You probably don’t need an international study to confirm that housing is expensive in most major metropolitan areas of Canada. Saskatoon is no exception.

“Affordability” is a slightly more complicated beast. There are a number of ways that one can examine affordability. One of those methods compares the median* income for an area against the median home price. Demographia, an organization that tracks changes to affordability uses what they call “median multiples.” The median multiple is derived by dividing the median income into the median price. As seen on the following chart, Canadians can expect to pay roughly 3.6 times the median income for a home priced at the median. So, even if prices are rising affordability can improve if incomes are rising at a faster pace.

Clear enough? Good!

After three successive years of slightly improved affordability, Saskatoon slipped back into the ranks of what Demographia considers “seriously unaffordable” as the median multiple for the area increased from 4 to 4.3, its highest point since 2008 when it had reached 4.6.

Regina showed the largest erosion moving from 3.3 to 3.8 but still managed to maintain a “moderately unaffordable” rating from Demographia.

The picture improved somewhat in Vancouver, which holds the distinction of being the second most unaffordable market in the world, as the median multiple falls from 10.6 to 9.5 over the course of the year.

See the entire Demographia survey for 2013 and past reports for 2012, 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  

The Canadian Real Estate Association (CREA), released national sales statistics for the month of December, 2012 today. According the CREA, "The number of home sales processed through the MLS® Systems of real estate Boards and Associations in Canada edged down 0.5 per cent on a month-over-month basis in December 2012. While sales activity was little changed nationally, it picked up in just over half of all local markets in December." Highlights of CREA's report    

• National home sales edged 0.5% lower from November to December.
• Actual (not seasonally adjusted) activity down 17.4% from December 2011.
• Number of newly listed homes dropped 1.3% from November to December.
• Canadian housing market remains firmly in balanced territory.
• National average sale price up 1.6% year-over-year in December.
• MLS® HPI up 3.3% in December, the smallest gain since April 2011.

Read the entire report on Canadian MLS sales for December, 2012.

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

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

Here's a detailed overview of average house and condo prices for each Saskatoon neighbourhood based on 2012 MLS® activity. The list is organized with the lowest priced neighbourhood (using the "All Residential" category) at the top of the page and progressing to the highest priced area at the bottom. You can view a full profile of each neighbourhood by clicking the neighbourhood name.

Visit TeamFisher's Saskatoon Neighbourhood Profiles.

Area Name	All Residential	Condominium	Single-Family
Riversdale	$172,912	No Sales	$172,912
Pleasant Hill	$177,487	$242,192	$174,859
King George	$193,640	No Sales	$193,640
Holiday Park	$201,353	$163,667	$208,419
Westmount	$203,025	No Sales	$203,025
Meadowgreen	$204,092	$105,644	$235,242
Mayfair	$206,767	No Sales	$206,767
Caswell Hill	$225,438	$145,400	$235,098
Exhibition	$229,571	$179,332	$247,365
Kelsey/Woodlawn	$233,646	No Sales	$233,646
Fairhaven	$239,455	$168,813	$287,602
Massey Place	$244,434	$171,450	$256,946
Lakewood S.C.	$246,216	$246,216	No Sales
Mount Royal	$248,452	No Sales	$248,452
Confederation Park	$255,127	$135,667	$259,606
Pacific Heights	$261,487	No Sales	$261,487
Blairemore	$261,667	$203,025	No Sales
Hudson Bay Park	$267,508	No Sales	$267,508
Wildwood	$268,719	$250,211	$358,841
City Park	$270,336	$210,637	$335,859
Sutherland	$275,211	$191,808	$306,190
Buena Vista	$282,473	No Sales	$282,473
Forest Grove	$283,066	$182,364	$337,796
North Park	$283,992	$152,500	$289,252
Lawson Heights	$289,139	$240,959	$368,981
Westview Heights	$293,723	No Sales	$293,723
Nutana S.C.	$296,848	$296,848	No Sales
University Heights	$302,101	$302,101	No Sales
Dundonald	$302,672	$151,500	$323,889
Haultain	$313,146	$162,433	$333,241
Parkridge	$313,274	$237,000	$315,335
East College Park	$314,081	$174,083	$343,554
West College Park	$314,170	$178,574	$363,715
Brevoort Park	$329,017	$177,000	$355,620
Lakeview	$330,737	$184,058	$406,058
Greystone Heights	$336,940	$321,904	$358,241
Avalon	$337,838	$458,250	$328,919
Queen Elizabeth	$338,281	No Sales	$338,281
Eastview	$338,356	$202,500	$355,338
Richmond Heights	$341,238	No Sales	$341,238
River Heights	$342,388	$208,712	$423,003
Adelaide/Churchill	$344,553	$345,767	$343,946
Nutana Park	$344,618	No Sales	$343,689
Holliston	$344,745	No Sales	$344,745
Central Business District	$347,055	$347,055	No Sales
Hampton Village	$347,438	$284,010	$335,434
Silverwood Heights	$362,085	$214,063	$373,362
Stonebridge	$362,129	$290,995	$421,639
Varsity View	$374,156	$334,252	$395,818
Montgomery Place	$379,772	No Sales	$379,772
Erindale	$385,593	$286,013	$420,330
Silverspring	$393,560	$284,649	$433,898
Arbor Creek	$406,113	$296,490	$443,545
Nutana	$415,174	$338,221	$533,352
Lakeridge	$417,000	No Sales	$417,000
Willowgrove	$442,870	$328,115	$528,011
Rosewood	$458,853	$270,211	$492,712
Grosvenor Park	$461,448	$255,071	$551,738
Evergreen	$479,659	$228,222	$482,783
Briarwood	$484,154	$297,237	$561,797
The Willows	$772,929	$772,929	No Sales

Norm Fisher

Royal LePage Vidorra

SASKATOON, January 8, 2013 – The Royal LePage House Price Survey and Market Survey Forecast released today showed strong year-over-year house price increases for detached bungalows and standard condominiums in Saskatoon, while standard two-storey homes made modest gains.

Detached bungalows posted a strong year-over-year increase of 8.8 per cent, to an average price of $363,750. Standard two-storey homes saw a 2.2 per cent increase over the same quarter last year, selling for an average of $376,750, as supply and demand began to balance. Standard condominiums sold for an average price of $261,333, increasing 12.5 per cent year-over-year. Norm Fisher, Royal LePage Saskatoon Real Estate noted that the increase in the average price of standard condominiums reflects the sample average being skewed by higher end units that were sold as opposed to a general increase overall.

“Market activity in the fourth quarter was healthy and especially strong among single-family homes and condominiums priced above $350,000,” said Fisher. “Entry-level properties took somewhat of a hard hit this quarter as a large portion of first-time buyers delayed entering the market due to new mortgage regulations introduced in 2012.”

Fisher commented that inventory levels are slightly below year-over-year averages. However, there is still a good amount of supply on hand to meet the needs of buyers.

"Saskatoon's economy is exceptionally diverse with strengths in many areas including natural resources, bio-sciences and even small businesses – our strong job sector should continue to fuel our market as we move into 2013," added Fisher.

Nationally, the average price of a home increased year-over-year between 2.0 and 4.0 per cent in the fourth quarter of 2012. In the fourth quarter, standard two-storey homes rose 4.0 per cent year-over-year to $390,444, while detached bungalows increased 3.6 per cent to $356,790. National average prices for standard condominiums increased 2.0 per cent to $239,374.

As home sales volumes slowed in the second half of 2012, the average Canadian house price, for the most part, held firm. Some consumers delayed their entry into the market during 2012, faced with economic uncertainty as governments in both the U.S. and Europe struggled with debt management plans and as homes in some regions became less affordable. Compared to 2012, fewer homes are expected to trade hands in the first half of 2013, which should slow the pace at which home prices are rising.

Phil Soper, president and chief executive, Royal LePage, noted that the housing market is well into a cyclical correction and that fears of a sharp or drawn out collapse are unwarranted. Home prices have risen faster than salaries and wages for three years and the market requires time to adjust. By the end of 2013, Royal LePage expects the average national home price to be 1.0 per cent higher compared to 2012.

“A helpful comparison is to reflect on the beginning of 2009 when the country was in the grips of a very grim global recession,” said Soper. “It was a bleak time, with plunging consumer confidence driven by rapidly spreading unemployment. The meltdown of the American banking and finance sector had sent their housing market into a downward spiral and our own real estate market saw home sale transactions fall dramatically. Price appreciation in Canada ground to a halt, but home values dropped only slightly. With economic fundamentals such as employment levels improving, we expect this cyclical correction to be short-lived.”

Who says the media only reports bad news? Here's a collection of Saskatchewan new stories from the last week.

I was born and raised in this province and cannot remember a time when there was so much optimism about Saskatchewan. It really is amazing how far we've come in the past six or seven years.

If only we could do something about the weather. :)

Saskatchewan economy still booming - NewsTalk 980CJME

Expectations high for Saskatoon in 2013 - Star Phoenix

Saskatchewan home builders leading the way, says CHAB president - Star Phoenix

Saskatchewan’s retail industry gaining strength - Star Phoenix

Saskatchewan stays strong - Star Phoenix

Sask. Chamber of Commerce says growth to continue in 2013 - NewsTalk 650CKOM

Experts see solid growth for Saskatchewan - Star Phoenix

Saskatchewan poised for good year - Star Phoenix

Saskatchewan small business optimistic about 2013 - News Talk 650CKOM

Record year for building permits in Saskatoon - Star Phoenix

City home sales, prices increase in 2012 - Star Phoenix

Sask. labour market trumps Alta. for the first time in decades - News Talk 650CKOM

Sask. posts record December job numbers - Star Phoenix

Saskatchewan and Alberta battle for workers - Star Phoenix

Year 2013 nothing to fear for Saskatchewan - Leader Post

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

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

Up seven percent from a strong year in 2011, the value of building permits issued in Saskatoon hit a new high in 2012. The City of Saskatoonissued permits valued at almost $1.1 billion over the course of the year to blast past the previous year's record breaking numbers that reached $937 million.

In total, 5,196 building permits were issued in 2012 with 4,259 of those being residential in nature.

Read: Record year for building permits in Saskatoon - Star Phoenix

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

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

Please note that many of the association’s comments touch on “year-to-date” numbers, and some are based on all sales within the association’s trading area. The charts which you see, as always, reflect activity within the city of Saskatoon on a month to month basis over the past several years.

The strong Saskatchewan economy in 2012 was reflected in real estate sales with a year-over-year increase in the average sale price of seven percent and an increase of five percent in units sold. “Sales activity was quite strong in the first two quarters of 2012 compared to the latter half of the year. This cooling off is most likely a reflection of the federal governments changes to the mortgage rules in June,” says Jason Yochim, Executive Officer with the Saskatoon Region Association of REALTORS® (SRAR). “The most notable decrease in sales activity since July 1 showed up in the price ranges below $400,000.”

The average sale price for a home in Saskatoon sat at just under $332,000 at the end of December while the median price hovered around $325,000. Comparatively, the average price in the rural market surrounding Saskatoon remained virtually unchanged with an increase of only one percent for the year. Sales in the rural market were up five percent over 2011 while the number of new properties listed dipped by four percent.

Click images for a larger view.

“At the end of December, the number of active listings on the SRAR MULTIPLE LISTING SERVICE® was at 1,793 which is a decrease of eight percent from the previous year,” says Yochim. Unit sales slightly outpaced new listings resulting in a decrease in available property for consumers to choose from. Builders have been working hard at filling this shortfall, however more product on the existing market would be timely and welcome. “The shortfall is not significant enough to push us out of a balanced market at this point with prices only increasing seven percent over the 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's business leaders continue to have high expectations for the future growth of our city, according this article from the Saskatoon Star Phoenix that ran on the weekend.

Addressing a recent KMPG report that indicated Saskatoon is the "most tax-competitive city in the country," Tim LeClair, president and CEO of the Saskatoon Regional Economic Development Authority told the Star Phoenix that his office dealt with 443 companies who requested information on doing business in the city last year.

More from this story. Kent Smith-Windsor, executive director of the Greater Saskatoon Chamber of Commerce, says this current growth trend for Saskatoon could be comparable to the historic boom in the city from 1903 to 1913. He admits the city may have underestimated its capacity to grow. He points to the city's unemployment rate remaining steady at below five per cent in 2012 despite adding 12,000 new jobs during the same time period.

Overall Smith-Windsor's forecast for 2013 is a little more cloudy than he expected for 2012, but only because 2012 "met and almost exceeded our expectations." He added, "Everything we're seeing the next five years will be as good as or better than the previous five years in terms of the future of Saskatchewan. This is robust. This is real."

Read the Star Phoenix story here.

The referenced KPMG report is here.

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

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