Despite accounting for nearly half of all COVID-19 cases in Alberta, Calgary saw March home sales reach a multi-year-high as rock-bottom lending rates and mounting savings continued to make themselves felt in the market.
The latest data from the Calgary Real Estate Board indicated that the market had 2,903 sales in total last month, representing a 147% annual increase, and the highest for March since 2007.
CERB chief economist Ann-Marie Lurie added that the addition of 4,437 new listings for the month, up 83% year over year, helped impel this extraordinary sales performance.
Previously, “sales have been somewhat restricted by the lack of listings. This month there was a jump in new listings, contributing to the strong monthly sales,” Lurie said. “Low lending rates and improved savings have supported sales activity.”
Red-hot sales accompanied a 7% annual increase in the city’s benchmark home price, reaching $441,900. Lurie cited this as a potential driver of future market strength.
“Improving prices will likely support further gains in new listings, as sellers try to capitalize on the recent shift toward rising prices,” Lurie explained. “Eventually, this will help support more balanced conditions, but it could take time before we see this shift in the market.”