A media release from the Saskatoon Region Association of REALTORS® with an overview of residential MLS® sales and listing activity for the month of December 2017 follows.

The number of Saskatoon home sales for December came in at 205 units, up 11 percent compared to the same month in 2016. Sales activity in the area surrounding Saskatoon saw a 13 percent increase. These gains could be partially attributed to the mortgage rule changes that took effect on January 1st of 2018. Home buyers with a downpayment of 20 percent or more now have to qualify at an interest rate that is 200 basis points higher than the posted rate, or the Bank of Canada’s five-year rate, whichever is higher.

Listing activity, on the other hand, declined dramatically with an 18 percent reduction in new listings for the month, year-over-year. “This decrease in listing activity could be the result of seller’s fatigue from having been on the market for an extended time period without securing an offer,” according to Jason Yochim, CEO of the Saskatoon Region Association of REALTORS® (SRAR). “The increase in December sales and decline in new listings is a positive for decreasing high inventory levels,” he added.

Not surprisingly, with lower sales and a large inventory of homes to choose from, home prices continued to see downward pressure. The median price for a home in Saskatoon declined by 3.3 percent from last December to $324,000 while the average price showed a half point decline to $339,520. The Home Price Index (HPI) composite benchmark value declined by 3.7 percent to $295,100, its lowest point since March of 2012. The HPI composite value has been in an overall decline since August of 2016 when it was $317,600.

On average, it took 61 days to sell a Saskatoon home in December, up sharply from 51 for the same month last year.

The year-to-date story for 2017 is one of a slower market when compared to 2016. The total dollar volume for this year’s sales came in just shy of $1.6 billion, a nine percent decrease from 2016. This was the third straight year of decline since the Saskatoon market peaked with a sales volume of $2.1 billion in 2014. Saskatoon home sales totaled 3,491 units in 2017, a five percent decline from 2016, and significantly lower than the five-year average of 3,957 sales. In 2017 there were a total of 8,972 homes listed for sale within Saskatoon, a three percent decline from the previous year. The sales-to-listing ratio (percentage of listings that became firmly sold while listed for sale) for the year was 35 percent. In other words, roughly a third of the homes listed actually ended up selling.

“Successfully selling a home in this current market requires more than information,” comments Yochim. “Sellers need the guidance of a REALTOR® to understand how historical sales data impacts their pricing decision.”

For further information, please contact:

Jason Yochim CAE, CRAE

Chief Executive Officer

Saskatoon Region Association of REALTORS®

A media release from the Saskatoon Region Association of REALTORS® with an overview of residential MLS® sales and listing activity for the month of August 2017 follows.

With a slight decline in year-over-year home sales, low-interest rates, stable home prices and elevated inventory levels, Saskatoon continues to be an ideal market for home buyers. At the end of August, there were 2,183 active listings in Saskatoon, just slightly down from the record set last month.

“In the coming months, home buyers will look back with hindsight and realize how opportune the market was with all of these elements in place,” according to Jason Yochim, CEO of the Saskatoon Region Association of REALTORS®. “It is only a matter of time before the market shifts as it always does.” “The concern is that buyers waiting for the bottom of the market in order to make a purchase may end up paying more when buying on the upswing,” adds Yochim. 

The average home is taking approximately 55 days to sell which is the greatest number of days in the past several years. The five-year average days to sell in August is 46. Homes that have been priced relative to this market will see a sale in much less time. The sales to listing ratio compares the number of new listings against the number of sales for the month. In August, the sales to listing ratio was 41 percent, which is consistent with the past three months. For every five homes listed, there are two sales. The year-to-date sales to listing ratio was 37.7 percent, down 3.5 percent compared to 2016. Based on the current level of home sales, it would take between six and seven months to clear out the active listings. This is above the five-year average of just over five months. 

Two-thirds the way through the year, Saskatoon and area saw a total of 3,344 transactions, down five percent from last year. The total number of homes listed for sale, this year was 9,904 which is virtually unchanged from 2016. The total dollar volume for Saskatoon and region year-to-date was $1,139 billion, down nine percent from the same period last year. Within the Saskatoon market, the number of transactions so far this year was 2,484 at the close of August, a five percent decline from the same period last year. 

With lots to choose from the average and median price continued to show signs of slipping. The average price year-to-date declined by one percent to $347,414 while the median price declined by 1.5 percent to $329,950. Considering the challenging economy, high supply of housing and a softened demand, pricing has not been dramatically impacted so far. “Pricing of a home is one of the most important decisions in a successful sale,” comments Yochim. “REALTORS® are the most informed when it comes to knowing the market for a specific property at a specific time,” he adds.

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

A media release from the Saskatoon Region Association of REALTORS®; with an overview of residential MLS® sales and listing activity for the month of July 2017 follows.

The warm weather in July appears to have taken some purchasers out of the Saskatoon market with a monthly decline in unit home sales of 16 percent compared to July of 2016. Year-to-date, unit sales are down nearly four percent for Saskatoon compared to the first seven months of last year. Sales in the region surrounding Saskatoon increased just over 17 percent for the month compared to last July, while the year-to-date numbers declined slightly by 2.6 percent. So far this year, there has been a total of 2,155 unit sales within Saskatoon and another 596 in the region surrounding the city. The total dollar volume recorded for Saskatoon and region this year is $989 million off five percent from last year.

The number of active listings in Saskatoon has reached a new peak at 2,210 with an additional 1,125 properties available in the market outside Saskatoon. At the current rate of monthly sales, it would take just over seven months to liquidate the current inventory completely. The average home is taking approximately 50 days to sell which is consistent with the past two Julys. The homes that are selling are seeing a sale price that is at 96.7 percent of the asking price. “These stats would indicate to me that those who are serious about selling are pricing to market and getting very close to their asking price and in much less time than the current 50-day average,” according to Jason Yochim CEO with the Saskatoon Region Association of REALTORS®.

The number of listings taken this year in the Saskatoon and region market is consistent with last year at 8,693. In Saskatoon, there have been 5,795 properties listed since January 1, very similar to numbers for the past two years.

Prices continue to show signs of slight decline as well. The average sale price in July of 2017 was 6.4 percent lower than it was in July of 2016. Year-to-date, the average price has slipped from $351,855 to $348,960. The median price for the year has also decreased slightly from $335,000 to $329,500. The Composite Home Price Index (HPI) benchmark price for July declined by 2.2 percent compared to last July. The HPI is considered to be the best indicator of the trend in home prices and measures the rate of change month-over-month. “Based on the theory of supply and demand it is reasonable to expect that prices are not likely to strengthen until the number of active listings declines,” comments Yochim. “It is important to remember that these changes in pricing are an aggregate of the entire market and will vary based on area, type of home and availability of similar properties to the subject. Access to this information is critical to accurate pricing and can be obtained through consultation with one of our members.”

Jason Yochim CAE, CRAE , Chief Executive Officer 

Saskatoon Region Association of REALTORS® 

At the halfway point of the year, housing sales are on par with year-to-date totals in 2016. 1,850 units have traded hands in Saskatoon this year. 

The average sale price of $350,000 is virtually unchanged from a year ago. Also, the year-to-date median price is $330,000 which is also comparable to that of last year. Helping to sustain these prices is a notable increase (25 percent) in home sales over $600,000 offsetting a decline (three percent) in sales below $600,000.

For this year, the total number of sales over $600,000 in Saskatoon is 101 of which 90 were single-family homes. There were 1,765 transactions below $600,000 by the end of June. The number of condominium units sold so far this year was 533, representing a five percent increase over last year. With the mortgage qualification changes implemented last October, some buyers had to shift their purchase decision from single-family to condominium to allow for a reduced purchase price. The total dollar volume for Saskatoon and area of $846 million is the lowest year-to-date total since June of 2011. The highest dollar volume reached for the midpoint of the year was in 2014 when volume had reached $1.1 billion.

Much has been said about the number of homes available in Saskatoon. Currently, there are over 2,100 active listings in the city. This number of homes would take just over five months to liquidate at the current rate of sales. This number of actively listed properties also means that we are still firmly in a buyer’s market. Just 41 percent of listed homes are selling compared to the five-year average of 50 percent. In the overheated market of 2007, there were only 375 active listings and a sales to listing ratio of an incredible 79 percent. This was at a time when Saskatoon’s population was around 210,000 residents meaning we had one active listing for every 560 residents. In 2012, we had 1,254 active listings. With a population of 239,420, there was one active listing for every 190 residents. Today, as Saskatoon’s current population is 268,158 we have one active listing for every 125 people.

On average, it takes 45 days to sell a home in Saskatoon. This is the lowest days on market average for any month in 2017. “Average days on market can be misleading as well,” cautions Jason Yochim, CEO of the Saskatoon Region Association of REALTORS®. “If homes are properly priced in any price range and in any market condition, they can easily see an offer in much less time.” The key is to get sound advice on the current market for each specific home. “Our REALTOR® members are market experts who are objective and can guide a seller in this critical decision,” he adds.

The market surrounding Saskatoon had a year-to-date decline in sales of 11 percent with a total of 456 transactions. Active listings in this market at the end of June were 1,112 which is a four percent decline from last year. 

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

The Saskatoon Region Association of REALTORS® (SRAR) recently released the residential MLS® sales statistics for May of 2017. The text below comes from that release. We added the charts to provide some pretty visuals and some historical data that is not present in the SRAR releases.

Home sellers need to put forward their best efforts when pricing and presenting their home for sale in any market but especially now with a total of 2,112 active listings available in Saskatoon. This is a record number of homes for sale eclipsing the peak of 2,081 in June of 2015. “Pricing is the most important decision a seller can make, especially in a buyer’s market,” advises Jason Yochim, CEO of the Saskatoon Region Association of REALTORS®. 

Of those properties listed for sale, just under 1,300 are single-family homes and about 850 are condominiums, with close to 500 of them being apartment style. Additionally, 350 of the apartment-style condominiums are priced between $150,000-350,000 making this a very competitive segment of the market. With 848 single-family homes priced between $250,000-500,000, there is a lot of choice for buyers who are being selective on what they want and what they are willing to pay. Homes priced over $500,000 total 278 with 76 of priced above $750,000. The MLS® system saw 1,035 new listings for Saskatoon in May, a seven percent increase over last May, and the highest number of new listings ever recorded in a single month.

In May, there were 423 sales in Saskatoon representing a seven percent increase compared to last May. So far, year-to-date, the total number of sales is down two percent to 1,459 units. The price range of $250,000-500,000 showed positive increases to the number of sales year-over-year. In May of 2017, there were 358 sales in this range compared to 329 last May. There was a 13 percent decrease in the number of sales priced between $500-750,000 in May of 2017. Year-to-date, there were 12 sales in excess of $1,000,000 in Saskatoon. Six of these sales were single-family homes, two were bare land condo units at the Willows and one was a downtown apartment unit. The highest selling price for a Saskatoon home this year was $2,000,000.

The average number of days required to sell a home in Saskatoon is 48. The five-year average for days on the market in May is about 41. Based on the number of sales that occurred in May and the number of homes available on the market, it would take five months to liquidate the current inventory of properties for sale. The average selling price continues to remain stable at $349,000. The median sale price also remains relatively unchanged year-to-date at $329,250. Although the total MLS® dollar volume was up 11.5 percent when comparing this May to last, dollar volume is down 1.3 percent to $670,000,000.

The market surrounding Saskatoon showed an increase in sales of 10.4 percent in May, however year-to-date sales in that market were down eight percent. The average selling price for this area is up seven percent this year to $331,450. This market includes the cities of Warman and Martensville as well as other surrounding communities and acreage property.

Jason Yochim, CEO, Saskatoon Region Association of REALTORS®

The Saskatoon home market is showing positive signs in a few of the key areas. “There are a few key statistics that we watch ever month to get a sense of where our market is at and where it may be headed,” says Jason Yochim, CEO of the Saskatoon Region Association of REALTORS® .“We keep a close eye on the number of transactions, the inventory levels and the change in pricing," he adds. 

In February, there were 229 residential sales recorded, up marginally from 226 for the same month in 2016.  Year-to-date, Saskatoon home sales are up four percent compared to the same period in 2016 with 558 unit sales. This is comparable to the number of home sales in 2015. The total dollar volume of those sales was just over $186 million, representing a two percent increase over last year.  

At the end of February, the inventory of available residential properties on the MLS® system in Saskatoon was 1,659 units, 5.4 percent lower than it was at the same time last year. The lower inventory levels are largely due to a significant drop in the number of new listings added to the MLS® system. So far this year, there have been 1,337 new listings added to the system compared to 1,410 last year. When comparing new listings for the last month, there were 15.7 percent fewer properties added to the market this February than there were last February.

A decline in new listings coupled with an increase in sales resulted in a sales-to-listing ratio (new listings/sales) of 37.4 percent in February. This is a significant improvement from last February when this ratio was 30.9 percent. A market with a sales-to-listing ratio below 40 percent is considered to be a solid buyers market but this indicates a positive move towards a more balanced market. “Although we are seeing these positive indicators quite early on, these statistics indicate a shift in the marketplace in a positive direction,” comments Yochim. 

Home prices remain relatively unchanged year-to-date with the average price down a mere 0.7 percent to just under $340,000. The median price of $320,000 represents a slight drop of 1.6 percent, year-over-year. The Home Price Index (HPI) is considered to be the most accurate measure of home values and where the market prices are trending. The HPI composite price is an aggregate of various residential home types in a particular market and is a measurement of change in value over time. A composite value was established with a base year and has been indexed on a monthly basis. The composite value in February was $297,900 representing a 1.2 percent decrease from a year ago. This value had been on a downward trend since mid-2016, which is not surprising considering elevated inventory levels through the year and a buyer’s market.

The average number of days for a home to sell in Saskatoon was 54. This is only slightly longer than in February 2016 when the average was 52 days. Homes are selling at 97 percent of their asking price, which is consistent with last year. 

“The best advice I can give a seller in any market is to get professional advice when dealing with your largest asset,” adds Yochim. 

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

Year-over-year, residential unit sales for the city of Saskatoon saw a seven percent decline in 2016. As at December 31, there was a total of 3,679 transactions recorded for the year versus 3,933 in 2015. The total dollar volume for Saskatoon also showed a seven percent decline by year-end.

There was also a decline in the number of new listings for 2016 of five percent with 9,290 properties placed on the MLS® system in Saskatoon last year. In other words, 38 percent of the homes that were listed ended up selling which is considered a firm buyer's market. This ratio is what is referred to as a sales-to-listing ratio. A 'balanced market' is when one home sells for every two listed for a 50 percent sales-to-listing ratio. The market for the month of December was in more balanced territory with 191 sales and 392 new listings.

The market surrounding Saskatoon which includes the cities of Martensville and Warman saw an annual decline in unit sales of 11 percent with a total of 1,010 sales by December 31. The number of new listings for 2016 in the markets outside of Saskatoon was 3,192 for a sales-to-listing ratio of just under 32 percent. The city of Martensville saw a ten percent increase in unit sales in 2016 while Warman saw a whopping 35 percent decrease in unit sales. Other bedroom communities surrounding Saskatoon saw very little change in units sold year-over-year. A home in Saskatoon took an average of 51 days to sell realizing 96.7 percent of the asking price on average.

"There are buyers out there who are ready to act and are willing to pay market value," comments Jason Yochim, CEO, Saskatoon Region Association of REALTORS®. "What this tells me is that if a seller is serious about selling their home the best thing they can do is get sound advice on pricing to the current market we are in. The result is a quicker sale for the maximum sale price. Buyers are well educated and not often fooled into overpaying," he adds. The average selling price for a home in Saskatoon in 2016 was just over $350,000 which was only a decline of one percent compared to the average selling price of $354,000 in 2015. This average price was maintained by a year-over-year increase in the number of homes that sold over $750,000.

The MLS® Home Price Index® is considered to be the most accurate determinant of where a real estate market is trending. The composite benchmark value is an aggregate value of various property types and is used to compare changes in market values and trends. The composite benchmark value has been trending downward slightly since August of 2016. The composite value of $299,700 is down 1.6 percent from the same time in 2015 and looks to continue downward for the near future.

"2017 is not likely to see a significant change in market conditions, however being properly informed on what those market conditions are and how to properly price is where one of our REALTOR® members is invaluable”, says Yochim. "One of the best ways to stimulate an economy is through a home sale. The average home sale in Saskatchewan generates nearly $50,000 in spin-off economic activity. Multiply that by 3,700 transactions," he adds.

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

The month of November saw a decline in sales activity as well as new listings coming on the market in Saskatoon and region. Total dollar volume year-to-date was $1.65 billion, a four percent reduction from 2015, and 18 percent lower than the same period in 2014.

The number of homes that sold in Saskatoon for November was 243 units representing a 14 percent reduction compared to November 2015. As of the end of last month, there was a cumulative total of 3,489 home sales, seven percent lower than a year ago.

The number of homes listed for sale to the end of November 2016 was 8,897. Currently, there are 1,687 residential properties available for sale in Saskatoon. Only the month of January had less product available with 1,612 units. At the current level of sales, it would take nearly seven months to liquidate this inventory.

The average selling price continues to remain virtually unchanged at just over $350,000. By comparison, two years ago the average selling price was $357,000, at a time when the market was more active. "An increase in sales of higher-end homes has helped to support the average price in the Saskatoon market," states Jason Yochim, CEO of the Saskatoon Region Association of REALTORS®.

Sales in every price range below $750,000 saw decreases in unit sales, however, homes priced above that increased year-over-year. 25 homes have sold for more than $1 million year-to-date this year compared to just 13 units a year ago. Homes in the price range between $750-800,000 were up 50 percent year-to-date for 2015.

The current sales to listing ratio for November was 37 percent which is firmly a buyer's market as it has been all year. Homes are taking 50 days on average to sell in Saskatoon with sellers realizing 97 percent of the asking price.

"These statistics tell me that sellers who price to the market will realize a sale in much less time than the average of 50 days and close to their asking price. Those who do not price to market are typically responsible for the low sales to listing ratio," says Yochim. "Buyers are more educated than at any other time and typically know where the market is at."

There are positives in this quieter real estate market. The recent selling out of the much-awaited River Landing condominium project in less than four days proves that location, location, location is key in any market conditions. This occurred in spite of an oversupplied condominium market with somewhere in the neighborhood of 1,000 multi-family units available for sale.

"The best advice I can give to those who are needing to sell is to get sound pricing, marketing and timing advice from a professionally licensed and trained REALTOR® member of The Saskatoon Region Association of REALTORS®. Real estate is local to specific markets in Saskatoon and every seller's situation is unique. Impartial and objective advice is critical in a successful sale of residential real estate," cautions Yochim. 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®