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Average price slips as fewer people moving to Alberta, realtors association says
! t' R$ |1 _- MBill Mah, The Edmonton Journal
- ~5 { [2 \' n" Y: b5 tPublished: 1:31 am# ?7 J) a' B) \/ o% W" m5 X" R# R
EDMONTON - The buyer still reigns in Edmonton's housing market, where the number of homes for sale has skyrocketed by 268 per cent from a year ago.
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Figures released Thursday by the Realtors Association of Edmonton show there were 9,464 residential properties available in the city area -- up by a whopping 1,220 homes from February.
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9 @3 b2 Y6 N2 \. j$ i. fThat's the third-largest inventory in Edmonton history. Only last September and October were there more homes for sale at month's end, 9,918 and 9,577 respectively.
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Association president Marc Perras said the inventory, about six month's worth, stems largely from fewer people moving to Alberta.
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Net migration to Alberta last year was 27,048. That's down significantly from 74,523 who moved here in 2006, according to Statistics Canada data.
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" m* Z% \% u5 p5 y6 J8 B1 I8 b' P' Y"We had an industry that ramped up, expecting that those numbers would keep up and now, as a result of that drop-off, we've seen inventory numbers come up fairly significantly," Perras said.! D3 s- a4 \' x% r1 g
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He predicted home prices will increase by the year's end as inventory drops and called the current situation a "stable, normal" market.
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"Our sales volumes are similar to what we saw in 2004 and 2005 and our prices are essentially flat.
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" E; n, p. h+ x, W5 c0 V"We saw quite a roller-coaster ride last year when prices jumped up significantly in the first six months and fell off significantly in the last six months."5 x/ G+ u9 q0 L9 r$ O: w. H
2 V6 P8 P) J6 O' V1 @0 A0 a+ q- YA single-family home sold in March for an average price of $387,632, down 2.7 per cent from March last year.& Q& s# k0 K1 F
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But the average residential price -- including single-family homes, condos, duplexes, mobile homes and others -- was $343,760, 5.66 per cent higher than March 2007.% l$ Z x0 H1 b, v& ^) b2 X N' s; _
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There were 1,557 residential properties sold in March with new listings of 4,236 for a sales-to-listing ratio of 37 per cent. Homes spent 51 days on the market, down one day from last month.
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, l6 ]5 q- }2 K+ DTotal MLS sales in March dropped 31 per cent from a record-setting pace in March 2007." N, K- B% r# O! x0 I# m
0 j8 `: J$ d7 F Y; ZMeanwhile, a house price survey released Thursday by Royal LePage Real Estate Services says Edmonton-area houses became more affordable in the first three months of 2008.
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The study looked at certain local markets examined and found the average price of a "standard two-storey home" fell 3.7 per cent to $363,707.9 X$ c0 N& ?3 S2 r& d: D; S% D
& R3 c; I7 V( `The price of detached bungalows fell 4.9 per cent to $330,000 from the same time last year. Standard condo prices also fell 7.7 per cent year-over-year to $235,000, said the LePage study.7 e0 a2 u4 w+ E7 ]; v% J
$ j4 r$ B0 C0 O& I7 R) kKen Shearer, a Royal LePage broker and owner, said debate over energy royalties kept house prices lower./ }; n/ n- A# D+ p5 w' P. Z0 z
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"As a result of this debate, the market has receded from the wild pace it experienced last year as buyers are simply no longer interested in paying skyrocketing house prices," he said.
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v6 ?1 f" F8 I7 x- CAccording to the report, prices varied by specific market in the Edmonton region. Here are some highlights:4 `3 Y: W( M$ V4 F, M0 V
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Sherwood Park: Average prices for two-storey homes dropped by 7.1 per cent to $390,000, while detached bungalows and condos were unchanged from last year.1 e: |% ~' U$ v+ R: d( T' S
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Spruce Grove: A two-storey home rose 6.9 per cent to $405,000 year-over-year.8 e! p( R& x4 c9 i) ~5 b: n
% U0 y' ]6 ~+ t0 D7 eRiverbend/Terwilligar: A two-storey property rose by 12.7 per cent to $410,950 over the same time last year. The average price of a detached bungalow rose by 2.6 per cent to $390,000, while condo prices dropped by 10.6 per cent to $235,000.
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1 x3 {4 d4 a1 W& _/ ALeduc: Average condo prices rose by 9.1 per cent to $240,000 year-over-year. Two-storey house prices dropped by 7.5 per cent ($310,000.)7 _6 e7 Y" R! v
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St. Albert: The average price of a two-storey home fell by 12.8 per cent to $340,000 while detached bungalows dropped by 12.3 per cent and condos by 13.3 per cent.
! `# y2 I: A1 S1 I k) e* ?Castle Downs: Average detached bungalows fell by 18.6 per cent to $285,000. Average two-storey homes went down 11.4 per cent to $350,000.
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Clareview: Detached bungalows decreased by 8.8 per cent to $310,000, year-over-year. Condo prices fell by 16 per cent to $210,000 from the same time last year. |
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