More homes sold here this July than last July, data shows

Home sales in Moose Jaw in July were consistent with levels from 2018 and are in line with — or even above — long-term averages, according to the Association of Regina Realtors (ARR).

There were 54 sales reported in Moose Jaw last month, which is up 10 from 2018 when 44 homes were sold, according to ARR’s market release data. The number of sales is above the five-year average of 48 and the 10-year average of 49 for the month. “July actually has proved to be a fairly positive month … ,” said Rob Reynar, ARR operations manager. “After a number of months of fairly unstable market activity, July really showed a little bit of strength over the summer and some signs of life.” There is no one particular reason for the way the market acts, he continued. There could have been pent-up demand for homes after months of sluggish activity. Homeowners have also faced a financial stress test to ensure they can afford to buy a home, so some could have finally been able to make a purchase.

Furthermore, the health of the economy affects the housing market; home sales happen when the market is doing well when and consumers are confident to make big purchases. The global economy affects the Canadian economy, which affects the local economy in a trickle-down manner, he continued. For the past few months, the market has been working through high inventory and low sales.

“But it is nice to see some strength in the market this time of year (May to August) because this is the peak in the real estate market,” he added.

The financial value of those 54 homes sold was $13 million, while the average price for a home was $241,536. On average, a home spent 96 days listed on the market before it was purchased. Year-to-date, 275 residential homes have been sold for $66.7 million, which is 11 more sales than last year. There were also 308 active residential listings for sale on the market at the end of July, which is down from 345 listed sales at this time last year. There were 94 new listings posted in July in Moose Jaw, compared to 101 posted listings last July. Yearto-date, new listings in the city are down to 598 this year compared to 662 last year.

“I’m not sure of the cause of that (decrease),” Reynar said. Usually there are more listings in the spring and summer than in winter. Yet, the number is lower from a comparative perspective since the market is coming through a period of high inventory, when there were an unprecedented number of listings on the market in the past few years.

It also became a supply and demand issue, since prices increased when there are fewer homes on the market. This ebb and flow is how the market operates.

“No, I don’t think (the decrease is) a worry at all. I think it just brings the market more into balance than what it has been,” said Reynar. The ratio of sales to new listings for July was 57 per cent in Moose Jaw. In its data report, ARR explained that balanced market conditions are considered to be in the range of 40 per cent to 60 per cent. Below 40 per cent means it’s a buyer’s market, while above 60 per cent means the market favours sellers.

“We are in balance right now,” Reynar added. More information about housing market data can be found at www.reginarealtors.com.