First Quarter of 2019 Saw Condos Sell at About an 8% Discount
by Stuart Neal
on Friday, May 3rd, 2019 at 12:13pm.
The number of condos sold this year was about the same as in the first quarter 2018. However, most units were selling at a discount. Do we see light at the end of the tunnel? If inventory levels tighten up, yes we do.
In total, 653 condos sold in Edmonton during the first quarter of 2019. This compares favorably with last year when 765 condo sold. A difference of 112 units sold. Whilst this proves the underlying demand for condo homes in Edmonton, it’s also lower than last year. Perhaps some potential condo buyers are purchasing a single- family home instead due to exceptional affordability at this time?
For the first quarter condo homes continued to trade at a discount when compared to last year. Most condo units sold for about 8% LESS than last year, equal to an average discount of about $19,000.
Days on Market:
For the first quarter 2019, most condo units sold in 80 days compared to 78 days last year. This difference is not significant. This time period will decrease as we move into the main condo buying and selling season.
Month End Inventory:
The days of excess inventory are behind us. At the end of March 2019 there was 352 FEWER condo units for sale compared to last year. If this pattern continues then values should firm up as the season progresses.
If you are buying a condo the market is absolutely in your favour. Will it last? At the moment you still have plenty of choice and you should be able to secure a nice discount compared to this time last year. However, if inventory continues to tighten up, values will harden soon and you may pay more if you delay.
If you are selling and then buying in the Edmonton area please don’t be too concerned. You may have to wait a bit longer to sell and perhaps offer a discount.
However, if you are going to buy in our market you will also have plenty of choice and should be able to secure a good discount yourself. It’s a wash!
All information was extracted from the Edmonton MLS® System. This report is provided for informational purposes only. We do not warrant or guarantee the accuracy of the information in any way. Readers are advised to complete their due diligence and should not necessarily take action based on the information contained herein.