by Stuart Neal
on Saturday, February 2nd, 2019 at 9:48am.
Is the Edmonton condo market turning around? Fewer days on market and reduced inventory may inject some life into the market later in 2019. Read the details for January here.
Days on Market:
Condo buyers in January this year seemed to act with some confidence, snapping up units for sale in only 91 days on average compared to 93 days last year.
Month End Inventory
At the end of January 2019 there was almost 350 FEWER units for sale when compared to January 2018. This may represent the light at the end of the tunnel for sellers as the market suffered from a chronic over supply last year.
However, based on current demand the 1845 units still for sale at the end of January represents a 10-month supply.
In total almost 200 Edmonton condos sold in January 2019 compared to about 225 units last year. Its too early to consider this to be a pattern.
In January 2019, Edmonton condo buyers paid around $212,000 compared to more than $220,000 last year. This equates to about a 4% discount. Unfortunately for sellers, the oversupply of condos in our market has meant that buyers secured on average a 6% discount in 2018.
If you are in the market to buy a condominium this is the time to do it. You will have plenty of choice and values are still down.
However, excess inventory is slowly coming down and if this pattern continues, values will harden and your chance to buy at a discount will be gone.
If you are a seller there is still reason to be confident. Demand remains strong and buyers can still be persuaded to pay full market value for the best units.