Single-family new infill sales start the year on a high note while new infill townhome sales continue to limp along.
Single-family new infills posted 31 sales during the month of January, up considerably from the 19 sales recorded last month and down just slightly from the 33 sales recorded in January of last year.
Single-family new infill inventory remains steady, with 137 active listings for sale, up slightly from 135 active listings recorded last month and 141 active listings recorded at this time last year.
New infill townhomes posted only one sale during the month of January. Although low, this is still an improvement from zero sales recorded last month. Sales are, however, down considerably from the 7 sales recorded in January of last year.
New infill townhome inventory has improved slightly to 13 active listings for sale, from 8 active units for sale recorded last month and 11 active units for sale recorded at this time last year.
Although overall sales activity is expected to improve seasonally over the coming months as we enter the busy Spring selling season, total sales volume will be somewhat restrained due to the lack of affordable inventory options for buyers.
CALGARY MARKET UPDATE (CREB)
City of Calgary, February 1, 2024 - January sales rose to 1,650 units, a significant gain over last year's levels and long-term trends. The growth was possible thanks to a rise in new listings totalling 2,137 units in January. New listings rose for homes priced above $300,000, but the largest gains occurred for homes priced above $700,000.
The rise in new listings relative to sales did little to change the low inventory situation in the city. With 2,150 units in inventory, levels are near the January record lows set in 2006 and are nearly 49 percent below the long-term average for the month.
"Supply challenges have been a persistent problem since last year. This month's gain in new listings has helped provide options to potential purchasers, supporting sales growth. However, the growth in sales prevented any significant adjustments in supply, keeping conditions tight and supporting further price growth," stated Ann-Marie Lurie, Chief Economist at CREB®.
The months of supply in January was 1.3 months, falling over last month's and last year's levels. The persistent tightness in the market contributed to further upward pressure on home prices. The unadjusted benchmark price in January reached $572,300, a gain over last month and ten percent higher than levels reported last January.