In May inventory levels continued to rise as more homes were put on the market. Meanwhile, sales activity slowed to one-thousand nine-hundred twenty-three units being sold. CREB® explains this development in their monthly housing summary for May. An in-depth report with specific statistics can can be found at their website, www.creb.com, but here are some of the major highlights:
Why did the market play out the way it did in May?
“While recent oil price gains may have some feeling optimistic, weakness in the labour market continues to impact housing demand,” says CREB® chief economist Ann-Marie Lurie. “Job losses are spreading into other sectors, wages are declining and unemployment levels remain high. At the same time, we’re seeing housing supply levels rise in the rental, new home and resale markets.”
Inventory rose by fourteen percent, landing at six-thousand, one-hundred, fourth-eight units. Only about 17% of those units were sold. Every type of home has seen inventory gains, but the most gains can be seen in the atttached home and apartment sector.
“The resale apartment market has been the most difficult for sellers,” said CREB® president Cliff Stevenson. “They are competing with improved selection in the lower price ranges of the detached and attached markets, and facing increased competition from the new home sector, where builders are offering incentives to attract potential buyers.”
With so much inventory on the market and few units being sold, Calgary has become a strong buyers market. If you’re looking to buy or rent, now is the time to lock yourself in
Your Real Estate Professional,