At the midway point of 2022 and have seen a lot of change in our local Real Estate market over the past 2 years. What is really important though, is to know that there is help for those that have a decision to make on what lies ahead. If you are reading and seeing some of the headlines, you might be very nervous and downright scared at some of the predictions that are being made about the Real Estate industry across the country.

The good news is those headlines are typically coming from very large metro markets that have seen super accelerated home prices that were clearly not sustainable. Although we have experienced some increases in the average home price in Southern Alberta, it would be fair to say that those increases were reasonably controlled.

There is a ton of confidence in our local market at this time and it’s expected that we will absorb this cool down better than most. Provided below is some high-level information for both all of Southern Alberta as well as just the City of Lethbridge.

LDAR

One of the key metrics is the number of transactions. The number of deals has slid for the 3rd month in a row and was off 20% when compared to this time last year. Having said that, the market prices remain reasonably strong showing a 3.5% increase for average home price. The number of “New Listings” was up again and our sold price to list price remains high at 98.5%

City of Lethbridge

In the city, the number of transactions was also down for consecutive months showing an 11% decline in the number of transitions. Again, the average selling price remains steady with a 5% increase. The number of new listings coming on the market is trending upward and the sale price to list price remains high at 98.8% for the month of June.

What is really happening and what is next?

It is no surprise that the increased inventory, coupled with rising interest rates have had a cooling effect on the market. This trend will continue with the number of transactions continuing to decline over the next few months. Inevitably, there will be less people in the Buyers pool, which will affect sellers and the demand for their property. Our market has been fortunate thus far to see a reasonably gentle cool down, however, prices over the next few months will begin to either stagnate or may even soften below prior years highs. Overall, the market is still showing really good value when compared to other major markets. There is still some influx of out of province Buyers which will be helpful in keeping the prices steady.

The message for Sellers is that the market is still fairly strong, however now far past the days of selling in 2 days, or 2 weeks. For Buyers, there is good opportunity right now before the potential of further rate increases. It is also a good time because the market is in much better balance than it was a few months back with more inventory to choose from.

Owners Message

Dallas Harty says, “Southern Alberta continues to be very steady. The market itself is very tricky at the moment, as the changing conditions are creating some unique challenges, but also great opportunities. Although we have moved away from the extreme Sellers Conditions, we were in earlier this year, the market is still favoring the Seller.  We are in a time where it is really important to work with a knowledgeable, experienced Brokerage/Agent to get you the most from your experience. A mistake in listing price in these types of conditions, can cause Sellers to leave money on the table. It is more important than ever that you are using a Full Time, experienced agent that understands the market conditions in real time, to make sure you are getting the most for your home. We are proud of our track record and continue to deliver results to our clients. We want to congratulate all of our RE/MAX agents and support staff as we once again, were #1 in the market for Buyers and Sellers in Southern Alberta. We are proud to have served the area for the past 41 years and would look forward to the opportunity to meet with you and your family. Market evaluations and consultations are free and there is no obligation. Reach out today and let us help you get more.”

For a no obligation consult and market evaluation, let us help you get MORE!  You can call Re/Max Real Estate Lethbridge today 327-2221 or text us at 403-635-8888 or click www.realestatelethbridge.alberta.remax.ca or www.realestatetaber.alberta.remax.ca

This monthly Real Estate Market Report analyzes Southwestern Alberta real estate, more specifically the Lethbridge area. Keep in mind that the information does not indicate the actual value of any particular property. Find out what your home may be worth in today’s market, contact one of RE/MAX Real Estate – Lethbridge’s talented agents by clicking here or for the Taber area click here.