October 2021 Real Estate Market Snapshot
The Canmore and Bow Valley real estate market continues to have very strong sales volumes as we head into the last quarter of 2021. For Q3 2021, there were 192 sales, a decline of 22% from Q3 2020; however, there was incredible pent-up demand after the initial closures in Q2 2020 which resulted in a very strong Q3 2020. Quarterly sales for Q3 2021 are 9% above the five-year average.
Detached and semi-detached home average sale prices are up year over year by 18% to $1,332,780 and the median price is up 1.5% to $1,070,000. Townhouse average prices are up 3% year over year to $760,853 and the median price is up 3.5% to $720,000. Apartment condo average prices are up 18% to $653,036 and the median price has risen 26% to $659,900. Short term rental unit average sale prices have risen 18% to $560,347 and the median price has climbed 19%.
Record low standing inventory remains the largest factor in the market at the moment. Residential active listings are down 51% year over year to 101 listings in Canmore, Exshaw, Dead Man’s Flats, Lac Des Arcs and Harvie Heights. Short term rental listings are down 22% to 70 active listings year over year. Overall active listings are 25% below the five year average while September sales were 3% above the five year average with 61 sales. With the low inventory levels, we are still very much in a seller’s market overall. Again, it is important to remember that the Bow Valley has many micro markets, and some segments are balanced while others are in a seller’s market.
While there have been a steady number of new properties coming to market, we have not seen a significant influx of inventory. Heading further into the fall market, we don’t expect to see any significant increase in new listings. The seasonality that we typically see in new listings hasn’t appeared and anything well priced an in good condition is selling quickly. We expect sales to remain strong up until Christmas because of the pent-up demand and low standing inventory levels. None of us have a crystal ball, but the fundamentals for Canmore and the Bow Valley remain strong with a great lifestyle, quick access to Calgary, high speed internet, good schools, and good healthcare. Because of these fundamentals, we expect demand to remain strong through the winter as people choose to relocate or spend more time in the mountains. For those waiting for prices to drop, I can’t foresee this happening in the near to medium term. The market needs to add close to a hundred active listings at current sales volumes to move towards a balanced market.