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The Canadian Real Estate Rebound: Sales Jump During Unprecedented Circumstances
While month-over-month sales jumped massively in the cities I reviewed, year-over-year data shows just how far off from normal we truly are.
Specific data will differ location to location but the common theme across all markets is this: We are rebounding. People were still buying and selling real estate. Across the country, thousands of transactions took place which required the expertise of a real estate professional.
Continue to give value, continue to show support and you will continue to find work.
How did your market do in May? Check out my detailed reviews below.
Remember, it’s a beautiful life, make it count.
Rich
TORONTO, ON
The Toronto Regional Real Estate Board saw a massive jump in month-over-month sales in the month of May. Sales were up 54.8% with 4606 total last month. Months of inventory fell 30% to 2.5 and the average price of a property in the TRREB area now sits at $864,000, a 5.1% month-over-month increase.
Year-over-year sales are a completely different story.
January to March, sales and average price were dramatically higher in 2020, although the narrative changes from April to May. These numbers show exactly how devastating the COVID-19 quarantine was, but also provides insight to where we see the numbers going for June.
How does 2.5 months of inventory compare to months past? Take a look at my detailed Months of Inventory Year-over-Year chart dating back to 2017. This visual would be a great addition to any Buyer or Seller CMA. Watch my video here to take a look!
Click here to download Toronto’s May 2020 market slides.
CALGARY, AB
The Calgary Real Estate Board is reporting the largest month-over-month sales increase in this review. Month-over-month, sales went up 88.% with 1080 in May. Thanks to this leap, months of inventory fell 44% and average price rose 3.8%, now sitting at $439,000.
Like all the other markets in this review, year-over-year numbers aren’t as pretty.
Year-over-year, May 2020 is down 43.8% compared to May 2019. While I do expect to see an increase in sales in June again, we are far off from 2019 numbers.
What do year-over-year average price numbers look like? Take a look at the details to help provide insight for your buyer and seller clients. You can see all the numbers in my CREB Market Update here.
Click here to download Calgary’s May 2020 market slides.
EDMONTON, AB
The REALTORS® Association of Edmonton reported great numbers in May. Month-over-month, sales reached 1157, a 54.3% increase over April. Months of inventory dropped 30.5% to 6.7 and the average price of an Edmonton property went up very slightly by 0.1%.
Year-over-year, like every market across the country, April and May are way off in sales. From May 2019 to May 2020, sales are down 41.6%. However, I do believe that we will continue to see sales increase for the next few months going into the summer.
What impact will unemployment have on the Edmonton real estate market? My prediction, we may begin to see the fallout of high unemployment rates in the fall.
Take a look at my REALTORS® Association of Edmonton update here for more detailed information on your market and listen to some suggestions on how to rebound from an down spring market.
Click here to download Edmonton’s May 2020 market slides.
VANCOUVER, BC
The Real Estate Board of Greater Vancouver reported positive numbers in the month of May. While benchmark price did drop 0.7% month-over-month, months of inventory dropped 21% and sales increased 33.9%.
Month-over-month REBGV reported 376 more sales in May than in April and months of inventory is now sitting in a balanced market at 6.7.
2020 was looking like a banner year between January and March. Year-over-year sales in those three months were at least 42% higher than in 2019. April and May we saw a dramatic drop in sales compared to 2019, however, if May is any indication of what’s to come, June will be even stronger.
What will happen in the rest of 2020? I have a prediction on both summer and fall markets. With unemployment rates high, but interest rates low, the country is in a delicate situation. Watch my market update here and listen to what I believe will happen between now and October.