January’s CREB data has been reported. To no one’s surprise, the Calgary Real Estate Board (CREB) data for January 2015 is down. Oil is THE leading indicator for three other key indicators I am watching for you. They are:
- Housing supply.
- Net in-migration.
- Employment.
First, I did notice a change in CREB data reporting from January 2014 and January 2015. The categories of “Single Family”, “Condo Apartment” and “Condo Townhouse” have been changed to “Detached”, “Attached” and “Apartment”. The numbers reporting for this time frame are different too?
I am reporting this data to you so you canunderstand where we are in Calgary’s Real Estate cycle. I think understanding where our market is AND understanding your Mortgage affordability is helpful to you in deciding when to purchase a home.
Click here to learn how much you can afford NOW.
From CREB data I track three statistics to help you anticipate where prices may be headed in the near to medium future.
Absorption Rate:
This number tells us, in months, how long it would take to sell our current level of inventory, based on the speed at which sales are currently happening. 2015 details are marked with an “X”. January’s absorption rate shot through the roof up to well over 4 months.
Sales To New Listings Ratio:
This ratio tells us how many sales happen, relative to new listings being added to the market. Remember, housing supply is a leading indicator of where Real Estate prices may be headed. The 2015 January “X” is showing a month over month and year over year decline to just below 30%.
Average Price:
January 2015 actually saw a slight increase in price. This is most likely from high end sales, bringing up the average. Other months may lack high end sales and report a lower average number. Always consult with a recommended Realtor to inform you of price changes in neighborhoods that matter to you.
Please share, like and comment below with questions or concerns.
Thank you,
Chad Moore
403-809-5447
