Year-over-year sales activity for the Regina Real Estate market slowed for the third consecutive month. Despite the decline, sales levels are well above the 10-year average. Inventory levels remain over 25% below long-term averages, with most of the decline being driven by homes priced below $300,000 meaning the first time home buyer market is experiencing the most difficulty.
The months of supply in Regina fell to 2.96 in March, down from 3.86 in February. If conditions remain this tight over the next several months, we could start to see an increase in home prices.
Regina reported a benchmark price of $307,100 in March, slightly below the $310,200 reported in February. Interest rates did not increase at the last announcement and hopefully they continue to remain steady for a while so that the economy can catch up.
STATISTICS FOR MARCH:
Total Sales: 294
New Listings: 446
Total Inventory: 869
Months of Supply: 2.96
DOM (Days on Market): 58
Benchmark Price: $307,100
Percentage of new listings to sales: 66%
Ask to Sale Price Ratio: 96.4%
SEE HERE FOR A FEW COMMENTS MADE BY CEO CHRIS GUÉRETTE OF THE SASKATCHEWAN REALTORS ASSOCIATION:
There were 1,213 sales recorded across the province in March, a 20 per cent year-over-year decline. Despite year-over-year sales declines, this level of sales is still stronger than pre-pandemic levels and nearly 10 per cent above long-term, 10-year trends.
New listings decreased by over 17 per cent on a year-over-year basis and remain significantly below the 10-year average. In the first quarter of 2023, properties priced below $400,000 contributed to the largest decline in new listings. A reduction in new listings relative to sales resulted in further year-over-year declines in inventory levels, which remain over 30 per cent below long-term averages.
“Higher lending rates continue to impact what buyers are able to purchase, which is creating tight conditions in the more affordable segment of our housing market,” said Association CEO Chris Guérette. “When paired with declining inventory levels, specifically in homes priced under $300,000, there simply isn’t enough choice for prospective buyers looking in that price range right now.”
The provincial benchmark price reached $321,400 in March, up from $318,500 in February and slightly below prices recorded last March.
“Our market is once again showing its resilience, as we continue to report sales above long-term averages,” said Guérette. “That said, we continue to keep a close eye on supply levels across the province. Saskatchewan is growing at its fastest pace in over 100 years and ensuring that supply matches this growth is crucial to maintaining our affordability advantage.”
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