Despite lower sales and escalated inventory levels, Cochrane housing prices rebounded slightly by year’s end to return to similar levels experienced at the beginning of 2018, according to the Calgary Real Estate Board (CREB).
Yesterday, CREB released its December report on real estate in the greater Calgary region and it appears Cochrane fared better than some other communities in the market downturn.
While 64 fewer units sold than in the previous year CREB says the annual count of 599 sales remains comparable to activity over the past three years.
There were 1,288 new listings, the highest on record. In combination with lower sales, Cochrane has been left with higher inventory levels. CREB calculates the detached benchmark price was $417,100 by the end of December and in their mid-year update listed it at $425,714. The average sales price for detached homes is currently $430,300 and the median price is 440,000.
At mid-year, CREB reported new home starts had trended down from 2017 and were well below pre-recession numbers. It suggested this factor implies the supply is starting to adjust to conditions, limiting the risk of a prolonged period of oversupply.
The CREB semi-annual forecast is expected to be released later this month.
Elsewhere in the Calgary region
Even with a decline in sales, the detached benchmark price in Okotoks climbed one per cent to $434,875.
Airdrie, on the other hand, experienced a 14 per cent decline in sales and activity was almost 19 per cent lower than the activity over the last five years.
“Persistent weakness in the job market and changes in the lending market impacted sales activity in the resale market this year,” says CREB chief economist Ann-Marie Lurie.