Market moves towards balanced conditions

Growth in new listings outpace sales growth in July, supporting double-digit inventory gains

Residential sales in Calgary this month totaled 2,336 units, a record level for July activity, according to CREB®'s latest stats.

However, year-over-year sales growth in the city slowed to 3.18 per cent. "While July's sales growth seems like a dramatic departure from the double -digit gains recorded in the first half of this year, it is in comparison to exceptionally strong sales during the same period last year," said CREB® Chief Economist Ann-Marie Lurie, noting July sales this year are nearly 19 per cent above long-term averages for the month.

New listings in July totaled 3,219 units, an 18 per cent increase over the previous year. The rise outpaced sales growth during the month, pushing inventory to 4,659 units, nearly 14 per cent higher than July 2013 levels.

"More selection is welcome news for many potential purchasers. However, improving supply levels have only come after nearly three consecutive years of declines," said CREB® President Bill Kirk. "Along with improving inventories, other indicators support the notion that market conditions are moving toward more sustainable levels."

Single-family unadjusted benchmark prices totaled $511,600 in July, just above May figures, but 10.8 per cent higher than $461,600 in July 2013.

Read more in the Aug. 8 issue of the CREB®Now real estate news.