Edmonton real estate weekly update October 22, 2010

This week the market has continued to improve. As of yesterday we have sold 727 homes so far this month. Based on that pace, the projected month end number of sales would be 1073. This is far higher than the pace we are on in the first week of October (projecting only 943 sales).

The bigger news is the number of new listings coming on the market has really slowed. We've listed 1,670 homes so far this month, at that pace the projected month end number of new listings would be 2465 (vs 2800 projection based on the first week of October's pace).

Finally, inventory levels are slowly starting to come down. We now have 7970 homes for sale versus 8035 last week. I did another search to see how many homes are failing to sell and coming off the market for the last few months.
August 2010: 1791 homes failed to sell
September 2010: 1777 homes failed to sell
October month to date 2010: 787 homes failed to sell
Note: October's numbers will rise much higher than the 787, as there are normally many homes that come off the market close to the end of the month.

So, overall the market is improving. We certainly aren't booming, but the inventory should start dropping this month. I predict we will see an inventory level in the 7000 range in the first week of November. This level will be helpful and should start to positively impact prices down the road. Have a great weekend, and enjoy our unusually warm temperatures!