House prices are on the rise in Alberta, reports the Alberta Treasury Branch.
According to the latest statistics from the Alberta Real Estate Association, the average resale price of residential properties in Alberta was 19 per cent higher in March 2021 than in March 2020.
“The persistently low levels of supply relative to demand have supported growth in home prices across most of the province,” stated the association.
The price increased across all housing types (detached, semi-detached, row and apartment), with the average for detached homes up the most at 21 per cent.
Average prices increased in six of the seven cities included in the report. Grande Prairie was the exception, recording a seven per cent drop compared to March 2020.
The average price in Fort McMurray was almost flat, posting growth of just one per cent between March last year and this year.
At 13 per cent in Calgary and 14 per cent in Edmonton, Alberta’s two largest cities both saw significant price growth over this period.
Resale activity was particularly strong at 8,500 sales in March 2021. This represents an increase of 123 per cent over March 2020.
“Strong sales combined with lower inventories caused the months of supply to fall below three months in March. Provincially this is the lowest level recorded for March since 2007,” states the Alberta Real Estate Association.
According to ATB’s The Owl publication, it is important to keep in mind that these statistics refer to aggregate averages and do not necessarily reflect the selling price of individual properties.
“With that said, they are a clear sign that the overall direction of both prices and activity in Alberta has been up compared to where things stood at the start of the pandemic.”