Scroll down to see an overview of the Sylvan Lake, Alberta real estate market through the last 5 years starting January 2013. The 4 charts below paint a decent picture of the market and offer insight to which way a market is trending.
2013 and 2014 listings were similar but they increased each year since then. Probably the same number of households chose to list there home for sale but sales decreased each year leaving more homes on the market.
Chart 2 above tracks the number of sales in Sylvan Lake, Ab each year. On a whole sales have dropped each year since 2014. Comparing sales in 2017 and 2018 they look pretty close, but a closer look has 2018 slightly lower than the year earlier. Similar sales numbers over the last two years is good news following decreases each year prior.
With the pricing chart above tracking prices around the $300,000 range, the flatline looks quite reasonable. However, the change between 2014 and 2018 is a 9% decrease. Another way to look at it is, if you purchased a home in Sylvan Lake in 2014 for $400,000, expect to sell it for approximately $36,000 less right now.
Why have sales decreased in Sylvan Lake? The same reason they’ve decreased throughout Alberta. Oil prices dropped and the economy was affected negatively and as we watched the economy recover new mortgage rules were implemented this year causing fewer people to qualify for a mortgage and a large number of people to qualify lower. If the mortgage rules remained the same in 2018 as 2017 our local real estate market would have experienced positive growth.
the chart above demonstrates the price a property sells for compared to the asking price. Currently, we are seeing homes sell approximately 2.5% below their asking price. this usually happens when inventory is high and buyers have more options. This price only demonstrates the sale price compared to the homes current list price. Often homes have to have their list price reduced a number of times before it receives an offer. It’s important to price correctly.
It’s good to have a look at a specific market using the most important stats. It will help if you’re buying or selling and it’s also nice to watch if you’re a homeowner in that specific market. Know your market!
Blake King continually tracks the real estate markets in Central Alberta. Knowing and understanding what’s happening in a specific market will make your decisions more rewarding.