Second Quarter of 2019 Saw Condos Sell at About a 5% Discount

Posted by Stuart Neal on Monday, July 22nd, 2019 at 9:05am.

Summary:

The number of condos sold this year was about the same as in the second quarter 2019. However, most units were selling at a 5% discount. Discounts are getting less and should continue to shrink as inventory levels come down.

Numbers Sold:

In total, around 1065 condos sold in Edmonton during the first quarter of 2019. This compares favorably with last year when 1090 condo sold. This is about the same as last year and suggests continuing strong demand. Overall the difference is less than 30 units and should not be a concern for condo sellers.

Sales Values:

For the second quarter condo homes continued to trade at a discount when compared to last year. Most condo units sold for about 5% LESS than last year, equal to an average discount of about $11,000 However compared to the first quarter when the discount was 8% this is much improved and sellers should feel quietly confident.

Days on Market:

For the second quarter 2019, most condo units sold in 66 days compared to 64 days last year. A 2 day difference is not significant.

Month End Inventory

The days of excess inventory are behind us. At the end of June 2019 there was 586 FEWER condo units for sale compared to last year. We have now seen this trend occur for 2 quarters. If this pattern continues then values should firm up as the year progresses.

Outlook:

If you are buying a condo the market is still 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. However, if inventory continues to tighten up, values will harden 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!

About the author:

You can read more about the author of this blog by clicking this link – Stuart Neal Broker Owner & REALTOR®

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.

 

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