Calgary housing market remained hot in Q2, expected to slow
The Calgary Real Estate Board (CREB) says while home sales in the second quarter of the year were almost as strong as in the months prior, inventories are relatively low and supply is tight.
CREB released its latest quarterly update on Tuesday, in which the organization examined housing sales in April, May and June.
In it, CREB noted 9,303 total sales in the second quarter of 2022, an increase of 2.24 per cent over the same period last year.
However, new listings were down 3.25 per cent in the second quarter and inventory dropped by more than 20 per cent year over year.
The result, says CREB, is prices that trended up; the benchmark price in Q2 jumped more than 14 per cent year over year to $544, 733.
"The lending rate increases have started to impact home sales and are expected to weigh on sales over the second half of the year, offsetting some of the strong gains reported over the first half of the year," CREB noted.
"With market conditions easing and a higher cost of borrowing, prices are expected to trend down in the second half of the year, offsetting some of the stronger than expected gains in the first half of the year . Despite the pullbacks, we anticipate that the annual benchmark price will remain higher than levels reported last year."
DETACHED AND SEMI-DETACHED SALES DECLINE
Not every home is benefiting from the hot housing market.
CREB recorded 4,949 sales of detached homes in the second quarter, a decline of more than 14 per cent year over year.
Meanwhile, 791 semi-detached homes were sold in Q2, a three per cent decline year over year.
Row housing in Calgary saw an increase in sales of more than 36 per cent year over year, with 1,713 in Q2.
CREB recorded 1,850 apartment condominium sales in the second quarter, and increase of more than 46 per cent.
SURROUNDING AREAS
Serveral areas around Calgary saw a boost in housing sales.
Airdrie had a 3.74 per cent year over year increase in sales with 832 houses sold, High River had a 4.17 per cent year over year increase in sales with 125 houses sold and Okotoks had a 5.10 per cent year over year increase in sales with 309 houses sold.
Other areas saw housing sales drop.
Strathmore had a 0.73 per cent decline in sales with 136 houses sold, Chestermere had a 13.21 per cent decline in sales to 184 houses sold, and Cochrane had a 12.21 per cent decline in sales with 374 houses sold.
The decline in Strathmore has been contributed to low supply levels in houses, with conditions "continuing to favour the seller," while Cochrane had inventories that remained well below levels traditionally seen in the market.
For Chestermere, CREB was optimistic about their market, saying that "the move towards more balanced conditions is relieving some of the upward pressure in home prices which peaked in May of this year."
As for the jurisdictions that had positive growth, Airdrie’s increase in housing sales was contributed to higher inventory levels, while High River had it where a rise in new listings relative to sales supported some quarterly gains. Finally, the gain in houses sold in Okotoks was thanks to a "gain in new listings."
CTVNews.ca Top Stories
DEVELOPING Live updates as Stormy Daniels testifies at Trump hush money trial
Adult film star Stormy Daniels will take the stand a second time Thursday as former U.S. president Donald Trump’s hush money case continues in Manhattan. Follow live updates here.
BREAKING Sheldon Keefe out as head coach of Toronto Maple Leafs
The Toronto Maple Leafs have fired head coach Sheldon Keefe. The team made the announcement Thursday after the Original Six franchise lost to the Boston Bruins in seven games in the first round of the Stanley Cup playoffs.
Bank of Canada says financial system is stable, but risks remain
The Bank of Canada says the Canadian financial system is stable, but risks remain due to debt servicing costs among households and businesses and stretched valuations of financial assets.
Why these immigrants to Canada say they're thinking about leaving, or have already moved on
For some immigrants, their dreams of permanently settling in Canada have taken an unexpected twist.
Here are the ultraprocessed foods you most need to avoid, according to a 30-year study
Studies have shown that ultraprocessed foods can have a detrimental impact on health. But 30 years of research show they don’t all have the same impact.
Torchbearers in Marseille kick off the Olympic flame's journey across France
Torchbearers carried the Olympic flame through the streets of France's southern port city of Marseille on Thursday, a day after it arrived on a majestic three-mast ship for a welcoming ceremony.
Capital gains tax change 'shortsighted' and 'sows division' business groups tell Freeland
Forging ahead with increasing Canada's capital gains inclusion rate 'sows division,' and is a 'shortsighted' way to improve the deficit, business groups are warning Finance Minister Chrystia Freeland.
Court to hear about search for remains as Winnipeg murder trial enters second day
A courtroom in Winnipeg is expected to hear testimony today about the search for the remains of the four victims of Jeremy Skibicki.
Ontario man frustrated after $3,500 paving job leaves driveway in shambles
An Ontario man considering having his driveway paved received a quote from a company for $7,000, but then, another paver in the neighbourhood knocked on his door and offered half that rate.