As we move deeper into the summer of 2024, the Edmonton housing market continues to show resilience and growth. July 2024 was a particularly noteworthy month, with significant increases in both sales and prices across the Greater Edmonton Area (GEA). This detailed analysis will provide insights into the key metrics that shaped the market in July, offering a comprehensive overview for potential buyers, sellers, and investors.
Residential Sales Surge in July 2024
The Greater Edmonton Area saw a robust increase in residential unit sales in July 2024, with a total of 2,941 units sold. This represents a 3.5% rise from June 2024 and a remarkable 27.1% increase from July 2023. This surge in sales reflects the ongoing demand for housing in the region, driven by favorable market conditions and consumer confidence.
New Listings and Inventory Dynamics
New residential listings for July 2024 amounted to 3,729, up 2.9% from the previous month and 13.2% higher than July 2023. Despite the increase in new listings, overall inventory in the GEA decreased by 1.4% from June 2024 and is down 15.1% compared to the same period last year. The combination of rising sales and shrinking inventory suggests a competitive market, where buyers may face increased pressure to act quickly.
Detailed Breakdown of Sales by Property Type
- Detached Units: Sales of detached homes reached 1,708 units, marking a 2.8% increase from June 2024 and a 23.5% jump from July 2023. Detached homes remain the most popular choice among buyers, reflecting their appeal in terms of space and investment value.
- Semi-Detached Units: While semi-detached units saw a month-over-month decrease of 6.6%, they recorded a 13.0% increase compared to July 2023, indicating steady year-over-year growth in this segment.
- Row/Townhouses: Sales of row/townhouses rose by 4.7% compared to June 2024, and a significant 52.0% from July 2023. This property type continues to gain popularity, likely due to its balance of affordability and functionality.
- Apartment Condominiums: The apartment condominium market showed strong performance with an 11.7% increase from June 2024 and a 32.3% rise from the previous year. This uptick suggests growing interest in more compact, urban living options.
Price Trends: Steady Gains Across the Board
- Overall Residential Prices: The average residential price in the GEA for July 2024 was $440,466, reflecting a 0.4% increase from June 2024 and a 7.7% rise from July 2023.
- Detached Homes: Detached homes saw their average price rise to $552,031, up 2.3% from the previous month and 9.8% from the same time last year.
- Semi-Detached Units: The average price for semi-detached units decreased by 3.6% month-over-month to $406,906 but still showed a 7.4% increase from July 2023.
- Row/Townhouses: Prices for row/townhouses edged up by 0.7% from June 2024 and 10.6% from July 2023, with an average selling price of $292,072.
- Apartment Condominiums: The average price for apartment condominiums dipped by 3.4% from last month to $204,315, though it remains 4.9% higher than July 2023.
MLS® HPI Composite Benchmark Price and Days on Market
The MLS® Home Price Index (HPI) composite benchmark price for the GEA in July 2024 was $406,600, a slight 0.4% decrease from June 2024 but a solid 7.1% increase from July 2023.
In terms of market dynamics, detached homes averaged 32 days on the market, an increase of three days from June 2024. Semi-detached homes saw a slight improvement, with a one-day reduction to 27 days. Row/townhouses, however, experienced an increase in market time, averaging 31 days, six days longer than in June. Apartment condominiums averaged 43 days, up by one day from the previous month. Overall, the average days on market for all residential listings increased by three days to 33, yet remained 12 days shorter than in July 2023.
Expert Insights and Market Outlook
Melanie Boles, 2024 Board Chair of the REALTORS® Association of Edmonton, provided valuable insights into the current market conditions:
“July’s heatwave didn’t stop home buyers from making the most of the market this month,” Boles noted. “Sales saw an unexpected bump, and while added competition hasn’t impacted home prices yet, the lower inventory is something to watch. The effects of too little supply on prices in other markets have been significant.”
Looking forward, the Edmonton housing market is expected to continue its trajectory of steady growth, though the declining inventory may place upward pressure on prices in the coming months. Buyers and sellers alike should stay informed and act strategically to make the most of the current market conditions.
Conclusion
July 2024 was a standout month for the Edmonton housing market, characterized by strong sales, rising prices, and a competitive landscape. As we move into the latter half of the year, all eyes will be on inventory levels and their potential impact on pricing. Whether you’re buying, selling, or investing, staying updated on market trends will be key to making informed decisions.
Stay tuned for more updates and detailed market analyses to keep you informed and ahead in the Edmonton real estate market.