Q4 house prices in Saskatoon show increases over last year: Royal LePage

Saskatoon’s real estate markets saw solid improvements in the final quarter of 2009 across housing types, according to the latest Royal LePage Market Survey Forecast and House Price Survey.

In Saskatoon, standard condominiums sold for an average of $217,000, up 5.9 per cent from the same period last year. Detached bungalows sold for an average of $310,500, up 3.5 per cent year-over-year, and average standard two-storey home prices increased by 3.0 per cent year-over-year to $338,750.

“At this time last year, Saskatoon’s real estate was hitting the bottom of the market,” said Norm Fisher, Sales Manager for Royal LePage Saskatoon Real Estate. “Resale activity is up across the board, and higher house prices are supported by lower inventory and increased demand, especially for entry level properties.”

“Condos are big movers. In 2009, interest rates went down and entry level homes came into high demand. Condominiums less than 1200 square feet are up dramatically in terms of unit sales in the last half of 2009,” added Fisher.


Canada’s residential real estate market is forecast to remain unusually strong through the first half of 2010 as economic conditions across the country improve and the stimulus impact of low interest rates continues to stoke demand, according to today’s Royal LePage Market Survey Forecast and House Price Survey.

“The Canadian real estate market enters 2010 with considerable momentum from an unusually strong finish to the previous year,” said Phil Soper, president and chief executive, Royal LePage Real Estate Services. “The stimulus effect of low borrowing costs has contributed to a sharp rise in demand that has driven activity levels to new highs. This demand, coupled with a typical seasonal under supply of homes for sale, should cause home prices to continue to appreciate significantly during the early months of the year. Improving supply as the year unfolds and easing demand as the cost of home ownership rises should moderate home price increases in the second half of 2010.”

Regions that saw the strongest declines during the recession are now showing marked gains. Those regions include Toronto and the Lower Mainland, B.C.. Vancouver in particular experienced a robust quarter, with home prices rising across all housing types surveyed.

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.

Real estate geeks can follow our daily updates on Twitter @norm_fisher.

Our Saskatoon home search tool offers MLS listings represented by all real estate brands, presented with more detail than you’ll find anywhere else. Check it out here.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatoon house prices stabilize but down 5% year-over-year: Royal LePage

Saskatoon, SK, October 8, 2009 – The Royal LePage House Price Survey released today showed the average year-over-year price of homes in Saskatoon is down five per cent over last year. However, a more balanced market has put an end to 13 months of consecutive price declines.

“Since bottoming out in April 2009, prices have stabilized,” says Norm Fisher, Sales Manager for Royal LePage Saskatoon Real Estate Ltd. “Average buyer discounts in Q3 ranged from 3.5 to 4.5 per cent, showing buyers and sellers are making reasonable negotiations.”

Inventory is at 58 per cent of last year’s levels so homes are moving quickly. “Unit sales are through the roof,” Fisher says. “We’re hitting near record unit sales for most housing types. Overall unit sales in Q3 were up nearly 50 per cent over the same period last year.” Lower priced condos are moving faster than in Q2, but unit sales for condos in the $300,000 to $350,000 range are down year-over-year.

Although some single family homes priced below $350,000 are generating multiple offers, buyers are typically cautious. “The current Saskatoon market isn’t like the boom period of 2007,” he says. “We had a rally in the first quarter of 2008, then the market flattened out.”

Selling for an average of $291,000 in Q3, west side detached bungalows are the only housing type that showed a year-over-year price increase. Overall, lower priced homes have depreciated less than more expensive homes.

Overall Canada’s housing market appears to be on the road to recovery, but despite the strength of the market in the third quarter, giving the appearance of a surge in real estate activity, Royal LePage cautioned that sales are actually lagging approximately one month behind the typical seasonal pattern in year-to-date analysis.

“The economic recession interrupted the flow of the real estate cycle but it is essentially back on track,” said Phil Soper, president and chief executive officer, Royal LePage Real Estate Services. “There is the illusion of a boom in the market, but in fact what we are experiencing is the end of a normal, short-term correction. Once housing supply returns to normal levels, we believe the economy will support low pricing growth into 2010.”

Click the image for a larger view.

Royal LePage House Price Survey chart for Canada

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.

Real estate geeks can follow our daily updates on Twitter @Norm_Fisher.

Our Saskatoon home search tool offers MLS listings represented by all real estate brands, presented with more detail than you’ll find anywhere else. Check it out here.

Norm Fisher
Royal LePage Saskatoon Real Estate

Saskatchewan home values down from a year ago even after modest first quarter gains: Royal LePage

With residential real estate inventory above benchmark levels, average home prices in Saskatchewan showed year-over-year declines of 5.5 per cent, but increased 2.2 per cent in the first quarter of 2009. According to Royal LePage’s quarterly House Price Survey, the year-over-year value of key housing types – detached bungalows, standard two-stories and condominiums – were down 10.9 per cent in Saskatoon, while Regina home values increased 7.8 percent over last year’s average. However, most Saskatoon housing types showed increases in the first quarter of 2009.

“The decline in Regina’s housing market started in 2008 – later than some other cities – so we lagged behind other markets,” said Mike Duggleby, Manager of Royal LePage Regina Realty Saskatchewan. “However, average 2009 house prices have increased over last year.”

After posting price gains throughout 2008, Regina South’s housing market has seen little activity so far in 2009 – with average prices for detached bungalows up 21.9 percent year-over-year to $295,000, standard two-storey homes up 13.7 percent to $290,000 and standard condominiums up 12 percent at $196,500. In Regina North, standard two-storey home prices were unchanged from a year ago at $200,000, while bungalow prices were up 2.6 percent to $238,250 year-over-year. Meanwhile, condominium prices declined 3.6% year-over-year to $141,111.

According to Duggleby, Regina’s buyers are sitting on the sidelines. “People are waiting to pick up bargains,” he said. “They’re waiting to see if prices go down further. Right now, there is an over-supply situation.”

Despite a slumping global economy, Duggleby believes it won’t be long before the province’s vibrant resource and construction sectors help drive all residential real estate prices back up. “House prices are connected to our local economy,” he says. “Construction is starting on a global transportation hub that will take air, rail and trucking freight from Thunder Bay and Vancouver. Work is also starting on a new western Canadian distribution centre for Loblaws.”

Although Saskatoon home prices have dropped over the past year, values have started to rebound with average price increases of 3.5 percent for key housing types within the first quarter of 2009 (not exactly how I would have characterized the first quarter, but I did point out that average prices and cost per square foot increased in January and February).

Condominium values took the biggest hits year-over-year, with prices down 13.6 percent in Saskatoon North and a decline of 16.4 percent for condos in Saskatoon East Central. Across Saskatoon, the average price of a detached bungalow was down 8.1 percent year-over-year, to $312,500, while two-storey homes were down 11.8 percent to $348,500.

The number of homes in Saskatoon for sale in March – approximately 1,400 – was down from a peak of 1,800 last year – but current supply levels are still very high and well above average.

“Prices have seen downward pressure over the last twelve months,” said Norm Fisher, Sales Manager, Royal LePage Saskatoon Real Estate Ltd. “This is the first time in this particular cycle that we’ve shown year-over-year price declines – from 4.5 percent to as high as 16.7 percent in a standard townhouse in the West End. It’s definitely a buyer’s market.”

Most of the 2009 activity in Saskatoon has occurred in the lower priced housing categories. Home ownership has become more accessible, with an average first quarter house price of approximately $282,700 – down from last year’s peak of $318,300.

“Through 2007 and the first half of 2008, Saskatoon experienced the greatest deterioration of affordability in Canada, so we were due for a correction. We want our young people to stick around and build a future here. Some first time home buyers are starting to come back to the market because of low interest rates.”

At the other end of the spectrum, Fisher notes that very few of Saskatoon’s half-million dollar homes sold in the first quarter of 2009.

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 @Norm_Fisher.

Norm Fisher
Royal LePage Saskatoon Real Estate

Rising inventory levels bring Sask housing market back to earth: Royal LePage

SASKATCHEWAN, October 6, 2008 – The red-hot house prices and wild activity of Saskatchewan’s recently explosive real estate market have both tempered during the third quarter. The combination of rising inventory levels and a decrease in buyer demand in both Saskatoon and Regina have positioned the real estate markets in both cities in the buyers’ favour, according to a House Price Survey report released today by Royal LePage Real Estate Services.   However, despite the tempering activity over the past few months, year-over-year house price gains in both cities are ranked as the highest in the country.

The local economies in Saskatoon and Regina both continue to prosper as a result of the booming agricultural and resource sectors, and an abundance of employment opportunities continue to attract new workers to the province.  However, the rising house prices appear to have reached a cap; after lagging behind much of the country, house prices in Saskatchewan have caught up and are now on par with other comparable cities.

In Saskatoon, the recent run-up of house prices has finally come to a tipping point, where buyers have become reticent to enter the market.  During the third quarter, Saskatoon’s housing market returned back to earth, with rates of house price appreciation that are more sustainable in the long term.

In Saskatoon, the average price of standard condominiums rose by 1.8 per cent to $211,250, year-over-year. Standard two-storey homes climbed by 10.7 per cent to $358,250, while the price of detached bungalows appreciated by 9.4 per cent to $321,500, year-over-year.

“House prices in Saskatoon are still up year-over-year, but the frenzy has definitely worn off compared to what the city experienced in previous quarters,” explained Norm Fisher, sales manager, Royal LePage Saskatoon Real Estate, Saskatoon “The combination of cautious buyers, and the recent activity of many speculative sellers has led to a surplus of inventory and a decline in prices during the third quarter.  The housing market is now tipping towards the buyers’ favour – for the first time in several months.”

The condominium market is mostly affected by the surge in inventory as this property type received the most attention from speculative and out-of-town buyers who were hoping to cash in on the city’s booming market.  Many would-be buyers are now taking a wait-and-see approach before jumping into the market.

Average listing periods have more than tripled over the past year; since the third quarter 2007, current figures for days on market has increased to approximately 55, up from 13.

Added Fisher: “Buyers and sellers both need to understand the current market conditions before taking any action; sellers need to be aware that the market has changed significantly and must list their homes accordingly.”

In Saskatoon North, the average price of a standard two-storey home rose by 6.1 per cent to $350,000, year-over-year.  Detached bungalows rose by 7.5 per cent to $322,500, while the price of a standard condominium dipped by 2.1 per cent to $210,500, year-over-year.

In Saskatoon West, the average price of a standard two-storey home soared by 22.9 per cent to $338,000, while the average value of a detached bungalow also increased, rising by 14.0 per cent to $285,000, year-over-year.

In the East End, the average price of a detached bungalow rose by 12.2 per cent to $364,000, year-over-year.  The average price for standard two-storey homes increased by 12.9 per cent to $412,000, from the same period last year.

In East Central, the price of a standard two-storey home rose by 10.8 per cent to $360,000, while a detached bungalow rose by 10.7 per cent to $332,000 year-over-year.  Standard condominiums also appreciated, rising by 6.0 per cent to $212,000, year-over-year.

Market activity in Regina paralleled that of Saskatoon, as buyer demand was doused with a surplus of listing inventory.  The increase in available listings has tempered activity and sales prices from the frenetic pace that characterized the market in recent months; however, when surveying prices compared to last year, Regina’s housing market demonstrates substantial gains.

Of the three property types surveyed, standard condominiums showed the greatest year-over-year appreciation, rising by 49 per cent to 196,000, standard two-storey house prices also showed strong gains, jumping 39.6 per cent to $259,000.  Detached bungalow properties rose, increasing by 34.1 per cent to $278,850, year-over-year.

The dynamics of the city’s real estate market has put the breaks on some would-be buyers’ activities, as many are taking time now to see how the market plays out.

“Many buyers are sitting on the sidelines right now, waiting for prices to drop; however, this is likely not going to happen,” said Mike Duggleby, manager, Royal LePage Regina Realty, Regina.  “Our economy is the best it’s ever been, and I anticipate that it’s only going to get better.  The city’s anticipated inter-modal facility will no doubt boost our economy even further, and draw more people to Regina.”

Added Duggleby:  “Six months from now, Regina’s potash, oil and uranium industries will still be flourishing, and we’ll be heading into the busy spring market.  Now is a very good time to invest in Regina’s real estate.”

In Regina North, standard condominiums experienced the largest appreciation, with average prices rising by 50.0 per cent to $180,000, year-over-year.  The average price of a standard two-storey property, followed second, rising by 34.9 per cent to $228,000, while detached bungalows rose by 31.4 per cent to $262,700, year-over-year.

In Regina South, standard condominiums showed the largest gains, rising by 48.3 per cent to $212,000, year-over-year.  The average price of a standard two-storey home increased by 43.6 per cent to $290,000, while the average price of a detached bungalow in the area increased by 36.6 per cent to $295,000, compared to the same period last year.

Click here to view Royal LePage House Price Survey chart for Canadian survey markets.

Click here to view the national release for the Royal LePage House Price Survey.

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

Saskatchewan is Canada’s real estate story for 2007: Royal LePage

Canada’s real estate market posted significant gains in the fourth quarter of 2007 and showed little sign of the traditional seasonal slowdown. Average house prices continued to increase in the fourth quarter with many markets experiencing double-digit gains, according to a House Price Survey report released today by Royal LePage Real Estate Services.


The fourth quarter 2007 was surprisingly strong, with unseasonably high price increases and unwavering demand, said Phil Soper, president and chief executive, Royal LePage Real Estate Services. The strength of the market was apparent throughout the country, largely due to positive economic fundamentals. The value and export-demand for our natural resources has underpinned high employment rates, providing Canadians with confidence in the future stability of their jobs and their local residential real estate markets.


Mirroring the pattern seen throughout most of 2007, it was the prairies that continued to dominate in price appreciation, with markets such as Regina and Saskatoon experiencing price increases as significant as 50 per cent. While agriculture is still a significant contributor to the regional economy, natural resources such as oil, gas, potash and uranium continued to drive exceptional growth in the area.


Homeowners in Saskatchewan saw property prices appreciate at a much higher rate than anywhere else in Canada, reflecting the relative affordability of homes in the region, and a shortage in supply relative to the booming demand for home ownership. The combination of a spike in the number of available jobs, the reasonable cost of living, and the attractiveness of the prairie lifestyle led to an unprecedented number of people searching for homes.


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