In Regina, 456 homes were sold in May, in Saskatoon the figure reached 541.
The Saskatchewan Realtors Association has seen an increase in sales in most areas of the province.
Even though there are fewer sales than in 2020, the association is seeing record growth at moosejawRegina and Yorkton this year.
Residential benchmark prices fell to moosejaw, Swift Current, North Battleford and Yorkton in May.
Here in Saskatchewan the inflation challenges are not the same. The change in interest rates does not hit us as hard as elsewhere
says Samantha Krahn, Director of Government and External Relations for the Saskatchewan Realtors Association.
” I think inflation is lower here than in a lot of places in the country. Things are still affordable here. There are possibilities. Prices have gone up, but there is still plenty of room for buyers. »
A stark contrast to the rest of the country
According to the Canadian Real Estate Association (CREA), Saskatchewan is the only province to offer cheaper homes compared to 2021. Homes in Saskatchewan are also selling at their lowest level since the start of the pandemic.
Yet the average cost of a home in Regina was 4.1 per cent higher in May than five years ago. The same data shows that house prices in all areas of Saskatchewan and Saskatoon increased by 8.9% and 13.3% respectively.
Comparing prices on a month-to-month basis, houses in Regina were 0.3% cheaper in May than in April.
In the Saskatchewan and Saskatoon regions, home prices rose 0.1% and 0.6% respectively from April prices.
The Saskatchewan Realtors Association wants to see new construction.
” We don’t think the situation will change any time soon. The number of available homes will continue to decline. It’s up to us, business and government to build more in a smart and responsible way. »
Meanwhile, the Canadian housing market as a whole continued to slow in May from the blistering pace of the pandemic.
The average Canadian home sold during the month was $711,000, down more than $100,000 over the past three months.
Although May is generally a strong month for home sales, theAIT said the volume of homes sold across Canada fell sharply during the month, down 20% from the same period last year.
Increase in mortgage rates
Rising mortgage rates should have an impact on housing demand.
In May, the reference price in Saskatchewan, which represents the price of a house typical
reached $330,300, almost 1% higher than in April and 4% higher than in 2021.
Even though selling activity could be affected in the coming months, it will take some time for the market to return to more balanced conditions.
said Saskatchewan Realtors Association President and CEO Chris Guérette.
University of Regina economics professor Jason Childs said upcoming mortgage increases could influence the size and types of homes people are looking to buy in Saskatchewan.
” You might want to consider something a little smaller, a little more modest. The era of large estates may be coming to an end. »
Mr. Childs adds that prices could be inflated right now because people are trying to get a house before rates go up.
With information from Laura Sciarpelletti
Reference-ici.radio-canada.ca