Regina Real Estate Week In Review Feb 9 - 15, 2015
For the week of February 9 - February 15, 2015 :
It was another busy week in the real estate market in Regina with the number of new listings and sales continuing to hold a very similar pace to last week. I am going to start off my blog with an update on the mortgage market courtesy of my partner mortgage broker Colin Hildred. Here is his mortgage market update for the week :
The recent prime rate drop has sparked more interest in variable and adjustable rate mortgages. Last fall, the CAAMP survey revealed 25% of mortgage holders have variable rate mortgages. While interest rate movements are unpredictable, it’s interesting to make assumptions with today’s rates for comparison to the fixed rate option.
If the prime rate is unchanged for the next five years, $8,900 in interest can be saved. If prime goes up 0.25% at the beginning of years 2 - 5, interest savings will still be about $2,000. An annual rise of around 0.33% will breakeven.
One of my favorite strategies for those who choose a variable rate is to set the payment at the fixed rate level with that extra going straight to principal. It’s an amount that is usually manageable and at today’s rates would knock about three years off the life of the mortgage.
I can work out personalized scenarios for anyone seeking some guidance so feel free to share. Have a great week!
You can contact Colin directly by clicking on the Mortgage pre-approval link under my Buyer's tab for futher information or to get your pre-approval application started.
Now let's move onto this weeks activity,
Market activity this past week :
New Listings :
Single family homes : 95
Total active single family : 805
Lowest active list price : $27,000
Highest active list price : $1,500,000
Average Asking Price : $359,220
Average Days On Market : 66
Condos : 37
Total active condos : 321
Lowest active list price : $114,900
Highest active list price : $1,050,000
Average Asking Price : $303,078
Average Days On Market : 64
We had 39 firm "Single Family" sales last week, with the average seller asking $318,246 and accepting an average sell price of $304,774 or 95.8% (List To Sell Price). They took an average of 45 days to sell. The low sale was $60,000 and the high sale was $550,000. The number of firm sales are up by 1 from last week however the average sell price is down for the second week in a row at $8,768 and $50,322 over the past 2 weeks.
We had 4 firm Condo sales last week of which one was a very high end sale at $860,000 which will throw the stats off with such few number of sales ; however the average seller asked $442,675 and accepted an average sell price of $423,850 or 95.7% (List To Sell Price.) They took an average of 60 days to sell which is a sharp drop from the 99 days last week. The low sale was $177,500 and the high sale was $860,000.
Cancelled, Withdrawn or Expired Listings :
Single Family : 31 (up 4 from 27 last week)
Condos : 7 (Up 3 from 4 last week)
Market Summary :
The market has shown only a slight change in the number of single family homes on the market with 13 more than last week and is continuing to show a strong number of firm sales week over week. The trend seems to be exact opposit for condos right now as we had 14 more new condos available now on the market with only 4 firm sales last week. The growing disparity between the number of single family to condos selling is somewhat suprising to myself, as it appears buyers in Regina are not interested in the maintenance free living of condo ownership and are continuing to prefer the lifestyle that comes with having your own back yard and the detached housing lifestyle. With the average asking price of a condo unit dropping $13,000 in the past week this is showing some motivation from seller's who are getting anxious to move their unit and are most likely not getting very many showings if any at all. In today's market the typical seller reduce's their price $10,000 when doing a price reduction in order to try and hit a new price point of buyer's or motivate the buyer's who felt the asking price on the unit was too high to consider putting an offer in. Single Family homes have done the exact opposite with the average asking price increasing $10,500 from last week there is definately not near the selection you have in the condo market and anything coming onto the market at the "right" price is being picked up quickly by buyers. Once again like I discussed last week - Listing at the RIGHT list price and not pricing yourself too high in the market compared to your competition will be a KEY factor in obtaining a sale in a reasonable time frame.
Have a great week and it would be great if anyone would post some feedback below!