Market Updates

Brenda & Bob Ganne Sutton Group - Results Realty

August 2023

RECORD SALES IN AUGUST, TIGHTEST MARKET CONDITIONS HEADING INTO SEPTEMBER SINCE 2007

Saskatchewan reported a record-high 1,631 sales in August, a year-over-year increase of 11 per cent and nearly 25 per cent above long-term, 10-year averages.

Strong August sales were met with a pullback in new listings, contributing to a decrease in inventory levels for the month. As seen in prior months, the inventory decline was largely driven by homes priced below $400,000, as the more affordable segment of the market remains highly competitive.

“Saskatchewan is once again reporting strong sales despite ongoing inventory challenges, inflationary pressures, and higher lending rates,” said Association CEO, Chris Guérette. “Higher interest rates are pushing more purchasers to seek out more affordable options in the market, and, as a result, we continue to experience significant supply challenges in the lower price ranges of our market. These persistent supply challenges are likely preventing even stronger sales activity in August.”

Record sales and low inventories caused the provincial months of supply to drop below four months – below three months in Regina and below two in Saskatoon – reflecting the tightest market conditions seen heading into September since 2007. Despite tighter market conditions, Saskatchewan’s benchmark price eased slightly in August, primarily due to declines in the more expensive detached and semi-detached markets. Notwithstanding price adjustments following months of steady growth, prices remain comparable to levels reported last year.

“Our province continues to benefit from its affordability advantage, record population growth, and gains in international migration. Unfortunately, when housing supply fails to meet the increased demand, as seen in other jurisdictions across the country, inventory challenges become a real concern, and affordability can be eroded,” said Guérette. “We continue to keep a very close eye on inventory levels, specifically in the more affordable segment of our market.”

Regional Highlights

Year-over-year sales growth was driven by gains in the Regina, Saskatoon, and Yorkton regions, while other regions reported a pullback in year-to-date sales. Many regions experienced a pullback in year-over-year inventory levels, resulting in tighter market conditions across all larger regions of the province. The Saskatoon-Biggar region continues to face the tightest conditions in the province, with just under three months of inventory.

Price Trends

The benchmark price varied across Saskatchewan communities in August. The Regina, Moose Jaw, Swift Current, North Battleford, Estevan, and Weyburn regions are all reporting year-over-year price declines, ranging from 2.5 per cent in North Battleford to a high of over four per cent in Weyburn and Estevan.

While other regions report price easing, recent monthly price gains in Melfort, Prince Albert, and Humboldt resulted in record-high benchmark prices in their cities.

City of Regina

The City of Regina reported 359 sales in August, a year-over-year increase of nearly 6 per cent and 22 per cent above long-term, 10-year trends.

Rising August sales were met with a pullback in new listings, resulting in further inventory declines and the months of supply dropping below three months. Despite tighter market conditions, the benchmark price in the Queen City eased over last month due to pullbacks in the higher-priced detached sector.

Regina reported a benchmark price of $313,100 in August, down from $319,200 in July and $318,700 in June.

City of Saskatoon

The City of Saskatoon reported 528 sales in August, a year-over-year increase of 20 per cent and over 36 per cent above long-term, 10-year trends.

Increased sales and lower inventories caused the months of supply to dip below two months, the tightest levels reported so far this year. Despite extremely tight market conditions, Saskatoon’s benchmark price fell to $378,300 in August, down from $382,400 in July and $381,400 in June.

While monthly variations are not uncommon, it is important to note that prices in the Bridge City remain higher than levels reported last year, and well above the $364,900 reported in January 2023.

July 2023

STRONG SALES CONTINUE IN JULY DESPITE PERSISTENT INVENTORY CHALLENGES

Saskatchewan reported 1,560 sales in July, a year-over-year increase of 9 per cent and nearly 13 per cent above long-term, 10-year averages. Much of the increase was driven by property priced below $300,000, as the more affordable segment of the market remains highly competitive.

As seen in prior months, inventory levels remain a significant challenge in many areas of the province. Despite a slight increase from last month, inventory levels were 11 per cent below levels seen in the previous year and over 30 per cent below the 10-year average. While inventory challenges continue to impact the more affordable segment of the market, there have been slight inventory gains in properties priced above $300,000.

“Higher lending rates continue to impact both buyers and sellers, with many consumers seeking more affordable options in our market,” said Association CEO, Chris Guérette. “Potential move-up buyers are less likely to list in the current rate environment. When paired with persistent inventory challenges, the more affordable segment of the market remains extremely competitive.”

Despite a modest gain in the months of supply, which reached over four months in July, conditions remain tighter than last year and significantly below long-term trends. Tighter market conditions again resulted in month-over-month price gains, as Saskatchewan’s benchmark price reached $333,100 in July, up from $331,500 in June and $329,600 in May.

“While inventory levels remain a concern for us, Saskatchewan is once again reporting sales levels well above long-term trends,” said Guérette. “Our market continues to benefit from a strong economy and record population growth, which is proving to help offset some of the impact caused by another policy interest rate increase by the Bank of Canada.”

Regional Highlights

As seen in prior months, year-to-date sales activity has eased across many regions of the province. Despite the year-to-date decline, many regions are reporting sales levels above long-term trends.

Adjustments in inventory levels continue to vary across the province. However, many regions continue to report inventory below long-term, 10-year averages. The Saskatoon-Biggar region is experiencing the tightest conditions in the province, with less than three months of inventory.

Price Trends

The benchmark price varied across Saskatchewan communities in July, with many regions reporting year-over-year and monthly price growth.

The City of Estevan was the only region to report both yearly and monthly price decreases. In contrast, Saskatoon, Prince Albert, Yorkton, and Meadow Lake all reported record-high benchmark prices in July.

City of Regina

The City of Regina reported 352 sales in July, a year-over-year decline of less than 1 per cent. Despite the slight year-over-year decline, July sales levels were nearly 17 per cent above long-term, 10-year averages.

A pullback in both sales and new listings prevented any significant change to the inventory challenges being experienced in Regina. Despite a slight month-over-month improvement in the months of supply, market conditions remain tight in the Queen City.

Regina reported a benchmark price of $319,200 in July, up from $318,700 in June and $316,100 in May.

City of Saskatoon

The City of Saskatoon reported 497 sales in July, a year-over-year increase of 11 per cent and nearly 16 per cent above long-term, 10-year averages.

Strong sales levels prevented any significant change in inventory levels in July. Despite a slight increase in the months of supply, conditions remain extremely tight in the City of Saskatoon.

Saskatoon reported a record benchmark price of $384,200, up from $381,400 in June and $380,100 in May.

 SASKATCHEWAN SHIFTING TOWARDS MORE BALANCED CONDITIONS

 Saskatchewan reported 1,216 sales in April, down 21 per cent year-over-year and slightly below long-term, 10-year averages. Aligning with seasonal trends, sales and new listings trended up above levels seen earlier this year. Although inventory levels experienced a 4 per cent year-over-year decline and remain over 30 per cent below 10-year trends, the adjustments in sales and new listings have resulted in the months of supply rising to nearly five months.

 Regional Highlights

 Both sales and inventory trends varied across different regions of the province in April. Year-to-date sales levels improved in Melfort, Prince Albert, North Battleford, Yorkton, and Weyburn. Additionally, inventory levels improved over previous months across all regions except Humboldt and Weyburn. That said, most regions still report inventory levels lower than the previous year and below long-term, 10-year averages.

 Price Trends

 Benchmark prices varied across different regions of the province in April. All regions except Prince Albert and Swift Current posted stable to modest gains in benchmark price compared to the previous month.

 City of Regina

 Year-over-year sales activity in Regina slowed for the fourth consecutive month. Despite the decline, sales levels are only slightly below long-term, 10-year averages. Inventory levels remain over 25 per cent below long-term averages, while the months of supply increased to 3.43, up from 2.96 in March.

 Regina reported a benchmark price of $311,200 in April, up from $307,100 in March and nearly 5 per cent lower than April 2022.

The City of Saskatoon reported declining year-over-year sales for the fourth consecutive month. However, sales levels remain slightly above long-term, 10-year trends. Inventory challenges persist in Saskatoon, with supply levels nearly 37 per cent below 10-year averages, the lowest levels reported in April since 2008.

Saskatoon reported a benchmark price of $375,600 in April, slightly down from $376,300 in March and 1.4 per cent higher than April 2022.

March 2023 

SASKATCHEWAN REMAINS RESILIENT AS INVENTORY CHALLENGES CONTINUE

 Regional Highlights

 City of Regina 

 Regina reported a benchmark price of $307,100 in March, slightly below the $310,200 reported in February.

 City of Saskatoon

 The City of Saskatoon reported declining year-over-year sales for the third consecutive month. That said, sales levels remain consistent with long-term, 10-year averages. Inventory levels remain a significant concern, as the city reports supply levels nearly 37 per cent below long-term averages.

SASKATCHEWAN FARING BETTER THAN OTHER MARKETS DESPITE INVENTORY CHALLENGES

There were 854 sales recorded across the province in February, a year-over-year decline of 19 per cent. However, while sales are down year-over-year, sales activity remains stronger than pre-pandemic levels and above long-term, 10-year averages.

As seen in prior months, Saskatchewan continues to report new listings and inventory levels significantly below long-term trends. There were 1,360 new listings in February, down 18 per cent year-over-year and nearly 28 per cent below 10-year averages. While the months of supply did push above six months, inventory levels were down 6 per cent year-over-year and 31 per cent below 10-year averages.

“We continue to see higher lending rates and supply challenges contribute to a pullback in sales,” said Association CEO Chris Guérette. “I’m beginning to sound like a broken record, but our biggest concern is still inventory levels, specifically in the more affordable segment of our housing continuum.”

The provincial benchmark price reached $318,500 in February, slightly higher than the $317,400 recorded the month prior and 0.4 percent higher than February 2022.

“Year-over-year sales declines were to be expected as we returned to a more balanced market where sales activity is more consistent with the historical 10-year averages,” said Guérette. “Saskatchewan remains one of the most affordable jurisdictions in the country with a resilient market that is well-positioned for stable demand in home ownership

Regional Highlights

Year-to-date sales and new listings have slowed compared to the previous year across all regions apart from Prince Albert. Melfort, Moose Jaw, Saskatoon and Swift Current all reported below-average year-to-date sales as inventory levels remained below long-term trends.

A shift in sales when compared to inventory levels have resulted in increased months of supply in many regions across the province. However, every region in the province apart from Swift Current is reporting months of supply well below 10-year averages.

Price Trends

February price trends varied across the province, with prices increasing in Melfort, Prince Albert, Saskatoon and Yorkton. In most regions, price adjustments are relatively small as we continue to return to more balanced conditions.

North Battleford saw a year-over-year price decline of over 14 per cent in February. There are a number of factors that may be impacting prices in the area and it is too early to tell if this trend will continue to play out over the next several months.

City of Regina

Sales activity slowed for the second consecutive month, contributing to a year-to-date decline of 21 per cent. Despite the decline, sales activity remains consistent with long-term trends for this time of year. While both sales and new listings have improved over January levels, the monthly gain in new listings did not change the inventory situation. February inventory levels fell to the lowest level reported for the month since 2013 and the months of supply once again fell below four months.

Regina reported a benchmark price of $310,200 in February, slightly below the $312,200 reported in January but well above the February 2021 price of $295,900.

City of Saskatoon 

Sales activity slowed for the second consecutive month, contributing to a year-to-date decline of 19 per cent. Further declines in new listings kept inventory levels 36 per cent below 10-year averages for the month and the months of supply remained under four months.

Saskatoon reported a benchmark price of $372,400 in February, up from $366,000 in January and nearly three per cent higher than this time last year.

January 2023

SASKATCHEWAN REMAINS RESILIENT, SUPPLY LEVELS A MAJOR CONCERN

Pullbacks in both the attached and detached sectors resulted in 631 sales being recorded across the province in January, a year-over-year decline of nearly 16 per cent. While January sales are lower than the activity reported over the past two years, sales remain consistent with pre-pandemic levels.

Despite gains in new listings, January inventory levels were at their lowest levels reported in over a decade. While inventories did improve in homes priced above $300,000, it had little impact on the low inventory situation that continues to be experienced across the province.

“Rising lending rates paired with ongoing inflationary pressures are impacting what individuals can afford, and our market has struggled to see improvements in supply levels in lower-priced homes,” said Saskatchewan REALTORS® Association CEO Chris Guérette. “Prospective buyers impacted by rate hikes are also faced with less choice in the more affordable segment of our market. Without question, these factors are contributing to a pullback in sales activity.”

Following two consecutive years of price growth, the total residential benchmark price remained relatively stable in January. However, apartment condominiums reported further gains in benchmark prices due to rising demand, relative to supply, in apartment-style products.

“As our market continues to return to pre-pandemic sales levels, it’s important to remember that we typically see fewer transactions occur in January,” said Guérette. “As higher commodity prices and a strong agricultural sector continue to support our economy, Saskatchewan remains resilient and well-positioned for stable demand in home ownership.”

Regional Highlights

Many regions across the province experienced a year-over-year decline in sales, apart from Moose Jaw and North Battleford. Inventory gains in Melfort, Prince Albert, Saskatoon, and Yorkton were not enough to offset the declines in other regions, as inventory levels remain far below long-term trends.

While the months of supply have trended towards more balanced conditions across all regions outside of Moose Jaw and North Battleford, all other regions across the province continue to report months of supply lower than 10-year averages.

Price Trends

Year-over-year price gains ranged from a low of just under one per cent in Estevan to a high of over three per cent in Swift Current. Meanwhile, prices eased in Meadow Lake, Melfort, Regina, North Battleford, and Yorkton, with the largest year-over-year price decline occurring in North Battleford.

City of Regina

Regina reported 134 sales in January, slightly below long-term trends for the month. The dip in sales can be attributed to declines in detached activity and ongoing supply issues. With less than 300 new listings this month, January levels are at their lowest level since 2010. Additionally, the pullback in new listings ensured that inventory levels remained well below long-term averages, with much of the inventory decline being driven by homes priced below $300,000.

Regina reported a benchmark price of $312,200 in January, down one per cent compared to January 2022 and above the $291,300 reported in January 2021.

City of Saskatoon

Saskatoon reported 201 sales in January, relatively consistent with long-term trends for the month. While higher lending rates are impacting sales, a lack of new listings and low inventory levels also remain a challenge. New listings eased to 415 in January, the lowest level since 2008 and over 35 per cent below levels typically seen this time of year. As seen in other areas of the province, inventory declines have been mostly concentrated in the more affordable segment of the market.

Saskatoon reported a benchmark price of $366,000 in January, up nearly two per cent compared to January 2022 and above the $336,600 reported in January 2021.

December 2022

SASKATCHEWAN CONTINUES TO FARE BETTER THAN MANY REGIONS ACROSS THE COUNTRY

Record sales of apartment condominiums were not enough to offset declining sales in detached homes, resulting in a 12 per cent decline in residential sales in 2022. While sales have eased relative to last year, a record year, the 15,334 recorded sales in 2022 were 15 per cent higher than long-term averages. As many markets across the country are experiencing a strong shift in demand, Saskatchewan continues to report sales that are stronger than pre-pandemic levels.

There were 25,089 new listings in 2022, a seven per cent decline from the year prior and well below long-term trends. While the pace of inventory decline did ease over the second half of the year, 2022 inventory levels were 11 per cent below levels seen last year and 25 per cent below 10-year averages. Much of the decline in supply was driven by properties priced below $500,000, resulting in tight conditions in the lower-priced segment of the market.

“Without question, higher lending rates are contributing to the pullback in sales. We saw the Bank of Canada raise interest rates seven times in 2022,” said Saskatchewan REALTORS® Association CEO Chris Guérette. “When paired with declining inventory levels, particularly in homes priced below $500,000, we do see that having an impact on sales.”

Following strong growth throughout the spring, benchmark prices began to ease toward the end of the year. While many regions have recently reported downward price adjustments, home prices rose on an annual basis. Overall benchmark prices for 2022 were over four per cent higher than the year prior.

“The housing market is changing as consumers adjust to higher lending rates and rising costs of living. That said, Saskatchewan continues to fare better than many regions across the country and we expect that to continue in 2023” said Guérette. “With prospective buyers having to qualify at higher rates, our biggest concern heading into the new year is the lack of supply in homes priced below $500,000.”

Regional Highlights

Sales eased across all regions of the province this year, with declines ranging from 27 per cent in Melfort to two per cent in Swift Current. Despite the pullback in sales relative to 2021, a record year, all regions reported sales that were either consistent with or above long-term trends. All regions across the province also saw a pullback in both new listings and inventory levels. Average annual inventory levels not only declined relative to last year but were well below long-term trends across all regions.

Price Trends

While many regions have experienced recent downward price adjustments, home prices rose on an annual basis. Annual benchmark price gains ranged from a low of one per cent in Moose Jaw to a high of seven per cent in Warman. The growth in prices in 2022 saw many regions set new record highs, with the exception of Estevan, Swift Current and Weyburn.

City of Regina

Easing sales in December contributed to a year-to-date decline of three per cent. The decline in sales was driven by pullbacks in the detached sector, as sales activity improved in every other category. While total residential sales have eased relative to a record 2021, the 3,609 sales reported in 2022 is over 23 per cent higher than long-term trends and well above pre-pandemic activity.

Both new listings and inventory levels experienced a pullback in 2022, with the decline in inventory largely in products priced below $500,000. Shifts in both sales and supply resulted in increasing months of supply when compared to levels experienced early in 2022. While this did take some pressure off prices, especially in Q4 2022, the benchmark price increased by over three per cent on an annual basis.

City of Saskatoon

The City of Saskatoon reported 4,587 sales in 2022, a 15 per cent decline over last year’s record high but over 12 per cent higher than 10-year trends. Supply continues to be a challenge, as new listings have eased significantly and were 14 per cent below long-term averages in 2022. Meanwhile, inventory levels eased even further, resulting in average supply levels 31 per cent below long-term trends.

While a pullback in sales relative to inventory levels in the second half of the year did allow the months of supply to rise, the market remains far tighter than what we would traditionally see in Saskatoon. On an annual basis, benchmark prices rose nearly five per cent over 2021 levels.

November 2022

INVENTORY LEVELS REMAIN OVER 25 PER CENT BELOW 10-YEAR AVERAGE

There were 924 sales recorded across the province in November, a 32 per cent decline over last year’s record high. While sales continue to slow when compared to 2021, a record year, year-to-date activity remains over 16 per cent above long-term trends in the province.

The ongoing pullback in new listings continues to be driven largely by homes priced below $500,000. While new listings improved in higher priced product, the decline in sales and new listings has prevented inventory gains. For the second consecutive month, inventory levels remain over 25 per cent below 10-year averages.

“Higher lending rates and inflationary pressures are impacting housing demand across the country,” said Saskatchewan REALTORS® Association CEO Chris Guérette. “That said, our market remains resilient, and the biggest concern is a lack of supply in homes priced below $500,000. It’s increasingly clear that the lack of supply is in the more affordable segment of our continuum.”

Market conditions remain relatively tight for lower priced homes while supply gains in the upper price ranges are resulting in more choice for buyers. While the benchmark price has trended down from levels reported earlier in the year, prices remain nearly two per cent higher than levels reported this time last year.

“Market conditions vary significantly across the country and unlike other markets, we continue to report sales levels well above long-term trends,” said Guérette. “Positive long-term fundamentals have Saskatchewan on track to continue to fare better than many markets across the country.”

Regional Highlights

Sales activity eased across all regions of the province, contributing to year-to-date declines as high as 26 per cent in some regions. Despite sales adjustments, sales have outperformed long-term trends in all regions.

As seen in prior months, inventory remains a challenge province-wide. All regions are reporting easing inventory and levels well below 10-year averages.

Price Trends

Monthly price adjustments varied significantly across the province. Moose Jaw and Yorkton were the only regions to report a year-over-year decline in prices in November. Most regions have seen prices ease from the highs experienced earlier this year, with the exception of Meadow Lake, which reported a record high, nearly seven per cent higher than last year.

City of Regina

November sales eased relative to last year’s record monthly high but remain consistent with 10-year averages. Year-to-date sales fell below the record levels experienced last year yet remain 25 per cent above long-term averages. Easing sales were met with a pullback in new listings, causing inventories to decline by 17 per cent when compared to last November.

As the decline in sales outpaced the decline in inventories, months of supply has improved slightly when compared to levels seen earlier in the year. The City of Regina reported a benchmark price of $314,300, slightly higher than prices seen last November.

City of Saskatoon

Easing sales activity resulted in a year-to-date decline of 15 per cent in Saskatoon. Much of the decline in sales continues to be driven by a pullback in detached sales. Though sales have eased from record highs, levels remain higher than pre-pandemic and 10-year averages.

New listings continue to ease, and November inventory levels fell to the lowest level reported in over a decade. The City of Saskatoon reported a benchmark price of $367,800, nearly three per cent higher than prices reported in November 2021.

October 2022

INVENTORY LEVELS 25 PER CENT BELOW 10-YEAR AVERAGE

There were 1,144 units sold across the province in October, a year-over-year decline of 12.3 per cent. While sales continue to ease relative to 2021, a record year, October sales data reflects a year-over-year increase of 1.7 per cent when compared with 10-year averages.

The pullback in sales was met with a reduction in new listings, resulting in lower-than-average inventories for this time of year. The monthly decline in sales was enough to cause further gains in the months of supply. With nearly six months of supply in the province, the market continues to return to more balanced conditions, but it is important to note that inventory levels are still over 25 per cent below the 10-year average.

“While our market continues to fare better than many others across the country, we are feeling the impact of interest rate hikes and ongoing inflationary pressures,” said Saskatchewan REALTORS® Association CEO Chris Guérette. “As higher lending rates contribute to the pullback in sales, we are also experiencing a lack of supply in homes priced below $500,000, consumer options are limited right now, and this is likely why sales are down.”

The pullback in new listings continues to be largely driven by homes prices below $500,000, which is also contributing to the decline in sales. Despite monthly adjustments, the benchmark price was $324,900, slightly lower than the month prior and three per cent higher than last October.

“While year-to-date sales have eased when compared to a record 2021, sales levels remain well above long-term trends, speaking to the positive long-term fundamentals in the province,” said Guérette. “Saskatchewan continues to benefit from strong agricultural and commodity markets. This growth should support stable demand in housing ownership as our economy continues to improve.

Regional Highlights

The cities of Regina and Saskatoon accounted for nearly 70 per cent of all October sales in the province. While both cities have seen a shift towards a more balanced market, the decline in sales has been higher in Saskatoon at 12 per cent, versus Regina’s decline of less than two per cent. While inventory remains a concern in many regions across the province, the pullback in affordable new listings was more significant in Saskatoon.

As most regions have experienced a pullback in sales when compared to 2021, a record year, new listings are also down across all regions. When considering the sales-to-new-listings ratio, the highest ratios were experienced in Regina, Saskatoon, and Moose Jaw, at 60 per cent or higher. Meanwhile, the best supplied markets are Southeast Saskatchewan and North Battleford.

Price Trends

As the shift to more balanced conditions continues, many areas of the province experienced a decline in prices. However, despite price adjustments, prices remain well above levels seen last year in all areas except Melfort, North Battleford, and Yorkton.

City of Regina

The City of Regina reported 256 sales in October, 26 per cent higher than 10-year trends. While sales have cooled on a year-over-year basis, year-to-date sales increased by one per cent.

Given the recent level of sales compared to new listings, Regina is experiencing tighter conditions when compared to last year. As seen across the province, inventory levels remain lower than average, specifically in homes priced under $500,000.

Despite monthly adjustments, the benchmark price remains slightly higher than last year at $317,800.

City of Saskatoon

Easing sales in October contributed to a year-to-date sales decline of over 12 per cent when compared to last year’s record highs. That said, sales continue to far exceed pre-pandemic levels and speak to the strength of the Saskatoon market.

The pullback in sales held the months of supply at over three months. New listings and inventory levels continue to be a challenge, as a pullback in homes priced under $500,000 has resulted in the lowest number of new listings on a year-to-date basis since 2012.

The City of Saskatoon recorded a benchmark price of $371,600, a 4.4 per cent increase year-over-year.

September 2022

SALES RETURNING TO NORMAL, INVENTORY LEVELS REMAIN A CHALLENGE

Sales activity continued to trend down in September with 1,267 units sold, a year-over-year decline of seven per cent. However, as seen in August, sales levels remain consistent with long-term trends as the market returns to more balanced conditions.

New listings were relatively stable on a year-over-year basis but continue to decrease when compared to levels seen earlier this year. Despite adjustments in both sales and new listings, inventory levels also fell in September. Inventories remain nearly 11 per cent lower than levels seen last year and well below long-term averages, which continues to prevent the market from moving into “buyers’ market” territory.

“Saskatchewan residents are not immune to the impacts of interest rate increases and ongoing inflationary pressures,” said Saskatchewan REALTORS® Association CEO Chris Guérette. “That said, our housing market continues to fare better than many other regions in the country and we expect that to continue.”

With just over five months of supply, market conditions are not as tight as experienced earlier in the year, but supply levels remain well below long-term averages. The return to more balanced conditions over the past three months has taken some pressure off prices, as well. Despite monthly adjustments, the benchmark price was $329,700 in September, slightly lower than the month prior and four per cent higher than last September.

“While national concerns over a recession are mounting, our province remains well-equipped to weather the storm,” said Guérette. “Elevated commodity prices and a rebound in agricultural production have Saskatchewan on track to post strong economic growth this year. This growth will support jobs in the province and help offset some of the impact that higher lending rates are having on the housing market.”

Regional Highlights

September sales eased on a year-to-date basis across all regions of the province except for Swift Current, which posted a modest gain. Though sales continue to ease relatively to 2021, a record year, activity in all regions was above or similar to long-term trends for their markets. New listings also increased in many regions when compared to last year. However, any shifts in supply had little impact on inventories, which remain lower than levels seen last year across every region except Prince Albert.

Despite sales adjustments in most regions, lower inventory levels are preventing markets from becoming oversupplied. All regions are reporting September inventory levels that are well below 10-year average trends. As a result, many regions across the province continue to struggle with relatively low inventories compared to sales based on what is typical for the area.

Price Trends

As the shift to more balanced conditions continues, all areas of the province experienced a decline in prices. Despite recent adjustments, prices remain well above levels seen last year in all areas except Yorkton, which saw a decline of nearly two per cent. The largest price gains experienced in the first three quarters of 2022 have occurred in Melfort, Melville, and Warman.

City of Regina

Unlike certain areas of the province, Regina continues to post stable sales activity relative to last year. Gains in the apartment condominium sector nearly offset reductions in the detached and attached sectors. With 2,999 sales year-to-date, Regina is trending nearly two per cent higher than last year and on pace for another record year. While Regina has not faced the same supply constraints as Saskatoon, new listings continue to decline which is contributing to inventory levels that are over 18 per cent lower than reported last year.

With nearly four months’ supply, levels of supply remain lower than what is traditionally seen in September. Despite relatively tight conditions, there has been an adjustment in monthly prices as higher lending rates weigh on consumers. However, prices remain higher than last year due to gains in the detached sector.

City of Saskatoon

A further reduction in sales this month contributed to a year-to-date decline of 11 per cent in Saskatoon. While sales have eased when compared to the record levels experienced last year, activity remains well above pre-pandemic levels. The pullback in sales was also met with a pullback in new listings, preventing any improvement to inventory levels. However, slower sales relative to market inventory allowed the months of supply to rise above three months for the first time since February.

Despite the recent shift to more balanced conditions, supply levels remain far lower than long-term averages for this time of year. Like other regions of the province, the shift away from strong seller’s conditions resulted in a monthly price adjustment. However, with a benchmark price of $377,800 in September, prices are six per cent higher than September 2021.

August 2022

SUPPLY LEVELS AT LOWEST LEVELS RECORDED IN AUGUST IN NEARLY A DECADE

August sales reached 1,466 units, reflecting a year-over-year decline of three percent. While sales continue to ease relative to last year, year-to-date sales of over 11,000 units remain well above long-term averages for the province. As supply levels in the lower price ranges continue to fall, we see a decline in sales driven largely by homes priced below $500,000.

New listings fell for the second consecutive month, resulting in a slight reduction in inventories. While the monthly pullback is consistent with seasonal trends, supply levels remain at their lowest levels recorded in August in nearly a decade and significantly below 10-year averages.

“Supply remains a challenge in the market and while we are seeing some signs of improvement, the gains are in the upper end of the market and have not offset the declining supply of more affordable homes,” said Saskatchewan REALTORS® Association CEO Chris Guérette. “Higher lending rates are having a cooling impact on demand, but the challenge continues to be having enough supply available in the lower price ranges in our market.”

The pullback in inventory levels resulted in a slight drop in the months of supply, which dipped below 5 months in August. Though supply levels remain relatively low for this time of year, a continued shift toward more balanced conditions helped take pressure off home prices. The benchmark price was $334,100 in August, slightly lower than the previous month and five per cent higher than last August.

“Speculation over further rate increases and inflationary pressures are contributing to housing market corrections in many markets across the country,” said Guérette. “While Saskatchewan is experiencing a slight pullback in sales, we continue to expect that we will fare better than other regions of the country.”

Regional Highlights

August sales eased on a year-to-date basis across all regions of the province except for Swift Current, where activity remained comparable to the previous year. Year-over-year pullbacks in Melfort, Moose Jaw, North Battleford, Prince Albert, Saskatoon and South East Saskatchewan were nearly offset by gains in Swift Current, Regina and Yorkton. Sales continue to ease relative to 2021, a record year, but remain well above long-term trends.

Inventory levels continue to decrease across the province relative to last year. In regions that saw sales increases, declining inventories caused the months of supply to decline significantly when compared to the previous year. While recent market adjustments are notable, potential future impacts on price will ultimately depend on whether tighter market conditions persist into the fall market.

Price Trends

Despite some monthly shifts, prices generally remain well above 2021 levels throughout the larger centers in the province. The Yorkton region is an exception, where August prices were lower on a year-over-year basis. However, Yorkton saw significant appreciation in home prices in the second half of last year and despite recent fluctuations, prices remain significantly higher than pre-pandemic levels. On a year-to-date average, benchmark prices have risen across all tracked centers in the province, with gains exceeding seven per cent in Humboldt, Melfort, Melville and Warman.

City of Regina

Sales in Regina remained strong this month, rising above 2021 levels and well above long-term trends. Despite slower sales seen across the province, sales in Regina reached record highs on a year-to-date basis.

Despite some recent pullbacks, new listings have generally remained above 10-year trends in the city. However, the recent string of sales compared to the new listings on the market have weighed on inventories, which decreased on a year-over-year basis. Regina also experienced a decreasing months of supply but conditions are not as tight as what was seen earlier in the year.

The benchmark price in August was $327,000, a decline relative to the previous month. Despite the adjustment, not unusual for this time of year, benchmark prices remain nearly three per cent higher on a year-over-year basis.

City of Saskatoon

Improved sales in homes priced above $500,000 were not enough to offset the pullbacks recorded in the lower end of the market this month, as sales declined by 11 per cent year-to-date. The decline in sales is in part related to shrinking inventory levels for homes priced below $500,000. Overall inventory levels are 20 per cent lower than last year and 33 per cent below the traditional average. In August, 77 per cent of inventory was below $500,000, a segment of the market that reflected nearly 84 per cent at this time last year.

As conditions remain relatively tight in the Saskatoon market, the benchmark price was $383,300, similar to last month and nearly seven per cent higher than last year.

July 2022

EASING SALES HELPING SHIFT MARKET TOWARD MORE BALANCED CONDITIONS

July sales eased to 1,439 units reflecting a year-over-year decline of nine per cent contributing to the year-to-date decline of nearly 10 per cent.   While sales have eased, last year was a record year, and with year-to-date sales just shy of 10,000 units, levels are still well above long term averages for the province.

New listings trended down from levels seen over the past few months and last year’s levels.  Nonetheless, the pullback in sales has outpaced the decline in new listings supporting a shift toward more balanced conditions.  This also caused inventory levels to continue to trend up for the lows recorded earlier in the year.  While inventories pushed up to 7,142 units, levels are still nearly 11 per cent lower than what was available in the market last year.

“As expected, gains in lending rates are having some cooling impacts on the housing market causing consumers to seek out more affordable options.  The challenge will be product availability in the lower price ranges of the market. Supply levels are improving compared to earlier in the year, however, the year-over-year decline in inventory has been driven by homes priced below $400,000,” comments Chris Guérette, CEO of Saskatchewan REALTORS® Association.

The recent shifts help push the months of supply up to nearly five months, reflecting far more balanced conditions compared to what was experienced over the past four months.  While conditions are not as tight as they have been, with less than five months of supply, the market is still experiencing the tightest July conditions since 2009.

Relatively tight conditions are supporting further price gains in the province at a time when many cities in Canada are seeing some retraction of prices.  In July, the benchmark price reached $335,100, slightly higher than the previous month and over five per cent higher than levels recorded in July 2021.

“Moving forward, further rate increases are expected as concerns over inflation persist in the market. This will continue to weigh on housing markets across the country,” said Guérette.   “However, markets like Saskatchewan are expected to fare better than some of the larger centers in the country as they never experienced the same level of price growth throughout the pandemic.”

Regional Highlights 

Sales activity in July eased across most regions in the province contributing to the year-over-year decline in sales reported.  However, on a year-to-date basis, every region continues to see sales activity that is either consistent or far stronger than long term trends.

Inventory levels trended up in July over previous months, but every region still faced inventory levels that were lower than the previous year and long-term averages.  Overall, most regional markets are starting to shift away from the exceptionally tight market conditions seen earlier in the year.  However, most regional markets still face conditions that are tighter this July then they were last year.  The most notable exceptions in July were Prince Albert and Yorkton, which recorded year-over-year gains in the months of supply as the decline in sales outpaced the decline in inventories.

Price Trends 

Despite slower sales across most of the main centers in Saskatchewan, prices still trended up relative to last month in many of the larger centers in the province.  The monthly gains in Saskatoon, Regina, Moose Jaw, Prince Alberta, Swift Current and Estevan were enough to offset pullbacks in other areas supporting the provincial monthly gain.  Despite some monthly shifts, prices in all centers except Yorkton remain higher than last year’s levels, with the largest year-over-year gains occurring in Melville.

City of Regina 

July sales remained relatively strong in the city, supporting year-to-date sales of 2,379, a one per cent gain over last year’s record pace.  At the same time, new listings did ease compared to the previous year, but it was not enough to cause any significant shift in inventory levels which remained similar to last month and over 13 per cent lower than last years levels.

When considering the sales and inventory in the market, the months of supply remained above three months in July, still low relative to historical standards and last years levels, but an improvement over the levels seen earlier this year.  The relatively low months of supply continued to support some modest upward pressure on homes prices, but at rates slower than what was experienced in the early spring. As of July, the benchmark price reached $330,600, slightly higher than last month and nearly four per cent higher than levels reported in July 2021.

City of Saskatoon 

Sales in Saskatoon trended down again this month contributing to the year-to-date decline of nearly 11 per cent.  While sales have eased, that was relative to record high levels and with over 3,000 sales so far this year, levels are still over 20 per cent higher than long term trends for the city. Easing sales were also met with a pullback in new listings preventing any significant shift in inventory levels and keeping the months of supply relatively tight with less than three months of supply.

The persistently tight market conditions continue to weigh on home prices.  In July, the benchmark price reached $383,800 nearly one per cent higher than last month and over six per cent higher than price levels reported last year.  Moving forward, higher lending rates are expected to continue to weigh on housing demand.  However, given the low level of inventories in this market, it will take time for conditions to return to more balanced levels.

June 2022

HOME PRICES CONTINUE TO RISE DESPITE SLOWER SALES

June sales eased over last year’s record levels. However, with 1,808 sales this month, activity is still over 20 percent stronger than long term trends for the province.

“While sales have been trending down in the province this year, we cannot lose sight of the fact that sales levels are still amongst the highest levels ever recorded in our market and these higher relative levels are still being achieved despite the sharp rise in lending rates,” comments Chris Guérette, CEO of the Association.

For the second month in a row, we have seen the level of new listings improve to levels that are consistent with the 10-year average. This has helped support some monthly gains in inventory levels. However, with only 6,893 units available in inventory, supply levels are still 27 per cent lower than traditional levels, and the month of supply remains amongst the lowest levels reported for June.

Persistently tight market conditions continue to place upward pressure on home prices. In June the unadjusted benchmark price rose to $333,400 nearly one percent higher than last month and nearly five percent higher than last year’s levels.

“Moving forward we do anticipate that further rate increases will weigh on sales and eventually support more balanced conditions. However, Saskatchewan continues to benefit from relative affordability, improving migration and job growth, which should help offset some of the impact that higher rates would have on the housing market.”

The Saskatchewan REALTORS® Association produces monthly real estate statistics to provide insight to decision makers in our province on how best to manage matters that affect growth, housing, and the creation of wealth. It also proudly works with the Saskatchewan Housing Continuum Network to collaborate with like-minded industries.

Regional Highlights 

While June sales eased across most regions in the province, Prince Albert, Yorkton, and Regina reported a rise in June sales compared to last year. Some of this was possible thanks to recent gains in new listings. Despite some monthly variation, most regions have recorded a pullback in year-to-date sales, but like provincial totals most areas are seeing transactions levels well above long-term trends.

While there have been some improvements in new listings depending on the location, it has generally not been enough to cause significant shifts in inventory levels, as all areas are still facing less inventory this June compared to last year and are below long-term trends.

Price Trends 

Low levels of supply compared to the demand in the market has continued to place upward price pressure in the market. Home prices generally trended up in June relative to earlier months in the year and last year’s levels. When considering the year-to-date benchmark price, price growth has ranged from relatively stable prices in Moose Jaw to year over year gains that have neared 10 percent in both Melville and Warman.

City of Regina 

Slower sales in June were not enough to derail earlier gains as year-to-date sales totaled 2,023 units, setting a record high.  A decline in the sales to new listings ratio did help support modest improvements in inventory levels compared to earlier in the year.  Slower sales coupled with slightly higher inventories was enough to push the months of supply back above three months.

While the shift to more balanced conditions did help slow the pace of price growth in the market, prices continued to rise this month. In June the benchmark price reached $329,100 up from the previous month and over three percent higher than levels reported last year.

City of Saskatoon 

Sales in June eased over last year’s record, contributing to the year-to-date decline of nearly 12 percent.  While sales have eased, with 2,584 sales so far this year, levels are still amongst the highest levels recorded for the city.

New listings continue to trend up this month relative to the sales causing the sale to new listings ratio to ease to 56 per cent.  This helped support modest gains in inventory levels compared to earlier in the year, however, inventory levels continue to remain well below last year’s levels and long-term trends for the city.

Relatively strong demand combined with the inventory in the market has kept the months of supply exceptionally low. This has resulted in further upward pressure on prices this month. In June the benchmark price reached $380,200, over one percent higher than last month and a five percent gain relative to last year. Much of the price growth continues to be driven by the detached market.

May 2022

Saskatchewan

Unlike some areas of the country, sales activity in May trended up relative to levels seen earlier in the year.  With 1,814 sales this month, levels are still slightly lower than last year’s record, but remain well above typical activity in May.  Year-to-date sales have totaled 6,682 units, down 11 per cent from last year’s record high, but over 27 per cent higher than long-term trends.

“While demand for homes in Saskatchewan has remained relatively strong so far this year, we did not go through the same early demand surge as some markets. In fact, our market is exhibiting trends that we typically see in the Spring.  What we are still struggling with is lower supply levels, which is keeping conditions relatively tight and causing further upward pressure on prices,” comments Chris Guérette, CEO of Saskatchewan REALTORS® Association.

In May, new listings did trend up relative to earlier months and was slightly higher than levels reported last year.  This helped push inventory levels above 6,000 units, but inventories are still nearly 20 per cent lower than last year’s levels and 30 per cent below long-term trends for the month.

Despite some shifts in supply, the market continues to remain exceptionally tight with less than four months of supply, something not seen since 2008.  The tighter market conditions are placing further upward pressure on home prices.  As of May, the benchmark price in the province reached $330,300, nearly one per cent higher than last month and four per cent higher than last year’s levels.

“Rising lending rates are expected to have some cooling impacts on housing demand.  While sales activity could be impacted in coming months, it will take some time for the market to return to more balanced conditions.  Our recent report in partnership with the Saskatchewan Housing Continuum Network titled Saskatchewan’s Current Housing Continuum outlines the significant number of homes our province needs to build in the next seven years, so we don’t fall behind.” said Guérette. “The next step will be to undertake research and recommend targeted policies that foster building and smart growth.”

Regional Highlights 

Sales trended up compared to earlier in the year for most of the regions in the province.  While province wide sales were still lower than last year’s record levels, there was year-over-year growth in Moose Jaw, Regina and Yorkton which all recorded new highs for the month.  The sales gains in May for those areas were not enough to offset earlier pullbacks, but it is important to note that every region in the province continues to report year-to-date sales that are stronger or consistent with long term trends.

After the first five months of the year, most regions continue to face market conditions that were generally tighter than last year.  However, the most notable exception is in North Battleford.  While inventory levels have eased in the region, the pullback in sales has been more significant causing the months of supply to generally rise.  Despite the gains in this region conditions are still tighter than long-term trends supporting year-to-date price growth.

Price Trends 

Despite generally tighter market conditions, residential benchmark prices have trended down for the areas of Moose Jaw, Swift Current, North Battleford, and Yorkton in May.  Despite some slowing on a year-to-date basis, prices generally remain higher across all the regions except Moose Jaw.  Moose Jaw saw some downward pressuring on prices at the end of 2021. While prices in Moose Jaw have generally been trending up in 2022 for detached homes and are comparable to the highpoint of 2021, lower prices earlier in the year are pulling down the year-to-date prices.

Steady price growth as led to new high prices in many of the larger centres in the province.  However, on a year-to-date basis prices have yet to fully recover from previous highs in Estevan, Swift Current, Weyburn and Moose Jaw.

City of Saskatoon 

Thanks to a boost in new listings compared to earlier in the year, sales activity in May reached 541 units.  While sales this month and on a year-to-date bases have eased compared to last year, sales are still amongst the highest levels seen and well above long term trends.

Sales activity has likely been restricted in this market due to the supply levels.  While new listings and inventories did improve from levels seen earlier this year, they are still far lower than long-term trends and the months of supply fell to just over two months, the lowest level seen since early 2008.  The tight conditions are mostly being driven by the detached and attached segments of the market.

With a market that generally favours the seller, there continues to be upward pressure on prices.  Benchmark prices have reported steady monthly gains for eight consecutive months and as of May were over four per cent higher than levels reported last year.

While higher lending rate are expected to impact demand in coming months and recent gains in starts should help with overall housing supply, it will take time before we see more balanced conditions play out in the Saskatoon market.

City of Regina 

Sales in Regina not only trended up from earlier in the year but reached a record high for the month of May.  The growth was enough to push year-to-date sales to an all-new record high at 1,615 sales.  Improving economic activity has supporting growth in the employment market so far this year boosting confidence and demand in the housing market.

The improvement in sales outpaced the growth in new listings and inventory levels fell compared to both last year’s levels and long-term trends.  This also caused the months of supply to ease from levels reported earlier in the year.   The months of supply has remained below three months for the past three months, something that has not happened since 2012.

The tight market conditions have been placing upward pressure on prices and in May the benchmark price reached $328,200, nearly four per cent higher than levels reported last year and a new record high for the city.  The price growth has been driven by the single-family market as condominium prices have yet to recover from the previous highs set in 2015.

April 2022

Saskatchewan

Sales low but prices reach record highs due to low supply.

With 1,547 sales this month, activity slowed compared to the record high set last April. Despite the slower sales seen in the first four months of this year, it is noteworthy that those 4,873 sales are 30 per cent higher than longer term trends.

“While rising lending rates are likely contributing to some of the pullback in sales, another challenge limiting sales has been the drop in supply choice, especially in the larger markets of the province,” said SRA CEO, Chris Guérette.

New listings in April were 18 per cent lower than last year’s levels and inventories remained 20 per cent lower than last April and over 30 per cent below long-term trends. Lower levels of sales and lower inventory levels prevented any notable change in the months of supply, which remained below four months.

“The months of supply number is an important gage of supply and demand balance in the market and current levels are far lower than what we would expect to see in the market at this time of year. While conditions have been tighter historically, we have not seen market conditions like this for over a decade and it is resulting in further price growth,” said Guérette.

Residential benchmark prices rose to $295,000 in April, two per cent higher than last month and a four per cent gain over last year. Prices have trended up over the past two years and as of this month have reached a new monthly record high for the province.

“Consumers purchasing budgets are shrinking, and the Bank of Canada rate increase has pushed up the mortgage stress test’s qualifying rate. That is going to remove strained buyers from the market, and it’s going to reduce the size of mortgage those who still qualify can get,” said Guérette. “While Saskatchewan still offers some of the most affordable housing in the country, affordability will continue to deteriorate and could lead to a slow-down of the market, despite the many initiatives included in the recent federal budget.”

Regional Highlights 

After the first four months of the year, both Swift Current and Southeast Saskatchewan remain the only areas to see sales activity improve over the previous year. However, despite a pullback in year-to-date sales in other regions, most locations across the province are reporting sales activity that are either consistent or stronger than long-term trends.

When considering the adjustments to supply relative to the sales activity there has been some recent shifts in Melfort, North Battleford and Prince Albert. Each of these regions has experienced a larger pullback in sales relative to the pullback in new listings, resulting in conditions that were not as tight as last year. However, both the months of supply and sales to new listings ratio for these regions remain well below historical levels and all these centers continue to see year-to-date benchmark price growth.

Price Trends 

Home prices trended up in April across most of the larger centers in the province, supporting year-over-year gains in all areas except North Battleford and Estevan. Despite some monthly adjustments in North Battleford, on a year-to-date basis prices are still higher than last year’s levels and sitting at a new high for the city. While many other centers have seen prices hit new highs after the first four months of the year, prices are still on a recovery path in Regina, Moose Jaw, Prince Albert, Swift Current, Estevan, Weyburn, and Melville.

City of Saskatoon 

Further reductions in April sales have contributed to the year-to-date sales decline of 13 per cent in Saskatoon. However, with 1,513 sales so far this year, this is still far higher than long term averages. Higher lending rates should cool some of the housing demand this year, but sales activity in Saskatoon has also been impacted by a challenging supply scenario. In April, new listings were a mere 665 units, 30 per cent lower than last April and over 18 per cent below typical levels seen at this time of year. The drop in new listings relative to the sales has caused further reductions in inventory levels and ensured the market continues to favour the seller with only two months of supply.

Both Inventories and the months of supply have not been this low for the month of April since 2008. The tighter conditions in the market are weighing on home prices. The benchmark price in April rose to $338,500 reflecting a year-over-year gain of over three per cent and representing a new record high. While price gains have occurred both in the single family and condominium market, year-to-date condominium prices remain below previous highs reported back in 2015.

City of Regina 

New listings trended up relative to levels recovered over the past several months, helping support some monthly gains in sales activity. However, both sales and new listings continue to remain lower than the levels reported last year both for the month of April and year-to-date figures. Despite some reductions in sales activity, levels this year are still 37 per cent higher than the long-term average and are more consistent with activity seen prior to 2013.

While new listings have remained consistent with levels traditionally seen in the market, the stronger sales have started to weigh on overall inventory levels. Inventory levels are higher than levels recorded in the market over the past four months, with 1,060 units available in April, inventories are 13 per cent below long-term trends. The stronger sales combined with the current inventory levels has caused the months of supply to stay below three months for the second month in a row. This is exceptional as it has not happened in the Regina market since 2012.

The tighter market conditions are placing upward pressure on prices. As of April, the benchmark price rose to $271,100 reflecting a year over year gain of four per cent. While prices have yet to recover from previous highs, should conditions remain this tight we could continue to see the price gap narrow.

The strong sales compared to inventory levels did cause the months of supply to fall below three months, the first time it has done that since October 2012. While the tighter conditions have had some impact on prices in the market, if the market still is this tight, we could see added pressure on home prices in the coming months.

In March, the benchmark price rose to $264,000, nearly two per cent higher than last year and one per cent higher than last month.  The growth in prices helped narrow the spread from the earlier high, but prices continue to remain nearly 13 per cent below the monthly high recorded back in June 2012.

March 2022

Both sales and new listings trended up this month compared to levels seen over the past few months. However, the level of new listings coming onto the market was far lower than levels seen last year and for the 10-year average. This caused the sales to new listings ratio to rise and prevented any notable change to the supply situation. With 5,648 units in inventory, levels are nearly 30 per cent lower than what we traditionally see in the market in March.

“March is typically the month that we start to see more people listings their homes adding supply to the market. While we did see more new listings compared to the winter months, it hasn’t been enough compared to the sales to make any significant change in supply, resulting in further price gains in the market,” said Saskatchewan REALTORS® Association (SRA) CEO Chris Guérette.

The unadjusted benchmark price in March reached $289,500, nearly two per cent higher than last month, over three per cent higher than last year’s levels and 13 per cent higher than pre-pandemic levels.

Economic conditions have been improving across most sectors and with that we have seen gains in employment and reductions in the unemployment rate. This along with relatively low lending rates is likely supporting further confidence in the housing market and continued strength in demand.  While sales did ease in March over last year’s record levels, they remained 40 per cent higher than long-term trends.

“As we move more into the spring market supply will be a crucial factor,” said Guérette. “Should supply levels start to improve we could see more balanced conditions slowing the upward pressure on prices. However, this transition could take longer than expected, especially in our largest cities, which is why we’ve begun outreach to our industry partners to discuss how to address these supply shortages.”

Regional Highlights 

Sales growth in Southeast Saskatchewan and Swift Current were not enough to offset pullbacks in the remaining regions of the province. However, it is important to note that sales in every region continued to remain stronger than long term trends after the first quarter. At the same time, every region has generally seen the amount of new listings ease compared to the previous year and all areas except Swift Current have seen levels fall below long-term trends.  This is creating tighter conditions across most regions of the province and is likely impacting sales in those regions.

After the first quarter, both North Battleford, Prince Albert and the Melfort region have seen their months of supply trend up. However, it is important to note that despite those gains, conditions still mostly favour the seller based on historical norms for those centres.

Price Trends 

Generally tighter market conditions across each city continued to place upward pressure on home prices.  In March, all main reporting centres recorded price growth. Year-over-year gains ranged from a low of less than one per cent in both Estevan and North Battleford to a high over nine per cent in Warman. While the price gains did narrow the spread from earlier highs, the only areas to see prices fully recover and post further growth was Saskatoon, Martensville, Warman, Humboldt and Melfort.

City of Regina 

Sales in the city slowed compared to last year’s record pace, but with 351 sales in the month, levels are still amongst the strongest March activity recorded in the city. Like other areas, new listings did rise compared to levels seen over the past seven months. This helped support modest gains in inventory compared to the last four months. However, with 982 units in inventory, this was nine per cent lower than levels recorded last year. . Regina did not have the same inventory struggles last year, but this recent shift does put inventory levels over 12 per cent below long-term trends.

The strong sales compared to inventory levels did cause the months of supply to fall below three months, the first time it has done that since October 2012. While the tighter conditions have had some impact on prices in the market, if the market still is this tight, we could see added pressure on home prices in the coming months.

In March, the benchmark price rose to $264,000, nearly two per cent higher than last year and one per cent higher than last month.  The growth in prices helped narrow the spread from the earlier high, but prices continue to remain nearly 13 per cent below the monthly high recorded back in June 2012.

City of Saskatoon 

Sales in Saskatoon eased over last year’s record elevated level, yet with 491 sales this month, activity is the second highest on record and over 40 per cent higher than the 10-year average for March. While new listings did trend up compared to the levels seen over the previous six months, thanks to continued strong demand, it was not enough to cause a substantial change in the inventory situation in the city. With 1,054 units in inventory in March, levels were 19 per cent below what was in the market last year and 31 per cent below what we typically see in the market in March.

Low inventory and strong sales resulted in further tightening of the market. With just over two months of supply in March, this is the tightest March Saskatoon has seen since 2008. Persistently tight conditions have continued to affect prices which trended up again this month and currently sit over three per cent higher than last years’ levels. While the pace of growth has eased compared to last year, prices have risen by around $40,000 since the start of the pandemic.

February 2022

February sales in the province reached 1,059, an 8% decline relative to last year. While the year is starting out with sales that have slowed compared to last year, it is important to note that housing demand continues to remain strong as levels are over 22 per cent higher than what we typically see at the start of the year and nearly 40 per cent higher than average levels recorded throughout the 2015–2020-time frame. 

While there have been some signs of improving new listings relative to sales, inventory levels remained lower than levels we traditionally see in the market and the months of supply averaged just over five months. The five months of supply in February is slightly lower than levels expected at this time of year. 

“There is a significant amount of uncertainty weighing on the economy. While this could have some impact on demand, supply levels are still low providing some cushion should demand taper further. Conditions also vary significantly based on location, property type and price range because real estate is very local,” said Saskatchewan REALTORS® Association CEO Chris Guérette. 

Most of the decline in sales was driven by pullback in the detached sector. However, some of this could be related to the lower inventory levels. Detached inventories in February were 3,643 across the province 30 per cent below 10-year averages and the lowest the market has seen since 2010. 

“Last month we started to raise an alarm bell about inventory levels in Saskatchewan,” said Guérette. “Now that we’re two months into the market, that dip in inventory levels being the lowest we’ve seen since 2010 is concerning. That’s why we’re working harder than ever to build a fuller picture of Saskatchewan’s housing continuum so we can identify where the gaps are and build smartly and collaboratively for growth.” 

Benchmark prices in the province have remained stable over the past several months, but on a year-to-date basis remain over five per cent higher than last year’s levels. If the inventory can better meet demand as we move through the spring, it should support more stability in prices this year. 

Regional Highlights 

While provincial sales did ease over last years levels, this was not the case in every region. After the first two months of the year, sales activity rose higher in both Swift Current and Southeast Saskatchewan Region. When considering the two larger regions in the province, the pullback in sales in Saskatoon was far higher than what Regina saw. However, this could be related to the steeper decline in Saskatoon inventory levels. While it is early in the year, we have seen a significant rise in the months of supply in North Battleford and Prince Albert regions. Should this trend continue into the spring, it could have effects on home prices. 

Price Trends 

While some cities saw prices pullback slightly in February compared to January levels, prices were still higher than levels recorded at the end of 2021. While pullbacks generally did not offset earlier gains on a year-to-date basis, we did see year-over-year price declines occur in Moose Jaw and Estevan. The shift in price trends is something to monitor but it is important to note that these shifts are not accompanied by dramatic changes in other housing market indicators, making it too early in the year to speculate if this will be the trend for those centers moving forward

City of Regina 

With 261 sales in February, city levels rose to a new record high. The February gain offset some of the pullback that occurred last month as year-to-date sales remained at levels consistent with what we saw last year, which is over 30 per cent higher than long term trends for the city. In addition to the low lending rates and improvements in the job market, Regina has not faced the same level of supply constraint that has prevented stronger sales growth in some markets. However, should the sales to new listings remain above 70 per cent as we move into spring, we could start to see supply challenges occur in this market as well. 

By the end of February there were 908 units in inventory, like last month and last year. Inventory levels are slightly lower than long term trends. Strong sales relative to the inventory levels caused the months of supply to ease to just over three months. 

The detached segment of the market demonstrated tighter market conditions relative to the broader market. While prices remained stable this month, after the first two months of the year, the benchmark price for detached homes rose by over six per cent moving the city closer to price recovery. 

City of Saskatoon 

For the second month in a row, sales activity eased over last year’s record levels. Despite the decline, levels continue to remain well above longer term trends. Some of the pullback in sales can be in part due to some of the supply challenges in the market. Year-to-date there have been 942 new listings, far lower than the over 1,100 new listings that we typically see at the start of the year. Inventory levels also remain low with 985 units available at the end of February, over 30 per cent below the 10-year average. 

The pullback in sales combined with a pullback in inventory has done little to provide more balance in the market. In fact, with just over three months of supply in February, conditions are like last year and at levels not seen since 2012. 

Persistently tight market conditions have contributed to further price gains. The residential benchmark price reached $330,600 in February, higher than levels recorded over the past several months. However, there are some signs that the pace of benchmark price growth is easing. After the first two months of the year, the benchmark price increased by over five per cent; far lower than the annual gain of over eight per cent recorded in 2021. 

January 2022

New listings in January remained well below traditional levels seen in the market in January. While levels are better than what was recorded in December, it did little to change the inventory situation as inventories remain at the lowest January levels since 2012.

January sales in the province reached 748 units, a decline over last year’s elevated levels, but still higher than longer term averages. Lower inventory levels likely contributed to some of the slower sales activity this month.

“Inventories still remain relatively low, but if new listings continue to improve relative to the sales, this should eventually translate into improved supply and better market balance,” said SRA CEO, Chris Guérette.

The months of supply in January rose to just over seven months. While this is a gain compared to last January, overall conditions are still relatively tight for January. Persistently tight market conditions supported further price gains. In January, the unadjusted benchmark price rose to $285,700, nearly seven per cent higher than last January.

The SRA has been working to gain a better understanding of the factors affecting housing supply in Saskatchewan. Everything from labour and supply shortages to land costs, lending rate increases, the pandemic and remote work, along with increased immigration and economic growth. All are contributing to gaps in the housing continuum and the Association is seeking partnerships that foster collaboration in the industry to work and address those gaps.

“With changes expected in lending rates, the 2022 housing market is not expected to see the demand levels as 2021. However, it is still early in the year, and like I have said before, my biggest concern for 2022 is inventory,” said Guérette.

Regional Highlights

Every region in the province recorded slower sales this month compared to the strong levels recorded last year. While sales in the province remained in line with historical norms, Moose Jaw stood out as the decline in January sales pushed levels well below long term trends and caused a significant rise in the months of supply. While it is too early in the year to put much weight on these figures, Moose Jaw is a place to watch. The months of supply generally trended up toward more balanced conditions across most regions. However, conditions still tightened compared to last year in the regions of Melfort and Saskatoon.

Price Trends

Benchmark home prices across all the larger centers did record gains compared to last January with year-over-year increases ranging from a low of just under one per cent in Estevan to a high of nearly 16 per cent in Melville.  While the year-over-year gains are significant, it is important to remember that prices started to see more significant gains last year in the spring. Nonetheless, most of the centers recorded further price gains in January over December levels. The largest unadjusted monthly gain occurred in Meadow Lake at over five per cent.

City of Regina

Like other centers, sales in January eased over the strong levels recorded last year but remained above the 10-year average. At the same time, new listings did ease slightly over last year’s levels, but with 316 new listings for the month, the sales to new listing ratio eased to 53 per cent, slightly lower than the 57 per cent recorded last year. Inventory levels also remained relatively stable this month.  However, slightly slower sales combined with stable inventory levels helped push up the months of supply to just over five months.

Despite the gain, the months of supply is still relatively tight, supporting further price growth in the market. Benchmark prices in January trended up over last month and reflect a year-over-year gain of over seven per cent.

City of Saskatoon

January sales eased over last years levels, but with 230 sales for the month, activity remained consistent with long term trends. At the same time, new listings in the market continued to ease compared to levels we traditionally see this time of year and could be one factor preventing stronger sales in the month. Inventory levels remained exceptionally low for January with 881 units. That is over thirty per cent below longer-term averages and the lowest January levels since 2010.

The limited supply and relatively strong sales kept the months of supply relatively tight at under four months.  While prices remained relatively stable compared to where they were at the end of 2021 with a total residential benchmark price of $328,600 in January, levels are nearly six per cent higher than last January.

Information provided by: SRA (Saskatchewan Realtors Assoc.)

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