Saskatoon real estate week in review: October 4-8 2010

Saskatoon house and condo sales took a downward dip this week, slipping fourteen units from the week before to sixty-one, and falling short of matching sales for the same week in 2009 by just one.

New listing activity also softened, though less significantly, falling just three units from last week to ninety-six, ten fewer than we saw offered for sale over the same period last year when Saskatoon real estate agents brought 106 properties to the multiple listing service.

Click the image for a larger version of the graph.

Active Saskatoon real estate inventory (all residential listings) continued to slip lower shedding just seven units from its numbers to finish the week at 1266 and reaching its lowest point since the week of May 7. Following a fairly substantial drop resulting from end of the month expired listings, seller’s are naturally wondering if those listings will come back to the market after the holiday weekend, or if we’re finally beginning to see the seasonal slide that has eluded us for months since inventory leveled off in late June.

As of this morning, there is a selection of 770 single-family homes and 427 condominiums offered for sale on the Saskatoon MLS. Last week at this time there were 767 single-family homes and 437 condos. At this time in 2009 there were a total of 1,040 active residential listings including 608 single-family homes and just 362 condominiums.

Click the image for a larger version of the graph.

Forty-eight cancelled or withdrawn listings were processed this week while thirty-one of those made another debut bearing a shiny new MLS number. Price adjustments took a sharp jump increasing by twenty-seven over last week as seventy-five Saskatoon home sellers sharpened their pencil in hopes of working out a deal before winter sets in.

This week brought another round of sales that seems to show a fair, or at least more normal distribution of home purchases at both the upper and lower ends of the market. The weekly median sale price slipped lower by about ten percent compared to last week, closing at just $277,000. Are entry-level buyers starting to come back? The average selling price for the week slid almost as much falling back below the $300 mark to settle at $295,488. The six-week average sale price inched lower slipping nearly three thousand dollars from last week to $308,978 and picking up a gain of almost twenty-four thousand dollars over the same week last year. The four-week median price dropped forty-five hundred dollars on a week-over-week basis to $289,450 to claim a gain of just over twenty-six thousand dollars from the same week a year ago.

Click the image for a larger version of the graph.

Overbid sales continued to be nearly non-existent with just one seller making a deal for a price greater than list, and only by $100. Another four sellers managed to get their full asking price while fifty-six of sixty-one Saskatoon home buyers were able to negotiate a discount averaging about 3.5% of list, or $10,899.

Click the image for a larger version of the chart.

Highlights from the news this week

Ottawa ponders further tightening of mortgage rules – The National Post
In real estate, a picture is worth $1,000 or more – Wall Street Journal
Boom times are over, Flaherty told – The Financial Post
Canada says it will act if mortgage market overheats – Reuters
China cools off housing market – Winnipeg Free Press
Housing market makes strides – The Globe and Mail
Real estate picture improving: Remax – CBC News
Housing prospects dismal: IMF The Globe and Mail
Bank of America takes foreclosure suspension nation wide – The New York Observer
Why interest rates are going nowhere fast – The Globe and Mail
We’re one of Canada’s building zones – The Star Phoenix
CREA – Competition Bureau agreement: Lots of questions, few answers – REM Online
Foreclosure freeze adds to US housing woes – The Globe and Mail

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