Always the big question in real estate is ‘Will the price of the house go up or is the market deflating?’ That’s the million dollar question. There has been talk of some cities going through a possible price correction and although this may be a very real scenario in parts of the country, experts have recently said that Saskatchewan is unlikely to see any major price changes.
This past week, two financial agencies out of the US, Fitch Ratings and Morningstar Research, have said that Canada’s real estate market is 20-30 per cent over priced and that a significant correction is possible in the next few years. Bill Madder, CEO of the Association of Saskatchewan Realtors®, has stated that most of the increases have been noted in the Toronto, Vancouver, and Calgary markets. Those three markets continue to push the national house price average up.
The Canadian Real Estate Association said that sales in June are up 0.8 per cent from May with Vancouver and Montreal taking the lead. The national average sale price is also up, recording 6.9 per cent from June 2013 at $413,215.
Compare the Saskatoon real estate market. The average family home in Saskatoon was $361,770, up 2.14 per cent from January 2014. The average price has climbed modestly at 3 per cent even though the Saskatoon market has seen more than 7,000 listings in the first 6 months which was an increase of 15 per cent from last year and sales increasing 13 per cent to 3,249 units compared to last year.
The Saskatoon real estate market is holding strong. As long as our province continues to see positive economic growth, our housing sector will remain stable. Saskatchewan has top 3 wages of all the provinces in Canada and a very low unemployment rate along with job stability and diverse employment opportunities.
Saskatoon real estate agent
Century 21 Fusion