencing.

Once the approval process has been completed, five acres of the 18-acre parcel of the land owned by North Ridge Developmentswill become home to a 192 unit apartment complex. The remaining 13 acres will likely be developed as demand dictates. The current plan calls for up to 750 housing units when complete.

The project met resistance from the area’s community association who feel that the development is “out of step with the character of adjacent Montgomery Place,” according to a story in the Star Phoenix. Many residents of the historic area that was developed in honour of Second World War veterans feel that the neighbourhood has been “under siege” as the area around them changes to accommodate and expanded landfill, a new bus barn and city yards site, and the extension of Circle Drive South.

In one seemingly over-the-top expression of concern, Councilor Pat Lorje, speaking about Second World War veterans, declared the move as an end to “the recognition of their sacrifice.”

I’m going to go ahead and make two bold predictions. Saskatoon will continue to honour the sacrifice of our Second World Wars veterans, and Montgomery Place will maintain its unique charm for years to come in spite of this development. It’s a beautiful area now and so it will remain.

Learn more about beautiful Montgomery Place.
Read: Montgomery development can proceed; Lorje says decision ‘dishonours’ veterans.
Read also: Montgomery plan approved.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon real estate week in review: January 8-14, 2012

Norm Fisher — Sat, 14 Jan 2012 17:45:53 +0000

…and we’re off. The Saskatoon real estate market recorded its second week of year-over-year sales gains for 2012, accompanied by annual declines in new listings.Local agents reported 55 firm house and condominium sales to the Saskatoon multiple listing service®, up sixteen sales when compared against the previous week, and ahead of sales for the same week last yearby 13 units. Meanwhile, new listings inched higher on a weekly basis growing by just four to close at 103 houses and condos, down ten from 113 homes listed during the same period of 2011.
For the first time in nine weeks, the total inventory of active residential listings grew, closing the week at 902 units, well up from 862 at the end of the previous week. That said, it also closed lower than it had the previous year for the first time in as many weeks. Presently, MLS® inventory sits just three units below the 905 residential properties that were for sale at the same time in 2011. On an annual basis, all of the losses can be counted in the condo category, which has slipped from 363 available units a year ago to just 309 units today, a fifteen percent decline. Conversely, availability of single-family homes continues to see some improvement for buyers on a year-over-year comparison, growing from 492 a year ago to 510 active listings today.

Cancelled and withdrawn listings ramped up about 25 percent from the previous week to 25 units with 14 of those making a quick, same day return to the MLS® system with a new price and showing zero days on the market. An additional seven properties reached the end of their term without finding a willing buyer and expired from the system. Over the course of the week, 22 Saskatoon home sellers adjusted their pricing strategy in hopes of capturing a buyer before the spring rush of listings ensues.

A couple of huge sales in the luxury category (two that averaged close to one-million dollars each) pushed the average sale price of a Saskatoon home to levels rarely seen. In stark contrast to last week’s unusually low number, the average surged higher by more than 50K to close the week at $349,753. It has only been higher one time when it barely cracked the $350,000 in October of last year. Both of our longer term measures moved in the same direction, though much more modestly. The six-week average price gained about $4,500 over the week before to reach $317,694 and captured an annual gain of about $8,000. The four-week median picked up a little more than $7,000 on the week to finish at $321,492 and claimed a year-over-year gain of more than $26,000. Much of the growth in median prices appears to result from a growing number of higher end sales, as opposed to a diminishing number of lower end, or entry level sales.

Just two Saskatoon home sellers found a buyer willing to pay them more than their asking price. Those two deals were reported to have sold at an average of $800 above list price. Another five sellers bagged a full price offer. Meanwhile, most of the week’s activity required a little back and forth magic to come to an understanding that resulted in a sold sign. Those deals saw an average discount of $10,589 or roughly 2.5 percent of the asking price.

Highlights from the news this week

First-time home buyers lean on bank of mom and dad – Financial Post
Non-residential construction up 118 percent in November – Star Phoenix
Building permits fall in November after big gain - Globe and Mail
Bank chiefs sound alarm over housing market - Globe and Mail
Saskatoon to lead nation’s growth: Conference Board - Star Phoenix
Saskatoon house prices edging up – Star Phoenix
Assessing Canadian bank risk with a ballooning mortgage portfolio - Globe and Mail
Expect homes prices to keep rising in 2012: Royal LePage – Financial Post
Ahead of crash, Fed saw little threat from housing – Globe and Mail
Fixed rates hit the basement - Financial Post
BMO move spurs rivals to drop mortgage rates - Globe and Mail
Does new BMO rate spell the end to 30-year ammortization? - Canadian Real Estate Wealth
Is real estate overheated? The bubble discussion rages on - Financial Post
Big banks warn on housing market - CBC News

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon posts strongest numbers for housing starts in decades for 2011

Norm Fisher — Thu, 12 Jan 2012 15:11:06 +0000

In 2011, Saskatoon and Regina both saw housing starts increase to levels not seen since the early 1980′s, according to a senior market analyst for the Canadian Mortgage and Housing Corporation (CMHC).

Builders in Saskatoon started construction on 1,608 single-family homes and 1,386 multi-family dwellings for a total of 2,994 homes, up from 2,381 last year to mark an annual gain of roughly 26 percent.

Meanwhile in Regina, construction got underway on 958 single-family homes and 736 multi-family dwellings to close the year with 1,694 starts and a year-over-year gain that also reached 26 percent.

“Saskatchewan’s expanding economy and labour market continued to attract elevated numbers of migrants into the province’s centres. This bolstered housing demand in 2011 and fuelled a pace of starts rarely seen across the province,” Michael Fabiyi explained in the CMHC media release.

Read the coverage in today’s Star Phoenix.
See CMHC’s Preliminary Housing Start Data report.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon posts modest house price increases in Q4-2011: Royal LePage

Norm Fisher — Thu, 12 Jan 2012 13:49:41 +0000

Continued migration and low interest rates offset by healthy supply of homes for sale

SASKATOON, January 12, 2012 – The Royal LePage House Price Survey and Market Survey Forecast released today showed slight year-over-year price increases for all three housing types surveyed in Saskatoon.

Detached bungalows posted a modest gain of 0.9 per cent, selling for a fourth quarter average of $334,250, over the same quarter in 2010. Standard two-storey homes saw a 2.6 percent increase over the same quarter last year, selling for an average of $368,750. Standard condominiums sold for an average price of $232,333 – a 3.3 per cent year-over-year increase.

“Migration to the area continues to sustain Saskatoon’s balanced market,” says Norm Fisher, Royal LePage Saskatoon Real Estate. “In the fourth quarter we also saw a demographic shift. Although we see a range of buyers, typically the market is dominated by first-time buyers. In the fourth quarter, more established buyers took advantage of low interest rates to move-up from their previous homes.”

Fisher also noted that pockets of Saskatoon still had an ample supply of inventory and this led to the balanced conditions seen in the fourth quarter.

Nationally, despite calls in some quarters for Canadian house prices to soften in 2011, the market proved resilient as demand created by low interest rates and a relatively stable national economy created upward pricing pressure for all housing types surveyed. Further, recent high profile reports forecasting significant house price declines in 2012 are not supportable. In the fourth quarter, standard two-storey homes rose 4.2 per cent year-over-year to $375,427, while detached bungalows increased 6.1 per cent to $344,392. Average prices for standard condominiums increased 3.6 per cent to $234,680.

“In the recovery period following the 2008-2009 recession, I found myself repeatedly speaking of ‘irrational exuberance’ in the Canadian housing market,” said Phil Soper, president and chief executive of Royal LePage Real Estate Services. “Expectations were too high and the pace of expansion unsustainable. With this report, I find myself in exactly the opposite position. Widespread calls for a major real estate correction in 2012 simply can’t be justified. The industry has significant momentum entering the year, and is buoyed by the stimulative effect of very low interest rates; we expect the market to continue to expand – albeit at a slower pace.”

Royal LePage expects average price growth to continue through 2012 and predicts national average prices to increase by 2.8 per cent by the end of the year.

Saskatoon’s Nutana area offers diversity in its people and its homes

Norm Fisher — Wed, 11 Jan 2012 14:20:35 +0000

Here’s a link to an article that’s part of a series that appear in Bridges in which Charles Hamilton gets a feel for a Saskatoon neighbourhood from a resident of the area. This one is about the Nutana area of Saskatoon.

Read it here.

See our neighbourhood page for Nutana here.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Construction of Affinity Credit Union offices underway in City Park

Norm Fisher — Sun, 08 Jan 2012 16:29:16 +0000

Construction is underway on the new Affinity Credit Union offices which will be located at 710 Duke Street in Saskatoon’s City Park. The construction plan, managed by Meridian Development will make use of the existing 49,000 square foot building on the site. Some additional space is being added at the North end of the building to accommodate what appears to be the main entrance to the offices.

As a former school, the parcel includes a fair bit of land that had previously been used for recreation. It looks like the construction plan will leave a lot of room for additional development to the North and to the East of the existing building. I expect that we’ll eventually see that land used for condominium development, but that’s only a guess.

The building was originally constructed in 1927 by the Saskatoon School Board as Wilson School. When the school amalgamated with North Park School in 1993, the property was purchased by the First Nations University of Canada who used it as a school until 2011 when funding issues forced them to sell.

Visit TeamFisher’s City Park neighbourhood page.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon real estate week in review: January 1-7, 2012

Norm Fisher — Sat, 07 Jan 2012 16:52:55 +0000

The new year got underway with lacklustre sales, as it typically does. Saskatoon real estate agents reported a total of 39 detached house and condominium sales to the multiple listing service®, an increase of three from the previous week, but considerably more than we saw trade during the same week last yearwhen just 24 sales were reported.Saskatoon home sellers did not waste any time getting back to business. This week saw 99 new listings in the same two housing categories, well up from last week when just 21 homes were placed on the market, but down from the same week a year ago which saw 123 new MLS® listings.
MLS® inventory levels fell big as 122 Saskatoon home listings expired without a sale at the end of the year. A brisk week of listing activity quickly brought it higher to close at 862 homes, down 50 units from the end of the previous week and pretty much on par with where is was at this time last year when 858 showed an active status. Today, there are 506 single-family detached homes and 295 condominiums for sale within the city of Saskatoon. Last year at this time, those numbers stood at 467 and 341 respectively, continuing the recent trend of an increased selection of houses and fewer condos for buyers to choose from.
Cancelled and withdrawn listings started to ramp up again as 20 sellers pulled their home from the market, however temporarily. As is most often the case, half of those re-listed the same day, most at a new asking price, and all with a new MLS® number and their “days on the market” showing a big fat zero.A poor sales performance in area one where most of our luxury homes trade caused the average sale price of a Saskatoon home to decline by $11,000 and fall below the $300K mark for the first time since late July. The six-week average price slipped thirty-five hundred dollars from last week to $313,177. It managed a year-over-year gain of roughly eight thousand dollars. The four-week median moved in the opposite direction gaining a remarkable thirteen thousand dollars over the previous week’s number to finish at $313,745 for an annual gain approaching $25,000. Note that the two longer term measures finished very close, so the dots on the left side of our chart are quite close together, barely distinguishable.

Three Saskatoon home sellers managed to find a buyer willing to pay a bit more than their asking price, all in area five, which garnered than its fair share of the market activity this week, 22 out of 39 sales. Those who paid more than the list price placed offers that were almost $5K above the asking price on average. Another seven sellers got their full asking price while 29 of 39 sellers gave up an average of $8,891 at the negotiating table to close a sale early in the year.

Once again, happy new year to all of you. I appreciate your regular visits and hope to spend a bit more time in discussion with you this year.

Highlights from the news this week.

Investing in property: a young person’s game – Globe and Mail
Saskatoon mayor hopes for strong, vibrant downtown – NewsTalk 650 CKOM
Saskatoon asking prices highest in The Willows – Star Phoenix
Montgomery battle brews - Star Phoenix
CIBC economist: More like 15% overvalued – Canadian Real Estate Magazine
Canadian unemployment rate creeps up – Financial Post
Sask. unemployment rate up slightly in December - CTV News
New SRAR leader excited about future – Star Phoenix
Will the housing decline be mild or ‘something much nastier’? – Globe and Mail

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Montgomery Place residents win one as proposed wind turbine gets scrapped

Norm Fisher — Sat, 07 Jan 2012 16:51:08 +0000

A story in this morning’s Star Phoenix says that the wind turbine that had been previously approved by Saskatoon city council for construction has been scrapped.Only one bid was received to build the controversial 120-metre turbine, and that bid was $1.35 million more than the budget allotted for the project.

Vocal residents of Montgomery Place argued that the turbine would be an eye-sore in the historic area and that noise generated by the turbine would be troublesome to those living in the area.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Montgomery residents say no to proposed apartment buildings in their area

Norm Fisher — Sat, 07 Jan 2012 16:33:50 +0000

Residents of Saskatoon’s Montgomery Place area are rattled at the thought of apartment buildings in their area, one of the few neighbourhoods in the city that is comprised entirely of single-family dwellings.North Ridge Developments, which owns an 18 acre parcel on 11th Street East is seeking approval to build three four-storey rental apartments with a total of 192 units on five acres of that land. The remaining 13 acres could be developed if an appropriate level of demand exists. The current bylaw allows for this type of construction, and has since 1979, but a designation added in the ‘90’s requires developers to show that the existing infrastructure is adequate to accommodate new development. Residents of the area feel that a potential doubling of the population in the historic area would lead to traffic congestion and over-populated schools.

Montgomery residents seem to be feeling a bit “under siege,” according to a recent story in the Star Phoenix. Other recent concerns include a proposed 120-metre wind turbine which would be erected at the landfill, the development of Circle Drive South, and the plan to relocate the city yards and the public transit headquarters, all of which will be adjacent to the area.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

A balanced Saskatoon real estate market prevails in 2011: SRAR

Norm Fisher — Tue, 03 Jan 2012 23:12:10 +0000

The Saskatoon Region Association of REALTORS® (SRAR) released the residential real estate statistics for December, 2011 today, accompanied by this release.

The ideal balance of buyers and sellers in 2011 resulted in a modest 5 percent increase in the average residential selling price of a home in Saskatoon which increased to $309,835. This was a record setting year for the total residential sales volume which totalled $1,247,705,573. The total number of residential sales for 2011 of 4027 units was up 13 percent from 2010. The increase in the average selling price continues to make investing in real estate attractive without driving buyers out of the market place.

The average selling price in the month of December was $312,834, up 4% from December of 2010 when it was $299,897. December saw 254 houses change hands, taking 45 days to sell on average. This was a whopping 37 percent above December of 2010 which recorded 186 sales. However, the year to date increase in sales was 13 percent. There were 275 homes added to the Saskatoon inventory in December which was consistent with the previous December.

Year to date 7051 homes were listed for sale, up 4 percent from 2010 when 6757 homes were placed on the market. There were 820 residential properties for home buyers to select from at the end of December.

The change in market activity surrounding Saskatoon was less than that of the city in December. The number of properties that sold was up 8 percent from December of 2010 when just 38 homes changed hands. The average price in these areas in December was $261,852, a sharp decrease of 12 percent from 2010 when it was $295,905. The year to date average selling price, was $279,861, up 8 percent when compared with 2010. REALTORS® listed 91 homes in the areas around Saskatoon, that number down slightly by 2 percent from December of 2010 when 93 homes were listed.

It is anticipated that 2012 will be very similar to 2011 with steady increases in the average sale price. The city of Saskatoon continues to work toward meeting the demand for serviced lots. Our population will continue to see a steady in migration as the availability of jobs remains strong. Interest rates should continue to remain low due to struggling economies in some Canadian cities as well as our trading partner countries.

Jason Yochim
Executive Officer
Saskatoon Region Association of Realtors

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

A five year statistical history of Saskatoon’s residential real estate market

Norm Fisher — Sun, 01 Jan 2012 22:40:31 +0000

There’s little doubt that the end of the year is an appropriate time to look ahead when it comes to personal and professional goals and resolutions. Try as we will, that’s a little trickier when it comes to markets and over the past few years we’ve seen the real estate market perform against popular expectations, sometimes in spite of significant efforts to cool it. I’m not going to venture many guesses as to where things are going in the short term, but as you know, I’m always interested in looking back to see what has actually transpired over time. With that, I present for your review, a five-year history of Saskatoon’s residential real estate market.

The next two charts show all activity in the residential category of the Saskatoon Multiple Listing Service. The numbers include single-family homes (houses), condominiums, duplexes, semi-detached dwellings, vacant lots and even mobile homes. These are the numbers that are commonly used when you hear the media and the Saskatoon Region Association of Realtors quote numbers on our market.

The next two charts show the same statistics for single-family homes. Generally, these are the numbers that are used when people are talking specifically about detached houses.

The final two charts provide the same statistics for the condominium categories. Included in these numbers would be units commonly known as apartment style condos and attached townhouse (row house) dwellings.

Any surprises?

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon real estate week in review: December 26-30, 2011

Norm Fisher — Sat, 31 Dec 2011 16:41:06 +0000

The final week of sales for the Saskatoon real estate market closed as it always does. That being, very quietly. The city’s agents reported a total of 36 single-family home and condo sales to the Saskatoon multiple listing service®, 26 fewer homes then were sold the previous week, for an annual gain of six when compared against trades recorded during the same week in 2010.I’m always surprised when anyone lists their home over the holiday week, but 21 homes did find their way to the MLS® system this week, precisely the number that went live during the same week a year ago, but nearly half the number that were offered for sale the previous week.The total inventory of active residential listings on the Saskatoon Multiple Listing Service® slipped again, as expected, falling 41 units from the previous week to 912 properties to finish well above the number recorded at the end of the same week last year when inventory plunged to just 788. It’s also worth pointing out that the same week last year closed on the 31st of December, so a slew of month end expired listings had just fallen out of the inventory when we made our weekly report. Likewise, this year, there are about 100 listings that will expire as the year closes later today, making the year-over-year gain to a less significant number than it appears today.

As of this morning, there are 510 single-family homes and 342 condominiums showing an active flag on the MLS®. By tomorrow, those numbers will have slipped to 483 and 315 respectively. At the close of the same week last year, the two categories sat at just 439 and 298 respectively. No matter how you slice it, it looks like we’ll be kicking off 2012 with nearly ten percent more inventory than we had had the opening of 2011. However, the chart for active listings makes it pretty clear that inventory levels at the start of the year don’t provide any solid signals as to where they might go.

Cancelled and withdrawn listings fell to nearly none as just nine sellers pulled their property from the market. Two of them did the immediate re-list hoping to convince the market that the listing is “new.” Another 11 sellers changed their pricing strategy by bringing it down, while two more listings reached the end of their time on the market without a sale.

The average selling price of a Saskatoon home slipped lower to $311,341 after climbing close to $20,000 over the previous two weeks. The six-week average pushed higher by twenty-four hundred dollars from last week to finish at $316,608 for an annual gain of roughly nine thousand dollars. Finally, the four-week median fell back over three thousand dollars from last week to close the week at $300,888. That’s up nearly $21K from the close of the same week last year when it slipped to just $280,000, a number that was low enough to appear out of sync with what had become the norm at that time, and a level that we haven’t reached since then. The numbers coming into 2011 almost present a better baseline for comparison of year-over-year sale prices. Using those, we see growth in the six-week average of around $11,000 and a gain to the four-week median of just $6,400.

Overbidding was pretty much a thing of the past last week, except for a few new homes reported sold substantially higher than list price in spite of lengthy market times, which we typically count as having sold at list (assuming that some extras were negotiated into the deal). Full list price sales came in at just seven, while 29 of 36 firm sales required some back and forth at the negotiating table with the sellers giving up an average of $10,900 to successfully close the sale.

Highlights from the news this week.

Classic bubble signs in Canadian housing market: Merrill - Globe and Mail
Canadian real estate in the middle of the pack globally – Canada.com
New population record for Saskatoon in sight – Star Phoenix
Real estate slowdown that wasn’t is now expected in 2012 – CTV
Aging baby boomers helping to change Canada’s housing market: CMHC – Globe & Mail
Saskatchewan economy sets records and attracts investors in 2011 - Govt. of Sask release
Real estate bubble in 2012? Nah, it’s starting to float back to earth – Globe and Mail

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

What does 2012 have in store for the Canadian real estate market?

Norm Fisher — Sat, 31 Dec 2011 07:13:45 +0000

As 2011 draws to a close it’s clear that Canadian housing has performed better than most expected this year. It’s also clear, that in some markets, buoyant conditions and aggressive price increases have some experts talking about a price bubble again. There are a wide range of commentary, opinions and predictions coming forward and I thought I’d share those that I’m currently aware of, from those who profess to be experts. So, what does 2012 have in store for the Canadian housing market? It depends on who you’re talking to.

BMO

BMO’s Douglas Porter expects the Bank of Canada to hold interest rates through 2012, perhaps even drop them further. According to Porter, Vancouver will lose its status as Canada’s hottest housing market being replaced by Calgary and Edmonton.

BMO’s five fearless forecasts for next year – Globe and Mail

TD Economics

TD also sees the most promising signs for a strong market in Calgary and Edmonton while Toronto and Vancouver will experience the most serious price corrections.

Estimating that Canadian home prices are 10-15 percent overvalued, TD predicts that resale activity across Canada will fall 2.4 percent in 2012 while prices decline by 1.9 percent on average.

In Saskatoon, TD expects sales to slide 2.3 percent while prices slip 2.1 percent. Meanwhile, new housing starts are expected to grow by 2.6 percent.

Get ready for housing market correction: TD – Financial Post
Special Report: Regional Housing Markets – TD Economics

Bank of America Merrill Lynch

Merrill Lynch estimates that Canadian housing is 10 percent overvalued at the present time. They expect that weaker economic growth and an oversupply of condos will lead to a five percent drop in home prices through the first half of 2012 and further expect prices to end the year flat as economic activity accelerates.

Merrill: Classic bubble signs in Canadian market - Globe and Mail
Home prices set to drop in 2012 - Star Phoenix

Canada Mortgage and Housing Corporation (CMHC)

Nationally, CMHC predicts housing starts will decline 2.2 percent while MLS sales rise roughly 1.9 percent and resale prices grow by 1.2 percent on average.

In Saskatchewan, CMHC expects that housing starts will increase a whopping 8.3 percent. Resale transactions will also grow but more moderately at six percent, while average resale prices gain two percent.

In Saskatoon, CMHC sees housing starts declining by 11 percent. Still, they’re predicting increases of roughly 1.4 percent in the cost of a new home. After reaching their highest level since 2007, resale activity will fall roughly 1.3 percent to 3,800 units while resale prices grow by 2.1 percent.

CMHC Housing Market Outlook, Canadian Edition, Q4 -2011
CMHC Housing Market Outlook, Saskatoon CMA, Fall 2011

RBC

“The oversupply of homes on the market continues to weigh on new construction especially given that sales activity is running at a below-average clip. This is even with rock-bottom mortgage rates and financial institutions putting an end to the tightening in lending standards for mortgages. The government continues to make efforts to encourage homeowners to refinance at today’s lower rates though the take-up rate on these initiatives has been limited. The bottom line is that until the supply of homes available for sale is reduced, construction activity will make a very limited contribution to economic growth. In turn, this will limit the improvement in prices restricting growth in household real estate assets.”

Economic and Financial Market Outlook: RBC Economics

The Economist

“In some countires, such as Australia, Canada and Sweden, prices wobbled and then surged to new highs. As a result, many property markets are still looking uncomfortably overvalued.”

House of horrors, part 2 – The Economist

Remax

Nationally, Remax expects resale activity to increase marginally by one percent while prices grow by two percent.

In Saskatoon, the real estate company sees resale activity growing by approximately ten percent to roughly 4,500 units while prices rise about three percent (my estimates based on the charts included in the report).

Remax Housing Market Outlook, 2012

I have no doubt there are other bits of commentary and prediction that I’ve overlooked, so feel free to put them forward if you have them in the comments section below. More importantly, tell us where you think our real estate markets are headed next year.

Thanks for reading.

Happy new year!

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon real estate week in review: December 19-23, 2011

Norm Fisher — Sat, 24 Dec 2011 12:00:56 +0000

The Saskatoon real estate market continued to move at a faster pace than is typical for the final week leading up to Christmas. For the second consecutive week, local agents reported 63 house and condo sales to the multiple listing service® to top sales from the same week last year by 26. New listings also continued to move onto the system with a total of 41 additions in the same two categories, fewer than last week by 11 properties and up on a year-over-year basis by 13 homes.

The total inventory of active MLS® listings in the residential category continued on a downward trend and fell below 1,000 units for the first time since totals moved above that number in early February. As of this morning, there are 953 residential listings showing an active status on the system for a weekly decline of 55 units, but up when compared against the close of the same week last year by 31 properties. There are currently 540 single-family homes (detached houses) and 354 condominiums for sale in Saskatoon. At the close of the same week last year, those housing categories stood at 506 and 363, respectively.

Cancelled and withdrawn listings slipped lower to just 18 homes with eight of those immediately returning for another go at the market, most bearing a new price. Price changes were nearly non-existent at just three. Over the course of the week, 19 listings expired having reached the end of their term without finding a willing buyer.

The average selling price of a Saskatoon home inched up, ever so slightly, gaining just a few hundred dollars on last week to finish at $319,111. The weekly median sale price grew by $19,000 to close at $324,000. The six-week average dropped about fifteen hundred dollars to $314,274 to claim an annual gain of just over three thousand dollars, while the four-week median pushed higher by roughly two thousand dollars on the week, closing at $304,000. That brings an annual gain of $15,000, the largest in several weeks.

Overbidding was once again out of fashion. Just one lucky Saskatoon home seller finished a deal for more than the asking price. That overbid sale came in $1,100 above the asking price. Another seven sellers found a buyer willing to pay them their full asking price while 55 of 63 completed deals required some back and forth at the negotiating table for an average discount of $10,467.

Highlights from the news this week

A shifting market stings Chinese home owners - Bloomberg
Canadian home prices to fall 5 percent: BofA report – Yahoo Finance
Quint raises concern on housing report - Star Phoenix
Look for a 5-10 percent drop in home prices in first half of 2012 – Financial Post
Micro condos, major ruckus – CBC News
Canada’s housing boom among longest in Western world – Globe and Mail
Saskatoon drawing newcomers away from bigger cities – Yahoo News
Saskatchewan population reaches new high – Star Phoenix
BMO’s five fearless forecasts for the next year – Globe and Mail
Get ready for a housing market correction: TD – Financial Post
Housing correction big risk for Canada - Financial Post
Saskatchewan continues to grow, but where will everyone live? – CTV News

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call of email me.

Get the most current market intelligence with our FREE Market Snapshot including prices of homes recently sold in your area. Get it here, now.

Norm Fisher
Royal LePage Saskatoon Real Estate

Remai Art Gallery of Saskatchewan wins prestigious design award

Norm Fisher — Thu, 22 Dec 2011 23:23:59 +0000

The design for the Remai Art Gallery of Saskatchewan has been selected as one of eight 2011 Award of Excellence recipients by Canadian Architect magazine and is featured on the cover of this month’s issue.

According to the story in the Star Phoenix, the $84 million gallery was selected from “163 submissions judged by a jury of Canada’s top architects.”

The gallery will be constructed at River Landing in Saskatoon’s Central Business District beginning in 2012 with an anticipated completion in late 2014.

Read: Remai gallery receives national award.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call or email.

Our Saskatoon home search tool offers MLS® listings represented by all real estate brands, presented with more detail than you’ll find anywhere else. Check it out here.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon real estate week in review: December 12-16, 2011

Norm Fisher — Sat, 17 Dec 2011 19:11:39 +0000

Saskatoon housing sales continued at a pace that was busier than we would expect at this time of year. Local agents reported a total of 63 detached house and condominium sales to the multiple listing service® this week for a weekly gain of seven units, beating sales for the same week a year ago by 22 homes.

New listings came in lower than sales this week as would be sellers delayed their entrance to the market until after the holidays pass. Total house and condo listings came in at 52, a drop of seven from the previous week to finish roughly on par with new listings for the same period a year ago.

Click the image for a larger version of the graph.

Total MLS® listings in the residential category took a fairly good drop but still finished the week at levels above last year’s. As of this morning, there where 1,008 residential listings showing an active status for a weekly decline of 54 properties and an annual gain of 41. Today, buyers will find 571 single-family homes and 373 condominiums available for purchase. Last year at this time, those categories stood at 527 and 382, respectively. You may recall that over the past couple of years, single-family home inventory has rarely been up on a year-over-year basis. It currently sits eight percent higher than it was at this time last year.

Still, these numbers strike me as fairly healthy, assuming that sales in the first quarter of next year are able to match the five-year average for this area, which I expect will be the case. By contrast, look to Regina’s inventory that currently sits at only 421 residential units including 334 single-family homes and just 63 condominiums. Unless those numbers see a sharp increase in the early next year, we could see some sharp price increases there in early 2012. Looking back about ten years, Saskatoon home prices where at about a twenty percent premium compared to Regina. This year, we’ll wrap the year up with a difference of around eight percent. I expect that we’ll see that gap close even more by spring of next year.

Click the image for a larger version of the graph.

Cancelled and withdrawn listings pushed a bit higher this week at 30 units. In a rare twist, surely related to the holidays, fewer than half of those returned to the market as a new listing. An additional 17 Saskatoon home sellers adjusted the asking price on their home. Meanwhile, 27 MLS® listings came to the end of their term and expired without a sale.

Following a fairly sharp decline last week, the average selling price of a Saskatoon home bounced back to $318,716. The weekly median sale price also bounced back in a big way picking up about $30K to finish in the more normal range of $305,000. The six-week median price slipped a little more than a thousand dollars from last week to $315,874 for an annual gain of just four thousand dollars. The four-week median gained about as much on a weekly basis to finish at $301,888 claiming an annual gain of just under five thousand dollars. Prices appear to be wrapping up the year very close to where they were at the close of 2010.

Click the image for a larger version of the graph.

One lucky Saskatoon home seller managed to complete a deal for $5,000 more than their asking price on the first day that the home was offered for sale. An additional seven found a buyer who was willing to offer the full asking price. The remaining 55 sellers sharpened their pencils to wrap up a firm sale at an average discount of $10,230.

Click the image for a larger version of the chart.

Highlights from the news this week

How the rich are investing in real estate right now – Globe and Mail
Mark Carney passes the buck – National Post
Study says Canadians are scrounging – Star Phoenix
Canadian house resale prices climb higher – Financial Post
Home sales and prices climb in November – Globe and Mail
November home sales up – Star Phoenix
Housing industry shy on new rules – Financial Post
Prices will keep rising, experts agree – National Post
Variable rate mortgage discounts disappearing – Financial Post

A map displaying the boundaries of Saskatoon real estate areas is here.
An overview of data collection and calculation practices for our statistical reports is here.

Our Saskatoon home search tool offers MLS® listings from all real estate brands with the most detail and information available anywhere. Check it out here.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call or email.

Norm Fisher
Royal LePage Saskatoon Real Estate

Canadian home sales edge higher in November, 2011: CREA

Norm Fisher — Sat, 17 Dec 2011 18:59:10 +0000

CREA economist Gregory Klump reports on MLS® sales and listings for the Canadian real estate market for November, 2011.

Highlights from CREA’s release

Sales activity rose slightly (+0.5 per cent) from October to November on a seasonally adjusted basis.
Year-to-date sales remained in line with the 10 year average, but pulled further ahead of last year’s levels.
The number of newly listed homes was down 3.4 per cent from October to November.
The national housing market remains balanced, but is edging closer to seller’s market territory.
The national average price posted a 4.6 per cent year-over-year gain in November, the smallest increase since January.

Read the complete release here.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call or email.

Our Saskatoon home search tool offers MLS® listings represented by all real estate brands, presented with more detail than you’ll find anywhere else. Check it out here.

Norm Fisher
Royal LePage Saskatoon Real Estate

Report commissioned by City of Saskatoon projects major future growth

Norm Fisher — Wed, 14 Dec 2011 15:35:14 +0000

Saskatoon’s future is bright, according to a report presented to city council on Monday night. The 215-page report, prepared by MXD Developments Strategists of Vancouver projects that Saskatoon’s population would hit 325,000 by 2028. By then, the city will require six new hotels, a thirty percent expansion in retail space from 10 million square feet to 13 million square feet, and an forty-five percent expansion of industrial space from the current 15.2 million square feet to 22.3 million square feet.

The primary recommendation in the report is a relaxing of the current direct control zoning regulations that limit the types and numbers of businesses that can operate in suburban areas.

City administration will study the report and bring their recommendations to council in the near future.

Read: Report forecasts major growth from the Star Phoenix here.

I’m always happy to answer your Saskatoon real estate questions. All of my contact info is here. Please feel free to call or email.

Our Saskatoon home search tool offers MLS® listings represented by all real estate brands, presented with more detail than you’ll find anywhere else. Check it out here.

Norm Fisher
Royal LePage Saskatoon Real Estate