Housing sales in Saskatchewan's largest city increased 21 per cent in May, to 423 homes, compared with May 2010, according to the Saskatoon Region Association of Realtors.
The average residential selling price in May was $317,932, up 8 per cent from May of last year. The increase in the average selling price indicates strong sales activity in the mid-to-upper price range.
Year to date, the average selling price stands at $304,664, up 5 per cent from last year at this time.
Inventory levels continued to stabilize in the month of May. Homebuyers had 1,378 homes to select from at the end of the month, up slightly from May 2010. Year to date, 3,164 properties have been listed for sale, on par with 2010.
Saskatoon's new-home market remains strong, with steady city lot sales taking place, according to the association.
"Interest rates are favourable to purchase that next home and job creation in the Saskatoon area remains steady. The forecast for the remainder of 2011 is for listing and sales numbers to increase marginally and for resale prices to move up slightly due to demand," the realtors group noted.
Meanwhile, the apartment rental vacancy rate in Saskatoon is a fairly tight 2.6 per cent, according to Canada Mortgage and Housing Corp. This is one of the lowest rental vacancy rates of any major Canadian city.
The agency estimates that about 20 per cent of condominiums in Saskatoon, both new and used, are on the rental market, totalling about 1,600 units.
from Western Investor July 2011
