The Canadian Real Estate Association (CREA), released national sales statistics for the month of February, 2016 this week. According to the CREA, “The number of homes trading hands via Canadian MLS® Systems rose by 0.8 percent in February 2016 compared to January. The monthly increase lifted national sales activity to the highest level since June 2007.”

Highlights of CREA's report    

• National home sales rose by 0.8% from January to February.
• Actual (not seasonally adjusted) activity was up 18.7% compared to February 2015.
• The number of newly listed homes edged up by 0.5% from January to February.
• The Canadian housing market has tightened but remains balanced overall.
• The MLS® Home Price Index (HPI) rose 8.5% year-over-year in February.
• The national average sale price rose 16.4% on a year-over-year basis in February; excluding British Columbia and Ontario, it declined by 1.4%.

Read the entire report on Canadian MLS® sales for Febuary, 2016.

See also: CREA's forecast for 2016 See also: Saskatoon home prices soften

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

The Saskatoon Region Association of REALTORS® released MLS® statistics for the month of February 2016 this week. This is the media release that accompanied the stats sheet.

The Saskatoon region saw a decrease in sales of one percent in February 2016 compared to February of 2015. This represents a drop of only two units from the 306 sales in February of last year. Year-to-date the total number of unit sales was down 4.3 percent from 560 units in 2015 to 536 units in 2016.

The average sale price of $341,459 was down six percent when compared to the same period last year. This was anticipated based on the CREA Home Price Index where the composite value has steadily trended downward from $313,000 last July to $301,600. This represents a 3.8 percent decline in the index since July and a 2.96 percent decline over the past twelve months. A significant factor in the average price declining, was a decrease in the number homes selling over $500,000. In 2015, 65 units had sold in this range by the end of February compared to 49 units for the same two month period in 2016.

The housing market in Saskatoon is ideal for those wishing to buy for several reasons. Healthy inventory levels which are up 13 percent over 2015, provide more choices, especially in the new home market.

Interest rates are also low and likely to remain that way for the foreseeable future. Saskatoon has weathered the economic slowdown well with a projected GDP in 2016 of 2.2 percent which is the envy of many cities in Canada.

Lastly, in spite of an average sale price of just over $340,000, Saskatoon is still considered to be one of the most affordable places to buy a home in Canada. "It is really a perfect time for those who are in the market to purchase a home,” comments Jason Yochim, CEO with the Saskatoon Region Association of REALTORS®. The primary reason for purchasing a principle residence should be that it meets the needs of the buyer. The thought of making a tax free profit, although important, should be secondary. "Waiting to buy at the bottom of the market can be a risky strategy,” he cautions. "Buy the home because it is what you want, where you want it and it fits your budget. When the time comes to sell it may have fluctuated in value several times on paper."

The homes that are moving are selling for 97 percent of the asking price and average time to sell of 53 days. This is a typical exposure period for this time of year. "Sellers that are realistic about the current market and who price their home accordingly will see similar results,” adds Yochim. "Let's face it, we all would like to make a handsome tax free gain on the sale of our home but depending on when one purchased the home, what improvements have or have not been made and where the home is located will have a direct impact on profitability at the time of sale."

Sound pricing and timing advice can be provided by one of the 640 professionally licensed and trained REALTOR® members of The Saskatoon Region Association of REALTORS®. REALTORS® also subscribe to a strict code of ethics and are dedicated to developing professional standards and continuing education in the real estate profession.

Jason Yochim CAE, CRAE Chief Executive Officer - Saskatoon Region Association of REALTORS®

End of release.

Changes to the MLS® Home Price Index in Saskatoon over time

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

Shanan Spencer-Brown, Executive Director of the Royal LePage Shelter Foundation presents the "Individual of the Year" award to Lyndon Neher.[/caption] We are very proud to announce that TeamFisher’s Lyndon Neher was selected as the Royal LePage Shelter Foundation’s Saskatchewan “Individual of the Year” for 2015.

This award goes to a Royal LePage REALTOR® with a history of supporting initiatives for the Royal LePage Shelter Foundation, and who has achieved something significant for the foundation in the last year.

Lyndon is a long-time supporter of the foundation through his generous financial donations and his willingness to support fundraising events for the cause. In 2015, he took the initiative to found the Royal LePage Golf Tournament. With his committee that included Colette Gates from Royal LePage Saskatoon, Alyss Gehl of Royal LePage Hallmark and Lisa Poier of Royal LePage Hallmark the tournament raised $23,000 for the YWCA Crisis Shelter and Saskatoon Interval House. This was the single largest fundraising event for the Shelter Foundation in Saskatchewan.

We’re proud of you Lyndon! Congratulations!

The Royal LePage Shelter Foundation is Canada’s largest public foundation dedicated exclusively to funding women’s shelters and violence prevention programs. In a typical year, the Shelter Foundation is the largest corporate donor to most woman’s shelters across Canada.

Every dollar raised goes directly to helping the more than 30,000 women and children who are served each year by the shelters and support programs we fund. Since 1998, the Shelter Foundation has raised more than $20 million and currently supports 200 local women’s shelters and national partners. Our agents donate a portion of their commissions and Royal LePage offices across Canada hold local fundraising events. Our brokers, agents and staff also volunteer and provide in-kind goods to benefit the women and children residing in their local shelters.

Norm Fisher
Royal LePage Vidorra

RBC Economics released their Housing Trends and Affordability report for February of 2016 this week. They had this to say about Saskatchewan’s major real estate market.

Saskatoon – Navigating in choppy waters

Saskatoon’s housing market managed to contain its losses as it navigated through fairly choppy waters in 2015. Home resales fell by 13% last year to a four-year low of 5,215 units; however, prices stayed above water and registered modest gains overall. Buyer sentiment was seriously tested by a surge in Saskatoon’s unemployment rate, which reached an 11-year high (6.4%) by the year-end 2015. At the same time, the market worked through elevated levels of unabsorbed units following strong housing construction in the previous two years. Demand-supply conditions softened gradually but consistently, such that buyers gained the upper hand during the second half of the year, and point to increasing price weakness in the period ahead. Meanwhile, housing affordability continued to trend sideways in 2015. RBC’s aggregate measure was little changed on the year but edged downward marginally by 0.1 percentage points to 32.7% in the fourth quarter—effectively matching the long- term average of 32.3%.

Regina – Soft market conditions sustain improving affordability trends

These were also challenging times for the Regina market in 2015. Not only did the number of homes sold in the area fall by 8.1%, but also prices followed a modest downward trajectory during the year. While the local job market held up better than in Saskatoon, slowing population growth and elevated levels of unsold new homes kept demand-supply conditions quite soft in Regina. At the margin, housing affordability might still be a slightly restrain- ing factor for buyers—given that it remains a touch poorer than the area’s historical norms and still recovering from sharp deterioration during the 2007 –2008 interval—however, it is unlikely to be the dominant force weighing on the market at this stage. RBC’s aggregate measure continued to trend lower in 2015, posting a 0.4 percentage point decline in the fourth quarter to 28.3%. We expect this improving trend to persist in the short term. Find the full report which covers national and regional affordability trends 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 Vidorra