While fewer homes and properties are selling right now in Edmonton, the prices of those homes are holding steady, a story in The Edmonton Journal reports. In an interview with the paper, association chair of the Realtors Association of Edmonton, Steve Sedgwick, remained optimistic about the housing prices in Edmonton, saying, “We continue to see consistency in prices, without any huge spikes or dips.”
Sedgwick’s remarks come after a summer of relatively steady pricing in Edmonton’s real estate markets, which point to a tipping point in how the market could go in the fall and winter. Overall since September 2015, the markets have seen a modest 1.5% growth in residential sales while also experiencing an 8.4% drop in actual sales numbers in the same amount of time. For condos, the sales drop was even more severe at 20%.
When asked as to why Edmonton’s markets seem to be holding steady, especially compared to Calgary’s current markets, Sedgwick was hard up for an answer. “I don’t have a solid answer as to why Edmonton is not being as impacted with respect to pricing,” he said. “Generally, when demand drops, the prices usually follow shortly thereafter.”
Overall, Edmonton’s real estate market has been steady and flat for values, even as fluctuations have occurred in the past few months. The average price of a single-family home, for example, is down “slightly from the 2014 peak, multi-family units like condos and duplexes have actually experienced a slight uptick in value.
Sedgwick has also warned about confusing the steady market with dependability. Even though prices aren’t fluctuating, that all could change. “I think if we’re going to continue to see this trend for a longer duration, [but] it’s inevitable there will be some type of price correction,” he warned in the interview.
Edmonton remains an affordable market right now, with the average condo coming in at just over $250,000 and the average single-family home valued at $430,461. But, as Sedgwick warns, things could change.