Are House Prices In Edmonton Going Down?
-
Loading... - Audrey Davis
- 20 Mar 2023
- 77 Views
- 0 Like
- 0 Comment
Edmonton, Alberta is home to more than 1.5 million people and is a major Canadian city. For a first-time homebuyer, the home values and the prices of single-family homes in Edmonton make it an attractive real estate market.
The Edmonton housing market is considered by many Canadians to be one of the most affordable in the country. Out of the other major Canadian cities, Edmonton is much more affordable than other major cities like Toronto and Vancouver.
As the Canadian housing market has seen a slowdown in the last few months of 2022, it begs the question of whether Edmonton's real estate market will also see a decrease in the average residential sale price.
To better understand the state of the housing market in Edmonton, let's look back to 2022 and ahead to 2023.
Looking Back:
In the summer of 2021, the Canadian housing market experienced a major housing boom. This boom was caused by a huge demand from buyers which drove the asking and selling prices of homes up dramatically. This boom slowed down in the first half of 2022 and we have seen house prices drop since then.
In 2022, the greater Edmonton area has seen a decrease in sales prices for all types of homes. The average sold price for all property types was around $360,000 which was a 5% decrease from 2021. The average price of a condo was just over $200,000 and there was a 5% decrease in condo unit sales compared to last year. The single detached home sat at around $450,000. Along with lower prices, there were also fewer real estate transactions which resulted in a 26% decrease from 2021.
While 2021 and the first half of 2022 may have been a seller's market, we are seeing less demand from buyers even though there is a solid inventory.
Looking Ahead
Many professionals are predicting the average prices of homes in Canada to continue to decrease in 2023. While they aren't expected to fall dramatically, Edmonton is forecasted to have a balanced market throughout 2023., meaning that neither buyers nor sellers have the power. As well, the number of sales is expected to fall by about 2% throughout the year.
Realtors Association Edmonton chair Paul Gravelle spoke on the state of the market stating, "While we continue to see the Edmonton real estate market cooling down after a record-breaking period earlier this year, there is still a fair amount of activity happening." Read More…
