Red Deer saw a 6.3 per cent increase in home sales compared to last April, which contributed to a 14 per cent jump in sales year-over-year.
A total of 237 units were sold last month, according to statistics from the Alberta Real Estate Association, which found the number of new listings coming on the market nearly matched sales and prevented a significant shift in inventory levels.
New listings fell almost 12 per cent year-over-year to 296, and inventory sank 24.4 per cent to 447.
The association said months of supply dropped below two months for the first time in Red Deer since May 2014.
Larrissa Kalyn, board chair with Central Alberta Realtors Association, said it’s anticipated that inventories will continue to decline.
“We’re not seeing as much as we typically do because the market started so early this year. With rising interest rates, and just how the world has been, I think people are trying to make the move sooner than later,” Kalyn said.
The average residential price in Red Deer was $346,226, a 0.9 per cent increase year-over-year, with average prices for most types of housing rising.
Row housing had the biggest average price increase at 13.2 per cent year-over-year and climbed to $241,198. The average price of a detached home increased by 6.2 per cent to $401,985, semi-detached homes increased by 1.1 per cent to $267,705. The average apartment price sank by 26.3 per cent to $164,996.
Kalyn said the drop in apartment prices definitely speaks to the trend among buyers wanting their own space, their own yard.
Early this year the average residential sale price dropped due to the types of homes that were selling, she said.
“Now we’re starting to see that average sale price go up. It’s not necessarily that prices are going up across the board, but we’re starting to sell some of the higher-end properties again.”
Last month more higher-priced properties sold in the $300,000 to $599,999 range, and the $700,000 to $999,999 range, compared to April 2021.
The Alberta Real Estate Association said despite tighter market conditions after the first four months of the year, average prices have remained slightly lower than last year’s levels because detached sales accounted for a smaller share of total sales.
So far this year average detached home price has improved by over two percent in Red Deer.
Across the province, sales increased 1.6 per cent year-over-year in April to 9,830 units. Inventory levels fell 20.8 per cent, and new listings increased .7 per cent.
The average home price in Alberta was up six per cent year-over-year to $465,579. So far this year the average price increased by nearly nine per cent, with detached home prices increasing at a faster pace at over 13 per cent.
For more information visit www.albertarealtor.ca