Regina home sales surge in October
5 Nov 2014
Home sales surge in October
Regina’s residential realestate market bounced back with record or near-record sales in September and October after a slow start that saw sales down about three per cent during the first eight months of 2014, according to the Association of Regina Realtors.
Last month, 318 homes were sold on the multiple listing service (MLS) in the Regina area, up three per cent from 308 reported in October 2013. October’s sales were the second highest for the month in the past 10 years and above the five-year average of 308 and the 10-year average of 273. September’s sales were the highest ever for the month, the association said.
The average sales price in the city in October was $333,294, up four per cent from $321,401 last year. However, the home price index (HPI) — a more accurate measure of price changes — indicates a composite residential price of $297,400, down 3.4 per cent from last year’s levels of $307,800. “This indicates that residential property values have actually declined in Regina over the past year,” the association said.
The $35,000 difference between the average price and the HPI composite price is “entirely attributable by the skewing effect on the average price of a shift to a larger proportion of higherpriced homes selling,” the association added.
At the end of October, 1,255 homes were listed on MLS compared to 996 in 2013 and 660 in 2012, but a reduction from the 1,349 homes listed at the end of September. “Inventory levels in the city have been in the 1,250 to 1,450 range for the past four months — the highest in over 20 years,” the association said.
Total dollar volume of sales of $105.3 million was reported in the Regina area, up eight per cent from $97.6 million in 2013.
For the year to date, 3,263 sales have been reported in the Regina area to the end of October, identical to the number of sales during the same period in 2013. Total dollar volume of sales in the Regina area stood at $1.03 billion at the end of October, up one per cent from $1.02 billion in 2013.
“September and October sales numbers were unexpected because there’s usually a seasonal drop off,” said Gord Archibald, executive officer for the association. “The demand has picked up and the pace of sales has picked up.”
In fact, homes sales are heading toward 3,700 by yearend, the same as last year. “That gap is closed and we’re caught up to where we were last year,” Archibald added.