Resale pace rises for condos

February marked significant year-over-year gains in resale Calgary condo apartment sales, rising by 13.4 per cent.

Figures from the Calgary Real Estate Board show resale condo apartment sales marked 279 deals last month compared to 246 in February 2012.

Condo townhomes also saw an 8.7 per cent rise in sales, with 223 sales in February compared to 205 during the same time last year.

Sales may have been helped by a tighter single-family housing market.

“With less selection in the single family market, particularly at the lower price ranges, more consumers are turning to the condominium market,” says CREB chief economist Ann-Marie Lurie in a news release. “Throughout the downturn there were more single-family homes priced under $400,000.”

However, over the past few years the number of new single family listings in this range represents a declining share of the market, leaving consumers looking for more affordable products.

Condo prices have grown as sales grow and total inventory shrinks. The condo apartment benchmark price was $252,900 in February, a six per cent increase over the previous year of $238,700.

The benchmark price is based on a formula that uses various factors to ensure accurate comparisons.

Townhouse condo benchmark prices grew as well by 4.6 per cent year over year to $283,000 in February from $270,500 the year before.

“While the current price gains are a sign of recovery, the unadjusted condominium apartment and townhome benchmark prices still remain 14 per cent below the peak levels,” says Lurie.

Such prices have not been adjusted to take into account seasonal factors.

The area of Calgary that saw the most sales activity last month was Zone C, roughly Calgary’s southwest, with 269 sales averaging $327,521 and 45 days on market.

Within this zone, Connaught was the hottest neighbourhood for sales, with 27 transactions at an average of $313,514.

Last month, Zone A in the northwest had 135 sales, averaging $322,645, while Zone B in the northeast had 32 sales averaging $178,939. Zone D, in the southeast, had 66 sales averaging $271,767.

DID YOU KNOW?

One resale apartment condo priced at more than $1 million wassold in February, down from two such units during the same month last year., says the Calgary Real Estate Board.

Sales of townhomes in this price range increased compared to 2012, with four sales in Feburary compared to one during the same month last year.

Visit creb.com for more information.