Saskatoon real estate: Week in review (July 16-20 2007)

Following a couple of weeks which showed some signs that the market may be cooling off, Saskatoon real estate buyers came out in a big way and resumed the aggressive bidding which we’ve become accustomed to seeing here.


The average selling price of a Saskatoon home crept above to quarter million dollar mark again this week after dropping to $242,413 the week of July 2, and further to $237,032 the week of July 9. Average overbids bounced back above the $25,000 mark.


Area 3 home buyers were most eager to purchase property. The average overbid in the area which begins at downtown Saskatoon and extends north to the city’s edge between Idylwyld Drive and the river valley came close to hitting $50,000, albeit on a fairly small number of total sales. Prior to this week we haven’t seen this number break the $40,000 mark in any area.


Notable sales


  • Lakeview apartment (867’) listed at a whopping $189,900 finds a buyer at $225,000
  • Forest Grove one bedroom apartment (635’) listed at $129,900 sells for $145,600 (Consider that I sold one of these units on July 1, 2006 for $64,000, and then resold the same unit on March 27, 2007 for $120,000. This recent sale represents a 129% increase in just over a year)

See a Google map displaying the boundaries of Saskatoon real estate “areas” here
Data collection and calculation for our statistical reports

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.

Follow our daily updates on Twitter @SaskatoonHomes.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon real estate: Week in review (July 9-13 2007)

Saskatoon real estate sales resumed the hectic pace we’ve become accustomed to this week after recording a fairly significant drop in unit sales the previous week. 119 Saskatoon homes were reported sold, almost double the number reported the week of July 2-6. New residential listings slightly outpaced sales with 127 new listings coming on the market.


The market did continue to produce some hopeful signs that some of the heat may be coming off. The average overbid fell short of the $20,000 mark for the first time since the week of April 9, and more than 20% lower than was recorded just last week. The percentage of homes which sold above the asking price was also lower at 63% and the difference between the average list price and the average selling price of a home was just $10,240. We have to go all the way back to the week of March 26 to see a list price to sale price ratio which is smaller than this one.


Finally, you may notice that the average recorded selling price of all Saskatoon homes declined for the third week in a row. Realistically, July could bring the first drop in the average selling price of a home this year.


Are we going to see this trend continue through the summer months? Is “the boom” over, or is this just a much needed breather for buyers? Please let me know what you’re thinking.

See a Google map displaying the boundaries of Saskatoon real estate “areas” here
Data collection and calculation for our statistical reports

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.

Follow our daily updates on Twitter @SaskatoonHomes.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon real estate: Week in review (July 2-6 2007)

Reported sales of Saskatoon homes dropped to their lowest point since I started the week in review. Saskatoon real estate agents reported 63 firm sales in residential categories (excluding semi-detached) for the week, a drop of nearly 50% from the previous week.


Meanwhile, 130 new listings came on the market and active residential listings in Saskatoon finally inched over the 400 mark. A total of 402 property listings are displaying an “active” status on the Saskatoon Real Estate Board MLS®.


In spite of the fact that sales were remarkably low in comparison to listing activity, strong overbidding continued to be fairly prevalent with 67% of sales being reported above the asking price, and the average overbid dropping just slightly from the week before to $25,533.


One can’t help get the sense that Saskatoon residents who have been unsuccessful in purchasing a home are growing weary. Affordability is certainly a factor as the average selling price of a Saskatoon home tops the quarter million dollar mark. There still seems to be a large number of “out of province” buyers who remain active. My recent listings show an increasing percentage of the buyers who are making offers are moving to, and not within Saskatoon.

See a Google map displaying the boundaries of Saskatoon real estate “areas” here
Data collection and calculation for our statistical reports

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.

Follow our daily updates on Twitter @SaskatoonHomes.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon leads nation for house price increases in Q2/2007: Royal LePage House Price Survey

RED HOT HOUSING MARKET SEARING IN SASKATCHEWAN; CONDITIONS FORECAST TO CONTINUE TO YEAR’S END

– Significant price appreciations and strong demand will characterize the market through 2007 –

SASKATCHEWAN, July 5, 2007 Intense demand, driven by the swell of in-migration of Saskatchewanians returning from prosperous Alberta, fuelled average house prices and market activity in Saskatchewan during the second quarter; the housing market is anticipated to continue at a similar tempo throughout 2007, according to a report released today by Royal LePage Real Estate Services.


Saskatchewan’s housing market led the country in highest average price appreciations, surpassing the typically frenetic market conditions of oil-rich Alberta. During the second quarter droves of buyers flocked east to Regina and Saskatoon where average house prices are considerably less than in the western provinces. Many buyers have returned home with sizeable equity and are now favouring the simpler life that Saskatchewan offers. Despite the rapid spike in average house prices, market activity has begun to stabilize at the end of the second quarter and is expected to continue at a slightly more temperate pace, albeit still very strong, for the remainder of the year.


The average house price in Regina is forecast to increase by 13.8 per cent to $150,000 by the end of 2007. Unit sales are projected to increase by 18.5 per cent to 3,500 units sold in 2007.

Regina’s booming job market and diversified economy will also continue to attract buyers. Employment in the natural resources sector including the production of oil, potash, uranium and agriculture are poised for steady growth, further strengthening consumer confidence in the economy and housing market.


“We’ve had a tremendous year so far, and all signs indicate healthy and robust conditions for the next six months. Our population will continue to grow, mainly due to the fact that compared to the rest of the country, Regina offers buyers an affordable standard of living, ideal for those looking to escape the burden of large or long-term mortgages,” said Mike Duggleby, manager, Royal LePage Regina Realty.


New to Regina’s housing landscape is the rapid growth in the condominium market. Due to their affordable prices, condominiums have become the favoured choice of first-time buyers entering the market, and despite new construction, demand is outstripping inventory.


Based on the surveyed markets in Regina, the average price of a detached bungalow increased by 42.4 per cent to $204,000, while the average price of a standard condominium rose by 25.2 per cent to $118,300, year-over-year. The average price of a standard two-storey home rose by 19 per cent to $181,917, year-over-year.


Added Duggleby: “Proactive media campaigns in the western provinces promoting Regina as a great place to live appear to be successful based on the strong market activity during the second quarter.”


In Regina North, detached bungalows experienced the largest appreciation, with the average price rising by 42.9 per cent to $195,000, followed by the average price of a standard condominium, which rose by 31.3 per cent to $111,600, year-over-year. Standard two-storey homes increased by 20 per cent to $163,000, year-over-year.


In Regina South, detached bungalows showed significant gains, rising by 42 per cent to $213,000, year-over-year. The average price of a standard two-storey home rose by 18.1 per cent to $200,833 while the average price of standard condominiums in the area rose by 47.1 per cent to $125,000 over the same period last year.


With the same fundamental conditions in tact as in Regina, market activity in Saskatoon was frenetic during the second quarter; with even more significant price appreciations recorded. Very limited supply, coupled with fierce demand drove prices up in all housing categories, with huge appreciations in the condominium sector.


“While strong demand dramatically pressured prices upwards for much of the second quarter, the market has begun to temper. Moving into the third quarter and onwards, we expect to see slightly fewer buyers, as first time buyers retract due to the erosion of affordability,” said Norm Fisher, sales manager, Royal LePage Saskatoon Real Estate. “However, our strong employment rates and abundance of job opportunities in diverse sectors like small business, sciences and construction will continue to keep the market buoyant and operating at conditions unparalleled to what we have ever experienced in recent years.”


Based on the surveyed markets in Saskatoon, the average price of a standard condominium rose by a dramatic 84.7 per cent to $205,000, followed by detached bungalows, which increased by 56 per cent to $281,250, year-over-year. The average price of a standard two-storey home rose by 55.2 per cent to $305,000, year-over-year.


The brisk activity and rising prices have also had a ripple effect into neighbouring areas. The typically slower market in Swift Currant has been invigorated by a spill over of buyers from Saskatoon.


Added Fisher: “During the second quarter increased demand drove listing periods down to mere days and stimulated aggressive multiple offer situations, conditions that are not typical of this market. In fact, in recent weeks, as many as 80 per cent of properties reported sold went above the asking price – by an average of $26,000.”


In Saskatoon North, the average price of a standard two-storey home rose by 48.8 per cent to $305,000, year-over-year. Detached bungalows rose by 50.5 per cent to $280,000, while the price of a standard condominium saw a huge price appreciation rising by 101.9 per cent to $210,000 – the highest price appreciation recorded in all housing types in Saskatoon in the second quarter.


In Saskatoon West, the average price of a standard two-storey home rose by 61.7 per cent to $270,000, while the average value of a detached bungalow also increased, rising by 58.1 per cent to $245,000, year-over-year.


In the East End, the average price of a detached bungalow rose by 59.8 per cent to $310,000, year-over-year. The average price for standard two-storey homes increased by 51.4 per cent to $330,000, from the same period last year.


In East Central, the price of a standard two-storey home rose by 60.7 per cent to $315,000 compared to last year, while the average price of a detached bungalow rose by 55.9 per cent to $290,000. Standard condominiums rose significantly by 80.2 per cent to $200,000.

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.

Follow our daily updates on Twitter @SaskatoonHomes.

Norm Fisher
Royal LePage Saskatoon Real Estate

A closer look at the Saskatoon real estate statistics for June 2007

The average selling price of Saskatoon homes took another substantial jump during the month of June passing the quarter million dollar mark for the first time ever. A total of 452 single-family homes and condominiums changed hands in June at an average of $251,120.

328 single family homes (houses) were sold by Saskatoon real estate agents at an average of $262,145, up from $243,006 in May.

124 condos were sold in Saskatoon at an average selling price of $221,958, an increase of over $12,000 compared to those sold during the month of May.

Note: My research shows that in May only three houses which were larger than 2,500 square feet were sold in Saskatoon. There were seven such homes sold in June. These additional sales added almost 2.5 million dollars to the total sales volume which does have an impact on average prices. For instance, if you took those 4 additional sales out of the equation you’d see average selling prices of $245,989 in the “houses and condos” category and an average of $254,523 for “houses.”


No matter how you look at it they’re still pretty big increases over a thirty day period. July and August typically bring some relief for buyers. Will the Saskatoon real estate market continue to see these dramatic increases over the summer months or are we nearing the end of this bull run? Please let me know what you’re thinking.

See a Google map displaying the boundaries of Saskatoon real estate “areas” here
Data collection and calculation for our statistical reports

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.

Follow our daily updates on Twitter @SaskatoonHomes.

Norm Fisher
Royal LePage Saskatoon Real Estate