Calgary Market Shows Promising Signs

In March 2009, for the first time since September 2008 SFH sales broke through the 1000 mark, registering 1086 sales and condos also recorded the most sales since September 2008 with a total of 446.

There has also been an increase over February’s 2009 numbers. Single Family Home sales are up 32% while Condos are up 30%.  Again, as has been the case for the past several months, these month-over-month increases need to be tempered by comparing them to last year’s numbers: Single Family Home sales were down 23% from last March when 1418 changed hands. This increase in activity from the dismal end of 2008 and early 2009 is certainly a positive development but it is to be expected as the spring months always garner more sales, but typically following this increase in sales comes an increase in more listings as sellers see spring as the ideal time to list properties.

Inventory levels for Single Family Homes and Condos in metro-Calgary are lower today than March’s 2009 month-end and substantially lower than this time last year. But where have all the listings gone? March 2008 had a Single Family Home month-end inventory of 5,957. We’re currently down almost 27% since then, having 4,369 active listings at month’s end.  The same is true for Condos where inventory is down 26% from last March, from 2781 to 2052.

Absorption rates also improved Single Family Home now have an absorption rate of 4.0, the most balanced it’s been since February 2008.  According to past CREB Inventory Absorption charts, a balanced market is achieved between 2 - 3.5 months’ supply. The CREB March release for some reason shows it as up to 4 months right now, but I’ll continue to have it as up to 3.5 months since that’s how it’s been up until now.