Like almost everything else these days, this MLS history report reminded me of the volatility of stock market. I only wish that my investments were still priced higher than they were five months ago. :)
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.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Vidorra
Unit sales of houses and condos also saw a decline falling to just 38 units, down from 45 the previous week. Only three weeks in 2008 saw weaker sales numbers, once in January, once in August and once in September. Changing mortgage rules are now in effect, and tougher credit criteria along with concerns about the global economy are undoubtedly side lining some prospective buyers. Given all that’s going on right now, and as close as we are to these changing conditions, 38 units will strike some as a fairly remarkable number. Total residential unit sales for the month of October are presently at 169. We should likely hit 200, but we’ll almost certainly fall short of my “just for fun” guess of 225 units that I threw out in last week’s review.
Click here for a larger version of the graph. 
Over the course of the week 97 price changes were recorded on the local MLS system. The average sale price remained stable compared to last week at $280,071 but the six-week average took a dip towards $295K as one of two “plus one million dollar sales” fell out of the back end. The median price of a Saskatoon home also came in lower falling to $267,900 from $280,000 then.
It’s no big surprise that all but one of this week’s sales were reported as having sold below the asking price. 37 or 38 buyers managed to negotiate a purchase at an average of $12,787 below list price, a number that is more or less typical of what we’ve been seeing over the past two months.
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.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Vidorra
The sales jump, which took economists by surprise pushed active listing inventories down by 1.6% and brought the second consecutive month of inventory declines. Still, a near 10-month supply of residential property is available for purchase across the United States.
Home prices continued to post losses and reached their lowest level since April 2004. The median price of a U.S. home fell to $191,600, down nine percent from one year ago.
According to a story in the Globe and Mail, Lawrence Yun, chief economist for the National Association of Realtors (NAR) attributes increased unit sales to a “rise in foreclosure and other ‘distress sales' in regions of the country hard-hit by the ongoing housing downturn.”
“In some regions, the lower prices are seeing buyers return to the marketplace,” he said. “This was a nice jump, and hopefully this trend can continue because the first step to stabilizing the market is an increase in home sales.”
Read the Globe and Mail story here. Read NAR’s media release here. See the current U.S. real estate stats 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.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Vidorra
New listings took a serious nosedive coming in at their lowest levels since the week of January 28 – February 1. A total of 96 properties were offered for sale on the multiple listing service including 76 single-family homes and 20 condominiums. Total active residential listings fell to 1,673 units to find their lowest level since the week of August 18-22. A total of 49 listings were cancelled or withdrawn and 29 of those properties found their way back to the system as new listings. 89 price adjustments were approved over the course of the week. Today’s active listing inventory consists of 1,045 houses and 529 condos. The “units sold vs. units listed” graph indicates that there has been some narrowing of the massive gap that developed between the two through the spring.
Click the image for a larger version of the graph. 
Unit sales fell to 45 units from 49 the week before. 42 buyers managed to negotiate a contract below the asking price to the tune of $12,502 on average. The average selling price was down from previous weeks, reaching its lowest level since the week of August 25-29to settle at $280,096. The average selling price of a Saskatoon home was fairly consistent with the median price, which came in at $280,000 for the week.
Click the image for a larger version of the graph. 
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.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Vidorra
New listing
activity in the Saskatoon real estate market picked up considerably this week as 161 new listings were placed on the agent MLS including 105 single-family homes and 46 condominiums. Additionally, 47 of 84 cancelled listings found their way back to the MLS as new listings. I suspect that some of the homes that moved out of the system as “expired listings” at the end of September made a comeback as new listings this week. Still, the total inventory of active listings saw fairly modest growth of 8 units over the previous week, to finish at 1,688 including 1,049 single-family homes and 534 condos.
In addition to the 47 re-lists, most of which returned sporting a new price, 156 Saskatoon home sellers approved a change to their pricing strategy in hopes of luring a willing buyer. The average asking price of all active listings is still a whopping $329,769, some 10-15% higher than average selling prices over the past few months.
A total of 53 residential properties were reported as firm sales, including 49 in the single-family homes and condo category. 45 of 49 sold for less than the asking price while four sellers managed to attract offers at, or above their list price. The average of three overbid sales came in high at $20,533 with the largest of the three boasting a sale price that was $55,000 over asking. This is a new townhouse property so I suspect that the buyer likely negotiated some additional improvements that led to the higher selling price. Those buyers, who managed to negotiate a discount, purchased their new home at an average of $12,376 below the asking price.
Average list and sale prices of the properties that did sell declined again for the third week in a row in spite of yet another residential sale that topped the one million dollar mark. The entire history of the Saskatoon MLS shows 6 sales within city limits that managed a selling price above one million dollars. Five of those occurred this year; three of them were reported after September 15.
The “Saskatoon real estate: week in review” is intended to provide a brief overview of the most recent market activity. Due to the small samples, average prices can vary significantly from one week to the next. For more reliable price trend information, see our most recent “Closer Look at the Saskatoon Real Estate Statistics” published on October 10.
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.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Vidorra
Average sale prices for Saskatoon houses and condos both took a jump during the month of September following some pretty hefty declines during the months of July and August. It’s worth noting that the average size of the properties that traded in both categories also increased fairly substantially, so while buyers paid more on average, they also bought more real estate with their money.
The average price of a Saskatoon house came in at $319,596 for September, up from $306,095 in August, and $245,363 in September of 2007. The average size of the houses that traded was 1,224 square feet in September of 2008, 1,136 square feet in August and 1,107 square feet in September of 2007. Price per square foot declined to $261 in September of 2008, from $269 the previous month, but finished well ahead of the $221 per square foot recorded in September 2007. The average cost of a house on a per square foot basis peaked at $280 in May of 2008.
Unit sales in the “house” category climbed to 183 units in September from 150 units in August but finished the month 11% lower than September of 2007 when 206 houses traded in the Saskatoon real estate market. 
This graph tracks both the average and median selling price for a Saskatoon house back to January of 2007. Click the image for a larger version of the graph.
Average prices in the Saskatoon condominium category also increased through September and settled at $242,040, up from $225,311 in August, and just a smidge higher than the average for September of 2007 when condos traded at $236,220. Again, the average size of the condos that sold took a significant leap to 1,008 square feet in September, up for 933 square feet in August. The average unit size sold in September 2007 was larger at 1,045 square feet. The price per square foot remained fairly stable on a month-over-month basis finishing at $240 compared to $241 in August, but still up from $226 in September 2007. The average cost of a condo on a per square foot basis also peaked in May of 2008 at $262.
Unit sales in the “condominium” category took a substantial beating declining to just 48 properties, down from 62 units in August, and down even further from 84 units in September 2007.
This graph tracks both the average and median selling price for a Saskatoon condo back to January of 2007. Click the image for a larger version of the graph.
Listing inventories continued to grow, though somewhat more modestly through September. This graph shows the total number of active listings at the end of each month for the house and condo categories versus the number of sales transacted during each month. Click the image for a larger version of the graph.
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.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Vidorra
Flahrety insists that not a single Canadian bank is at risk of failing but that liquidity is the primary issue threatening the unimpeded flow of credit for Canadians.
"It is important to underline that Canada's banks and other financial institutions are sound, well capitalized and less leveraged than their international peers," he said.
Read the Globe and Mail story 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.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Vidorra
SASKATCHEWAN, October 6, 2008 – The red-hot house prices and wild activity of Saskatchewan’s recently explosive real estate market have both tempered during the third quarter. The combination of rising inventory levels and a decrease in buyer demand in both Saskatoon and Regina have positioned the real estate markets in both cities in the buyers’ favour, according to a House Price Survey report released today by Royal LePage Real Estate Services. However, despite the tempering activity over the past few months, year-over-year house price gains in both cities are ranked as the highest in the country.
The local economies in Saskatoon and Regina both continue to prosper as a result of the booming agricultural and resource sectors, and an abundance of employment opportunities continue to attract new workers to the province. However, the rising house prices appear to have reached a cap; after lagging behind much of the country, house prices in Saskatchewan have caught up and are now on par with other comparable cities.
In Saskatoon, the recent run-up of house prices has finally come to a tipping point, where buyers have become reticent to enter the market. During the third quarter, Saskatoon’s housing market returned back to earth, with rates of house price appreciation that are more sustainable in the long term.
In Saskatoon, the average price of standard condominiums rose by 1.8 per cent to $211,250, year-over-year. Standard two-storey homes climbed by 10.7 per cent to $358,250, while the price of detached bungalows appreciated by 9.4 per cent to $321,500, year-over-year.
“House prices in Saskatoon are still up year-over-year, but the frenzy has definitely worn off compared to what the city experienced in previous quarters,” explained Norm Fisher, sales manager, Royal LePage Saskatoon Real Estate, Saskatoon “The combination of cautious buyers, and the recent activity of many speculative sellers has led to a surplus of inventory and a decline in prices during the third quarter. The housing market is now tipping towards the buyers’ favour – for the first time in several months.”
The condominium market is mostly affected by the surge in inventory as this property type received the most attention from speculative and out-of-town buyers who were hoping to cash in on the city’s booming market. Many would-be buyers are now taking a wait-and-see approach before jumping into the market.
Average listing periods have more than tripled over the past year; since the third quarter 2007, current figures for days on market has increased to approximately 55, up from 13.
Added Fisher: “Buyers and sellers both need to understand the current market conditions before taking any action; sellers need to be aware that the market has changed significantly and must list their homes accordingly.”
In Saskatoon North, the average price of a standard two-storey home rose by 6.1 per cent to $350,000, year-over-year. Detached bungalows rose by 7.5 per cent to $322,500, while the price of a standard condominium dipped by 2.1 per cent to $210,500, year-over-year.
In Saskatoon West, the average price of a standard two-storey home soared by 22.9 per cent to $338,000, while the average value of a detached bungalow also increased, rising by 14.0 per cent to $285,000, year-over-year.
In the East End, the average price of a detached bungalow rose by 12.2 per cent to $364,000, year-over-year. The average price for standard two-storey homes increased by 12.9 per cent to $412,000, from the same period last year.
In East Central, the price of a standard two-storey home rose by 10.8 per cent to $360,000, while a detached bungalow rose by 10.7 per cent to $332,000 year-over-year. Standard condominiums also appreciated, rising by 6.0 per cent to $212,000, year-over-year.
Market activity in Regina paralleled that of Saskatoon, as buyer demand was doused with a surplus of listing inventory. The increase in available listings has tempered activity and sales prices from the frenetic pace that characterized the market in recent months; however, when surveying prices compared to last year, Regina’s housing market demonstrates substantial gains.
Of the three property types surveyed, standard condominiums showed the greatest year-over-year appreciation, rising by 49 per cent to 196,000, standard two-storey house prices also showed strong gains, jumping 39.6 per cent to $259,000. Detached bungalow properties rose, increasing by 34.1 per cent to $278,850, year-over-year.
The dynamics of the city’s real estate market has put the breaks on some would-be buyers’ activities, as many are taking time now to see how the market plays out.
“Many buyers are sitting on the sidelines right now, waiting for prices to drop; however, this is likely not going to happen,” said Mike Duggleby, manager, Royal LePage Regina Realty, Regina. “Our economy is the best it’s ever been, and I anticipate that it’s only going to get better. The city’s anticipated inter-modal facility will no doubt boost our economy even further, and draw more people to Regina.”
Added Duggleby: “Six months from now, Regina’s potash, oil and uranium industries will still be flourishing, and we’ll be heading into the busy spring market. Now is a very good time to invest in Regina’s real estate.”
In Regina North, standard condominiums experienced the largest appreciation, with average prices rising by 50.0 per cent to $180,000, year-over-year. The average price of a standard two-storey property, followed second, rising by 34.9 per cent to $228,000, while detached bungalows rose by 31.4 per cent to $262,700, year-over-year.
In Regina South, standard condominiums showed the largest gains, rising by 48.3 per cent to $212,000, year-over-year. The average price of a standard two-storey home increased by 43.6 per cent to $290,000, while the average price of a detached bungalow in the area increased by 36.6 per cent to $295,000, compared to the same period last year.
Click here to view Royal LePage House Price Survey chart for Canadian survey markets.
Click here to view the national release for the Royal LePage House Price Survey.
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 Vidorra
In addition to the “re-lists,” most of which came back on the market with a new price, 148 sellers approved a price adjustment in hopes of capturing a buyer before the weather turns. Most years, we would expect to see unit sales drop through the final quarter, so in all likelihood, it will just continue to get tougher for sellers to move their properties through the balance of 2008.
Residential unit sales also dipped from the previous week when 70 houses and condos traded to close the week at 52. The vast majority of those homes (49) traded below the asking price while three lucky sellers managed to meet or beat their asking price. An absence of higher end sales which have been commonplace through September brought the average selling price back below the $300,000 mark for the first time since the week of September 1-5. 
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.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Vidorra
Saskatoon REALTORS® assisted 246 home buyers to fulfill their home ownership dreams in September, this number is up slightly from last month. Year to date 2969 residential units have been purchased, that number down 18% from last year at this time when 3,638 had been purchased.
The average selling price for the month of September was $297,836.00 up 23% from September 2007when the average selling price was $242,729.00. Year to date the average selling price remains strong at $289,657.00 up 27% from last year at this time when the year to date average was $227,942.00.
September inventory levels continued to provide buyers with excellent choice. Saskatoon REALTORS® listed 825 homes in September, up 54% from September 2007 when 535 homes were placed on the market for sale. Year to date 6,773 properties have been placed on the market for sale.
Year to date total MLS® REALTORS® sales exceed 1.1 billion dollars, up 1% from last year at this time. Residential year to date volume stands at $859,992,000.00 up 4% from 2007.
Much is being said in the media these days speculating that the Canadian mortgage market and economy will experience the same stress as the USA. Although we will see some slowing in the housing market, to compare Canada to the U.S. is way off-base as quoted by the Mortgage Group Canada Inc. in a September 25th, 2008 Special Update on Canadian mortgages.
The report indicates that Canadian mortgage markets are fundamentally healthier than the U.S. The report looks at debt growth over the full cycle and gives examples of how debt-to-income ratios could be misinterpreted. The full report is available at http://www.marksmortgages.ca/news.asp
The Saskatoon and Saskatchewan economy is very strong. All indicators point to significant economic growth for our area. SREDArecently reported corporation and business commitment to invest in excess of ten billion dollars in the Saskatchewan resource sector and general economy over the next ten years.
Labor shortage continues to be the greatest challenge for corporations and businesses verifying the need for skilled workers all of which require housing. At present our market is going through a correction stage with all indicators pointing to steady sustainable market activity in the future.
Our “Closer Look” at the Saskatoon real estate statistics will follow early next week.
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.
Follow our daily updates on Twitter @SaskatoonHomes.
Norm Fisher
Royal LePage Vidorra
