Saskatoon real estate: Week in review (April 21-25 2008)

Following a few weeks of unseasonably sluggish home sales, the Saskatoon real estate market took an upward bounce this week with 117 condominiums and single-family home sales reported as having firmed up. That compares to just 70 last week, and it even tops the 109 units reported sold for the same week last year. An additional 63 homes are flagged as “conditionally sold” on the Saskatoon MLS system.


New residential listings continued on an upward trend with a total of 220 properties being introduced to the market, including 146 houses and 58 condos. Total active residential listings closed the week at 739 units, up from 668 last week, and significantly higher than the approximately 255 homes that were available at this time last year.


Some cooling occurred in the overbid arena with just 34% of Saskatoon homes sold selling for more than the asking price, down from 41% last week, and dropping sharply from the whopping 73% that we experienced during the same week in April of 2007. The average overbid took a big hit falling 42% from last week and landing below the $10,000 mark for the first time in the last ten weeks.


After three weeks of pushing the $320K mark, average selling prices softened to $288,679, the lowest weekly number we’ve seen since the week of March 10-14. Sales at the upper end of the value range were down in most areas. Also notable is the fact that the average selling price of a Saskatoon home was lower than the average list price for the first time since the week of February 18-22.


It seems to me that all of the indicators are pointing towards a little more balance in the near future, assuming that new listings continue to outpace sales at the current rate. Total unit sales for the month of April will almost certainly show some softening over April 2007. These two factors should result in better conditions for home buyers.

Saskatoon real estate: Week in review (April 21-25)

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

Comments

  1. Interesting, we lead the country in growth, by gaining a whole 6,400 people for the entire year (Alberta gained 13,000 BC 22,000)gotta love starting small… and still just equalling the population in 2001. How are we being overwhelmed by not even matching the population from 7 years ago? And that was when people were cashing in on house prices in Alberta, back when Saskatchewan used to be affordable.

  2. missylu says:

    Smokey,

    Google Redfin

  3. “. . .they want a piece of the pie. Gotta make a bigger pie, and Sask has the ingredients currently needed.” –Ayn

    I just liked this comment. I have no doubt that in the next few years or 5-10 years we will do great as a province. (Just not sure what this housing thing will do in the short term)

    And what would happen if just for a couple years, people stopped migrating to Alberta? Our pop. has sat around a million for 80 years. To a lot of places, adding an extra 30,000 people might not create much of a change. But for a smaller population, the effect is much larger.

    I’m wondering if there are any recent numbers on migration.

  4. “The only reason the price of anything goes through the roof is because people have resigned themselves to such changes.”

    WTF are you talking about?

    How about supply, demand, speculation, perception, scarcity, market manipulation?

    Have you noticed that many of the natural resources in Saskatchewan are in demand globally?

    Growing populations grow and developing nations develop, and then they want a piece of the pie. Gotta make a bigger pie, and Sask has the ingredients currently needed.

    Unless of course you mean that people have resigned themselves because they are not protesting in the street, or using their power of numbers to vote out the people who ran you out of Saskatoon.

  5. Heather D. says:

    seller,

    Why did you feel compelled to respond to my post if it doesn’t hold water? My comment was effective enough to deserve a reply from you.

    Sellers have a lot more to lose when their houses are sitting vacant. What about the people paying two mortgages because they bought another house before selling their last property? Buyers within Saskatoon aren’t living on the streets, most won’t lose any money by staying put. They will keep saving money every month while sellers keep losing money every month.

  6. Doesn’t that theory work both ways? As long as us sellers refuse to drop our prices, and you buyers refuse to pay market value for homes, we could have a real stand off on our hands lol.

    Don’t you folks realize that mob mentality only works if you actually have a mob? I also agree that over bids are a little stupid, but you can’t change that market with a few dozen people who decide to boycott it.

    If you don’t want to buy, then don’t. Nobody minds. Just think about the comment a bit, and decide if you really think it might be effective.

  7. Heather D. says:

    Jim,

    There are a lot of us that feel right now buyers should hold out and wait a bit because demand IS easing. I hope they will soon take heed. There should also be a LOT of spec houses coming up for sale. If people play their cards right they might be able to pick one up this summer for decent price.

  8. And people should say no to higher real estate. A while back (last month?), 1/3 of all for sale properties in Saskatoon were vacant. Not to count the investment properties, sitting vacant, awaiting future sale. There is the available housing out there. Potential house buyers just have to refuse to bid over asking, pay rent a little longer, suck it up and live in their parents’ basements a few more months or rent a room at a friends, and we’ll see prices dip quickly. Add in all the speculators trying to cash out, something we’re already seeing in small numbers, and the market will get affordable fast. I agree with Alex, no reason to say paying way too much is okay. Just say no and wait for prices to drop.

  9. It does seem realtors, who were doing fine before, stand to make a lot more money, and have to do less work in our current housing market. I mean houses are worth double, and sell faster. I guess they don’t feel the need to discount prices, because all the traditional companies seem to charge the same.

  10. Alexander Trauzzi says:

    On the food bit…

    The only reason the price of anything goes through the roof is because people have resigned themselves to such changes. Nobody stands up to say anything because there are neo-cons around every corner ready and armed with disinformation to guilt them into silence. Don’t be too un-moderate now, nobody wants to hear that!

    We have such a lobotomized society built around acceptance, corporations don’t have to fear repercussions. Either from consumers with demand or from the government for unfair or dishonest business practices.

    So long as you can prove somebody agreed to get screwed, screwing people is okay nowadays.

    That means unless you’re an expert on everything you deal with, people are positioned to rake you clean.

    Ah, the wonders of a “free” market. Consolidation, dishonesty, lack of transparency, stagnated innovation, persuasion, informal cartels and a reduction of available work. Libertarians and believers of their ideals need a serious head check.

    There’s just too much damage being done to our economy because of greed right now and everyone is stuck taking their cues from each other.

    When will Canada wake up?

  11. Norm,

    I didn’t mean to say that Royal Lepage fudged the numbers, but from my own digging around I know the numbers do not match up.

    On Bob Truman’s site the average SFH in Edmonton is 398k.

    In Saskatoon the average is 325k?

    But these stats are for the whole city.

    To get the stats that show Saskatoon is more expensive than Edmonton some of the higher end places in Edmonton are left out and the low end places in Saskatoon are left out, right?

  12. Smokey,

    You’re a class act man. A real class act.

  13. Stefanie says:

    Thank you Norm and Larry:)

    • Norm Fisher says:

      Jedi,

      These stories certainly don’t help. Received a half dozen of these inquiries just over the weekend and the ink isn’t even dry.

      Smokey,

      These types of real estate brokerages have been operating in Canada for years. Hardly news. Inovex Realty will be happy to take your Saskatoon listing for a 1% fee. To the best of my knowledge, that offer has been around as long as I’ve been in the business, about 15 years.

      • Norm Fisher says:

        Smokey,

        “I am curious about what people feel about this lady on social assistance getting her rent raised?”

        Sad story indeed, and unfortunately it appears that there is no relief in sight for the poor with food prices about to go through the roof.

  14. Heather,

    It takes any Realtor a while to develop a network of clientèle once outta school, due to the fact when you finish the program, no one just hands you a bunch of clients. Real estate is cut-throat dirty and often unethical business. I have heard stories about older more established Realtors treating inexperienced Realtors like garbage, because they want them to give up.

    This guy from Edmonton figured out that charging less with a creative name, that people may give him business. Many Realtors that have success have either business connections, or work their ass of to get clients. Some start as assistants. This guy was brilliant, and when this article gets out there will copycats offering lower commission everywhere, because at 2 percent you can still make a fair living. I hope it ends the high commissions, and creates a better environment for competition.

    Can you imagine his office to tomorrow. His poor secretary is in for an exhausting day. This article will probably triple his clientèle.

    It would be great if this created ramifications for other Realtors, such as many having to lower rates. I have always felt that Realtor commissions are unjustifiable. There are too many Realtor’s who do not deserve the nice living they get. I have met so many unknowledgeable Realtors over the last few years. I find that they often are asking me questions about market conditions and future prognostications, because they don’t take the time to educate themselves. Many are great at spin, and that is why they are successful. I remember one Realtor who had know clue as to the what the market was doing. I directed them to a number of websites so they would be able to find out for themselves were the market was going. Too many Realtor’s lack understanding in market condition, but know how to read people, and spit out the current real-estate lingo and choicest phrases. Why would I pay them for their spin? The only way I would pay a Realtor high commissions, if I felt their expertize benefited me in making a decision that was better than me making it on my own.

    Realtors love them uneducated masses who buy foolishly because all they have to do is pump the spin. Watch a few episodes of “Flip My House,” and listen to the blond bombshell Realtor tell her clients that they will make lotsa of money cause they install granite countertops and hardwood. It is crazy to think that a person with no education can take the course and then people can consider them an expert?

  15. Heather D. says:

    Jedi,

    Those stories will continue until the media is absolutely 100% without a doubt positive that Saskatoon’s real estate market is cooling.

    Smokey,

    Interesting article! That realtor must be fairly popular because of his lower commission rate and cash back offer. But the higher client volume must keep him busy. He probably ends up working harder because of the higher client volume, but making the same amount of money as any other realtor in the end because his commission is less. Does he just have a kind heart, or am I missing something?…

  16. Welfare alley? The only good thing about yuppies moving in is they’ll soon be moving out. Don’t think they’ve got the balls to wait for saskatoon’s riversdale to yuppie up to their standards. Not fair to the decent people trying to get by on rent in those areas. They were already there. Dealing with what they can afford.

  17. Heres an article from the Edmonton Sun. Is there any real estate companies like this in Saskatoon. I find this very encouraging, and I think this will be the new trend in Real Estate hopefully…

    http://www.edmontonsun.com/Business/News/2008/04/27/5400406-sun.html

  18. Just read this in the paper, and I am curious about what people feel about this lady on social assistance getting her rent raised? She is trying to feed 3 mouths.

    http://www.canada.com/saskatoonstarphoenix/news/third_page/story.html?id=7c780505-2eec-479f-ae94-6305dacfd869

  19. The Royal Lepage report compares similar types of areas in Edmonton to Saskatoon. The report I don’t believe is fudged, but I do believe they should release the way in which they came up with their data. Everyone has remember that the average in lower in Saskatoon because of their is lower demand in certain areas that are deemed less desirable which brings down the average for Saskatoon. Edmonton has seen a lot more undesirable areas become transition areas such as Riverdale or Cloverdale which were once called “welfare alley.” When areas transition, the price of these areas goes up exponentially, and in the case of Riverdale, it is fast becoming one of the most swanky, and trendy new yuppy areas in Edmonton. It went from trash to cash just in the last few years.

    If you don’t believe the report in Royal Lepage, analyze comparable ares in Saskatoon and Edmonton. I find it shocking.

  20. Norm,

    you mentioned that your phone is still ringing from outside investors. The media is probably largely responsible.

    Mid april feature on BNN: Saskaboom, series of 8 spotlites/videos

    April 28 edition of Canadian business: Saskatoon still relatively affordable and one of the markets expected to grow

    Current issue Resource World magazine: article entitled Insights and Investments in Saskatchewan- Well positioned to withstand any potential downturn in the U.S. economy

    I am sure these are just some of the sources. The Can Bus mag states that our gov spent 320K advertising in Alberta and Southern Ontario. Someone also posted a link to the feature in Report on Business(Golbe and Mail?)

    How long do you think these stories will last?

  21. Landlord says:

    My rent in Saskatoon is covering all principal, interest, insurance and tax payments with 20% down – barely – at Oct 2007 prices for a large, eastside house. It was not hard to find willing renters. I don’t know whether this could be done at April 2008 prices.

    • Norm Fisher says:

      George,

      I’m not really sure what Royal LePage might have to gain by fudging these numbers. That said, I do think that the method is faulty and I said as much when this news initially broke that “Saskatoon is more expensive than Edmonton.”

      The Royal LePage House Price Survey examines recent prices for specific housing types in specific areas. In Saskatoon, we report on “East” (east of Circle Drive, or Area 1), “East Central” (west of Circle Drive East to the river, or Area 2), “North” (the North end of Saskatoon, or Area 3), and “West” (which includes everything west of Circle Drive West, or Area 5). For some reason, Royal LePage thinks it’s appropriate to average the results from those 4 spots. Note that all of the properties in Area 4, the cheapest area of Saskatoon are not included. Also, Edmonton reports on eight specific areas and the average is arrived at in the same manner. I’m not familiar with those areas so I don’t really know how that shakes out but I would imagine that it presents similar issued when averaging. I suspect that the averages for each identified area are fairly accurate but the whole thing comes apart when you attempt to produce one average from all of the areas. You can’t really say, “If the average in East is X, and the average in East Central is Y, then the average for both is Z. As far as I can tell, there is something missing from that equation, that being the number of sales. This is something that I need to take up with Royal LePage.

      Homes in Saskatoon East may be more expensive than homes in Edmonton Terwilliger, but there is no way that the average price of a detached bungalow in Saskatoon is higher then it is in Edmonton.

  22. Jim,

    you believe Royal Lepage?……………….hmmmm.

  23. Snow slowing sales is part of Saskatoon. No disclaimer required. Now snow in June…

  24. I still would say that the year over year Royale LePage survey, with Edmonton cheaper than Saskatoon by a decent amount, would seem more substantial than weekly online numbers. And don’t forget, average wage in Edmonton is still way higher. And on private websites, I’ve seen almost new townhouses in the east end for under 200,000, no kidding, so maybe our prices are falling. But they should be less than Edmonton, since you make more there/can afford more.

  25. 57 below list? 40 above list … and an average in the 280,000’s? People are actually getting homes for less than the list price? Here’s hoping this is an indicator of things to come

  26. I haven’t been looking at cap rates in Saskatoon for awhile, or doing any research for that matter (other than this blog). Any type of property can cash slow, you just need to apply a few principles, ie

    Calculate the cap rate:

    http://www2.jurock.com/commercial/tips/caprates.asp

    And apply the 1.1 percent rule:

    There is a little known formula for real estate investors who want to start developing a revenue property portfolio, but have a modest income, known as the 1.1% rule. This 1.1% rule is actually a Debt Coverage Ratio or DCR. The basic concept is quite simple: a lender likes to see $1.10 of income for every $1.00 of expense. The income is based on the rent and the expense is a factor of the mortgage payment, property taxes and condo/strata fees.

    That part is simple. What makes this little formula very interesting for the investor who wants to start developing a revenue property portfolio, but has a modest income or one that can’t be verified, is the way it is treated by a lender once you have three or more properties.

    The biggest problem or concern most investors have when trying to accumulate multiple properties is with their Total Debt Service Ratio or TDSR (not to be confused with a DCR – Debt Coverage Ratio). Your TDSR is a formula that calculates the ratio of your debt against your income and this ratio cannot exceed 40%. In other words, you cannot spend more than 40% of your verifiable income on your mortgages, loans, credit card debt etc.

    http://www2.jurock.com/insider/login.asp?c=1&id=2408

    haha “cash slow” I said – gargantuan freudian slip…

  27. SomethingDoesntAddUp says:

    Callum,

    Thanks for the input. I was thinking of the cash flow potential on any type of property at all. What about duplexes/apartment buildings/multi-unit houses? From the numbers I have been able to put together, admittedly crude, these types of buildings would seem to offer better rental rates as a percentage of the building cost.

  28. SomethingDoesntAddUp said:

    “There has been no shortage of anectodal evidence that rent prices in Saskatoon are on the increase. One of the standard metrics for overpricing is the ability of a landlord to make his mortgage, property tax, insurance payments off of rent without digging into his own pocket. Can any landlords out there could comment on whether or not Saskatoon rental property can still be cash flow neutral at current prices.”

    Do you mean “can a $200,000 condo rented at $850 cashflow on a small or no downpayment?” No.

    Saskatoon was cashflow heaven in 2005 when I bought. Not anymore. And yes, rents have risen 25% in the last year on my condo.

  29. SomethingDoesntAddUp,

    http://www.bobtruman.com/Edmonton_SFH_stats/page_1918017.html

    Edmonton SFH is 398k

    Saskatoon’s is probably around 330-340k

    I think affordability is about the same, maybe a bit better here or worse, I’m not sure.

    The only big difference between the two markets is listings

    Here 750

    Edmonton 14,000 http://www.polarissells.com/search_mls_map_form1.php

    My advice to someone moving to Edmonton and wanting to buy a house is find a vacant one ( speculator)in the fall and offer a low ball offer. With 7 months or more of inventory there eventually some speculators will break down and sell. I especially see this in the fall, when inventory is even higher than now and prices start to drop a bit.

  30. Larry Yatkowsky says:

    Stephanie,

    “I understand the benefits” – Really?

    Your words tell a different story.

    It’s all about “agency”. Sask’s rules may differ from those in B.C. so I’ll defer to Norm to respond.

    Simple analogy: place yourself in a legal situation – would you use the same lawyer who is defending the person you are challenging?

    If you’re not reading your Bible today here’s some suggested Bathroom reading – Hint: Don’t drop your laptop .>)

    “15 Myths and Realities in BC. Real Estate” by Derrick Penner. Caution – some of this may apply to your local market.

    http://www.canada.com/vancouversun/story.html?id=3b1e88b7-dc12-4aca-b9bc-649bdb72623d&k=63321

    • Norm Fisher says:

      Jedi,

      The units you are talking about have been selling fairly well. The median price going back to March 1 is $275,000. A couple of exceptionally high sales drive the average up to about $297,000, but again, 7 of 14 sales did go at $275,000 or less, and as low as $250,000.

    • Norm Fisher says:

      Stephanie,

      Great question! Thanks.

      The answer to your first question is an essay, one I’m afraid I’m not able to write today, but one I surely should have written before now.

      Outside of the most obvious benefits like having a single point of contact to answer your questions and make showing arrangements, most of the major benefits flow from the “agency relationship” which is created when you ask someone to represent you, and they agree.

      Under the law, this action creates a legal relationship which binds the agent to a series of obligations known as “fiduciary duties.” A brief explanation of the obligations that an agent has to his or her client, as well as an explanation of how those obligations change when the agent represents both parties can be found here.

      http://www.teamfisher.com/Reports_-_Understanding_Agency/page_1720208.html

      “Limited dual agency” can work and often does work but in all cases the buyer and seller do agree to give up some of the benefits that come from a buyer agency or a seller agency relationship.

      The bigger question for me is, “Can an agent actually represent two parties and work within the “limitations” of Limited Dual Agency. I would encourage you to review the limitations of dual agency and review your own transaction against those points. Did the agent actually represent the interests of the buyer or the seller to the advantage of one over the other? Did the agent protect the confidentiality of both the buyer and the seller? From the agent’s point of view, it’s very difficult to conduct the transaction without a potential violation.

      I am not one who believes that every buyer and seller “needs” an agent. Clearly, there are consumers out there who are sophisticated, knowledgeable and savvy enough to know what to watch for and how to protect their own interests. For instance, an investor who has been through the process many times may be able to create some advantages in a private purchase or sale with an unsophisticated buyer or seller.

      Normally, when a listing agreement is signed, a total fee is negotiated and the seller’s agent, together with the seller, decide how much of that fee will be offered to the buyer’s agent. That number is then published to the local MLS so that a buyer’s agent knows what the fee will be if they sell the house.

      I’m not sure that there is a “better” when it comes to representing buyers or sellers. Some agents have a clear preference while others don’t. Often, the preference is dictated by the smaller “non-agency” duties which come from the services. For instance, I enjoy taking decent photos and the whole process of marketing a property. I enjoy all of the cool tech-tools which are available today to help an agent service a listing and communicate with a seller. For these reasons, seller representation tends to be my preference. However, it’s also still a lot of fun to work with buyers.

      Heather,

      I am hesitant to provide selling prices for identified properties on the blog as it could be considered misuse of the information. I’m happy to discuss this, or any other property privately. If you’d like to drop me a note using the “email” button on the top banner, I’ll do what I can.

      SomethingDoesntAddUp,

      I think it’s important to note that we shouldn’t jump to any conclusions about the weekly “averages.” When you’re talking about 100 sales, you can easily see bounces in these numbers. Through the hottest points of this market, we’ve seen them drop substantially some weeks, even though we know prices are on the rise. Two $800,000 sales can impact the weekly average by $16,000. I use this information to attempt to gauge the “heat” in the market. The difference between list and sale price is a useful nugget but the actual average is based on too few unit sales to be useful. Sometimes, even the monthly numbers can be distorted by an unusual amount of activity in one pricing segment. For instance, have a look at the bouncing that occurred between May and September in 2007.

      http://www.teamfisher.com/MLS__Stats/page_1723681.html

      This was more a reflection of the activity in different price ranges than an actual rising and falling of market prices. We can use these averages over the long term to spot trends but they are far less useful in small time frames.

  31. SomethingDoesntAddUp says:

    There has been no shortage of anectodal evidence that rent prices in Saskatoon are on the increase. One of the standard metrics for overpricing is the ability of a landlord to make his mortgage, property tax, insurance payments off of rent without digging into his own pocket. Can any landlords out there could comment on whether or not Saskatoon rental property can still be cash flow neutral at current prices.

  32. SomethingDoesntAddUp says:

    I was just looking at the Edmonton prices for last week and it seems we are now going for a substantial discount to that city. We will need at least another 2 weeks for the numbers to statistically be relevant but as of this week Edmonton averages out around $335 K, compared to our $288K for a $47K difference. Given that historically Saskatoon has traded near Edmonton prices, this doesn’t sound unrealistic. Hopefully these numbers hold up and we can put to rest the Edmonton-Saskatoon discrepancy argument.

  33. Heather D. says:

    Hey Norm,

    Just wondering, are you able to tell me the price a house in Silverwood on Melicki (sp?) sold for? Built in ’81, 1400 sq, double attached garage. It’s an MLS listing and sold on April 22.

  34. Stefanie says:

    Jedi:

    I agree with you about the condos you mention in those particular areas. We were fortunate to purchase our home in January 2007 after recognizing indicators that the market was about to go insane (we were also looking in December 2006 and prior noticing the prices seemed to be climbing at about $10,000 per a week for an eastside home (chose the eastside for something different as I grew up in the north and west sides). I particularly recall Erindale/ Arbor Creek condos going for $170,000 to $190,000 (roughly). The prices they are asking now is ridiculous considering you would be paying moreso for the shape our market is in as opposed to the quality, workmanship, and upgrades which may(or may not) be included. A friend of mine purchased a condo on Kenderdine Road and states that the noise level between two condos is worse than her old apartment – noting that the present noise is just in day to day living (not loud music, etc. but rather footsteps and voices). She is all ready looking for something different and refers to her place as glorified apartment living (her words).

    Norm:

    Thank you so much for your blog…. I read it with interest as often as possible.

    I have a question based on my circumstances when I purchased my home and of which may be of interest to others. As mentioned above, we began searching the market in September 2006 on our own without an agent. If we were interested in something we saw, we just called the realtor who was advertising and requested a viewing. We were often asked if we had an agent and felt pretty comfortable working without one (whether that was smart or not, I don’t know). I say that with ignorance and my question to you is: what are the benefits for a buyer to have a realtor/ agent? What is the difference if you are looking on your own or if you and an agent are looking? I understand what the benefits are if you are selling, but I am ignorant to the benefits if you are buying. As well, presuming I purchase with an agent, does the commission get split? Which is better for a realtor: a client who is selling or a client who is buying?

    The realtor who sold us our house seemed eager to work with us (we offered the asking price with one condition for inspection)and the purchase was completed within 2 days and it was smoother than I could have imagined.

    Thank you to whoever can provide some insight to my rant of questions above:)

  35. Norm, any highlites this week?

    I know prices are out of whack everywhere, but one group of housing that has caught my attention is the condos in erindale/arbour creek on keevil, beckett, and aspen grove/kenderdine.

    I remember these going for 210 as the boom started, thought 260 was reasonable given everything else is out of whack, thought 280 was pushing it, and now see them listing for 305-310.

    Am I out to lunch thinking these are getting ridiculously overpriced or are they selling?

    Anyone else perceive any out of whack pricing? (more so than the normal ridiculousness)

  36. Heather D. says:

    George,

    I know the Hampton Village lot draw had 80-ish applicants (non-builders), that’s not a whole lot. Of course there might be a lot of people holding out for the East side. (like myself)

    It is indeed 4 years that you can’t sell your house, so that at least will reduce speculators definitely. You CAN sell your house if you have a good reason (ie. job transfer out of the city/province) without penalty.

    Unfortunately since SO MANY of the lots are going to builders, and not individuals, construction costs aren’t going to get any better anytime soon, even if real estate takes a turn for the worse. Builders have us by the nuts, so to speak. ;’)

  37. Thanks for the stats Norm, good to see lots of listings. I think we are into a healthy market, I see more supply coming on than demand the next while.

    Heather D,

    you and others will have to let us know how the lot draw goes. I am interested to see if there will be the same demand as last year. Wonder how much speculation there will be this year compared to last. I heard a rumor that you have to pay 50k if you sell your house within 4 years if you are not a builder. Is this true? It may help get rid of speculators but it is also beneficial to the builders, which I do not necessarily agree with. If it keeps the prices down, them I’m for it.

  38. Heather D. says:

    THAT IS FABULOUS!!!

    Sure there were a higher number of sales this week – but if you look back, there were also more “conditionally sold” homes last week. This week that number is lower. Judging from that, this upcoming week should have less sales and I estimate it will be down around the 90 mark.

    I am also OVERJOYED to see the average sale price at $288K (I never thought I’d say that, haha), and overbids are only 34% of total sales. 739 listings… 1000 here we come! I’m guestimating by the end of May for sure. (I think I’m actually playing that a little too safe)

    Thanks Norm for getting these stats up so fast. It really makes my day! :’)

  39. Com’on Norm, where is the disclaimer like in the CMHC report the last weeks snow clearly hampered sales this week;-)

    • Norm Fisher says:

      That’s what the Toronto Real Estate Board has been saying through Q1. Pretty funny.