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®