March 2022 Market Snapshot | Canmore & Banff Real Estate
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The spring real estate market is upon us and month over month sales in February were steady. Year over year, there has been a dramatic shift in both active standing listings and total sales. Active listings have declined 41% from March 2021 and 63% from March 2020 (our last statistic month before COVID shutdowns).
Month over month, active standing inventory is up to 89 properties listed between Harvie Heights and Exshaw. There are 50 residential properties and 39 short term rental properties listed; last March, there were 113 residential properties listed. With the decline of active standing inventory, multiple offers and sales over asking are the norm. In February detached and semi-detached homes sold on average 5.2% over asking price and the average days on market fell to 20 days. Detached and semi-detached home sales fell year over year by 75% as a direct result of the 70% year over year decline in active listings. Year over year, the three month average sale price for townhouses has increased 33% to $954,000. Apartment condominium properties three month average sale price increased 13% year over year to $663,334. Tourist home and visitor accommodation units that have a short term rental use, prices have increased 49% on the three month average to $665,932. Detached and semi-detached median home price increased to 35% to $1,411,500 over the past three months.
As the days get longer and warmer, we are seeing more listing coming to market. The current trend is for a property to come to market mid-week with showings over the weekend and a request that all offers be submitted by Sunday or Monday. For buyers, it is essential they have their ducks in a row. In some instances, the sellers have a property inspection and condominium documents available ahead of time for you to review. Speak with your lender about the option of making an offer not subject to a financing condition. Are you deposit funds in an account and ready to go?
As we move further into the spring market, there are more properties coming to market. There is a bit of a bottleneck with people who have great properties to sell but need to find somewhere to go. New construction is a great option if you have the ability to wait a few months or a year.
There are so many national and international factors at play, it is impossible to predict where the market is headed. The facts are: Canmore and the Bow Valley have a record low level of standing inventory, demand remains very strong with both people moving within and into the market, even with the rise in interest rates they are still well below historical levels, Alberta is still very much tied to the energy markets and the high energy prices will result in high revenues. Considering these factors, we expect the majority of the market to remain in seller’s territory for at least the next few months.