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When is the Best Time to Sell?

Is Now the Best Time to Sell?

Selling your home is not only a big decision financially, but also emotionally. Your home is no longer the bricks, drywall, and hardwood floors you fell in love with when you bought it. You have tackled some of life’s many milestones and made memories inside the house you now call a home. Whether you have simply grown out of the house, are choosing to downsize, or you’re looking for a new location, there are many factors that may influence your decision to sell your house.

Check your Finances: Do some research to determine the payoff amount of your loan so you can determine what your sales proceeds will be after you have paid off your loans, closing costs, and REALTOR’s commissions.  The closer you are to the end of your mortgage term, the less additional expenses you will incur.

Do Some Comparisons: Doing your homework is always important! Do some research on the current condition of the real estate market, and look into some comparable properties who have recently sold in your neighbourhood.  You may want to consider selling when it is a seller’s market.

Is your Home Ready to Sell?

We have all heard the many ways you can improve your home to get the biggest return on your investment when selling. While you may not want to make any major improvements, it’s important to ask yourself if your home is in its best condition to sell. At the very least, you need to ensure you have the time to give your home a good deep-clean and de-clutter to ensure it is prepared for showings when the time comes. Take into consideration the length of time it will take to do this to determine a time frame for when you can realistically list your home.

Four Questions to Ask Yourself:

Take a second to think about your answer to these four very important questions. If you’re happy with your answers, you may be ready to sell and if not, it may be worth it to continue weighing the pros and cons of your decision to sell or speak further with a Real Estate Agent to get their opinion.

  • After selling this home, where will you move?
  • Are you still emotionally attached to your current home?
  • Are you financially ready?
  • Are you willing to make changes to paint colours, or upgrades to the home?

When is the Best Time to Sell a House?

Most real estate professionals will tell you that the best time to sell would be the spring, followed by the fall. Spring is desirable for many sellers as it is a great time to showcase your homes best features and many buyers want the transaction to be completed before the summer months. It’s important to remember that since it is the busiest time of the year, you will face more competition, increasing the importance of making sure your home shows at its best.

At the end of the day, the best time to sell is when you’re ready. Call today with your questions and to schedule a free home evaluation.

204-452-9627

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August MLS® sales down 1%

Reused by permission of the Real Estate News

WINNIPEG – August sales of 1,274 are down 1% from August 2017 and up 1% over the 5-year average. Dollar volume of $375 million in August was down less than 1% from August 2017. Inventory of 5,163 MLS® listings at the end of August is up 7% over 2017.

Year-to-date sales of 9,218 are off 6% from the same period last year while year-to-date dollar volume of $2.73 billion is down 4% from 2017. Total listings of 17,619 have been entered on the MLS® this year and are slightly ahead of 2017. Where the difference is greater between the two years is in how many of these listings have been sold. There have been 52% sold this year compared to 56% in 2017.

“We have said all along this year that we are comparing our sales activity to one of our best years on record so we have every reason to remain optimistic about our market this year,” said Chris Dudeck, president of WinnipegREALTORS®. “As shown last month, Winnipeg remains a stable and resilient market with a real upside in terms of its affordability.”

Speaking of affordability, a September 4th release by the National Bank of Canada of their Housing Affordability Monitor shows Winnipeg and local buyers in particular remain in a very favourable position, especially in comparison to higher-priced housing markets in the country.

The Monitor examines the required mortgage payment on a median-priced home as a percentage of median income for a 5-year term with a 25-year amortization period. Income to buy a representative Winnipeg home of $318,610 is $56,989 while for a representative condo priced at $229,426 the household income needed is $41,037. Saving for the down payment is 28 months for a home and 20 for a condo.

In comparison, Victoria requires 121 months of saving for a home down payment and 48 for a condo based on their much higher median prices. You need an income of $151,611 to buy the $847,619 median-priced home.

Reinforcing the Winnipeg Metropolitan Region market’s housing affordability in August is the fact nearly 50% of all residential-detached sales were under $300,000 with another 17% selling from $300,000 to $349,999. 78% of all condo sales in August were under $300,000.

While the majority of sales activity occurred in more affordable price ranges, this is not to say the upper end of the residential-detached market did not fare well in August compared to August 2017. There were 81 sales of $500,000 and above (6 sold for over $1 million), a 16% increase over last August.

Going into September buyers should also be happy to know the Bank of Canada decided to not increase its overnight rate of 1.5 % as some economists thought possible. The next date for a potential rate increase is October 24, 2018.

“Buyers are in a good position to begin their search in our local market as it has a healthy supply of affordable listings to choose from”, said Dudeck. “With summer vacation over and the children back in school there is no need to put off your buying intentions any longer.”

“REALTORS® are experts in knowing the local market and specific property types you may be interested in purchasing,” said Marina R. James, CEO of WinnipegREALTORS®. “They can offer you objective advice so you can make an informed decision on what best suits your needs.”

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Local market remains very stable and resilient

Reused by permission of the Real Estate News

WINNIPEG — July sales activity decreased 4% from July 2017 and was off only 2% from the 5-year average for this month. If you remove the exceptional record-setting month of July 2014 which was close to 1,500 sales, the 1,376 sales transacted this July are less than 1% behind the average sales activity for this month. July 2017 was the second best July on record at 1,438 sales.

The narrow range in percentage terms of sales activity between this year and the 5 –year average for all MLS® sales in July is also exemplified in the two closely followed property types of residential-detached and condominiums. The 1,006 residential-detached sales in July decreased 2% from the 5-year average of 1,030 sales while the 176 condominium sales are just short of the 5-year average of 180 sales.

“We need to keep perspective from month-to-month and even year-to-year that despite what appears sometimes as drop off in sales activity or elevated sales in other instances, our local market remains very stable and resilient to wide fluctuations,” said Chris Dudeck, president of WinnipegREALTORS®. “Our home sale prices as well show a high degree of consistency and this is in part attributable to an economy that is one of the most diversified and stable in Canada.”

One property type which did shine in July was single-attached. It is another affordable housing option for buyers to consider when making their purchasing decision. Single-attached sales in July were up 44% over July 2017 and have increased 3% over the first seven months of 2018 in comparison to the same period last year.

Both new listings being entered on the market in July and the inventory at the end of the month are up over 8%. There are 5,278 MLS® listings available for sale in August.

Year-to-date sales activity is down less than 7% from the same period last year with sales of 7,944 while dollar volume of nearly $2.4 billion is 5% off last year’s record-setting pace.

Price range sales activity for residential-detached properties in July shows the $250,000 to $299,999 price range has the highest percentage of total sales at 19% with the next higher and lower price ranges of $300,000 to $349,999 and $200,000 to $249,999 placing second at 16% each. There is still a wide disparity in the highest and lowest price sales price at $1,665,000 and $38,500 respectively.

Condominium price range sales activity in July shows double-digit price range sales percentages in price ranges from $100,000 to $349,999. The most active price range remains the $150,000 to $199,999 at 29% however not far behind is the $200,000 to $249,999 one at 23%. The highest condo sale price in July was $964,950 with a condo unit selling for $99,000 at the other end of the price spectrum.

“It is evident from looking at the many price ranges, and the significant difference from the lowest to highest sales price, that there are considerable options to choose from with over 5,000 MLS® listings available,” said Dudeck. “The month of August has become one of the more active real estate months for sales, so we can expect many buyers to take advantage of what lies before them.”

An interesting milestone for Manitoba has been noted in the Manitoba Economic Highlights report released monthly by Manitoba Finance. It says that in 2017 the working age population (15-64) went over one million persons for the first time. This growing labour pool enables Manitoba business to draw from it to create more jobs which in turn drive housing purchases and significant economic spin-offs from them.

The latest 2017 Altus Group Report prepared for the Canadian Real Estate Association shows for every MLS® sale in Manitoba, $52,500 is generated in additional economic activity. Direct and indirect employment also results from the purchase and sale of MLS® listings.

“You need to be working with a REALTOR® – a professional who knows how best to advise you on navigating the current real estate market to maximize results,” said Marina R. James, CEO of WinnipegREALTORS®. “Advanced planning and preparation will make it easier for you to get a head start on meeting your home buying and home selling needs.”

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June shows signs of improvement in comparison to 2017

http://www.winnipegrealtors.ca/Resources/PressRelease?fileID=496

Reused by permission of the Real Estate News

WINNIPEG – June sales activity outperformed May this year and usually it is the other way around. This helps explain adjustments that are going on within the local market to account for more stringent mortgage qualifications based on higher interest rates and the federal stress test.

June sales of 1,547 decreased 5% over June 2017 and 1% over the 5-year average for this month.  Listing activity for June increased 1% over the same month last year while the current inventory of 5,206 at month end was up 6%.

June dollar volume of $473 million is down 3% over June 2017 and ahead of all other previous months of June including the best June on record in 2016 of 1,638 sales.

Year-to-date sales activity for the first six months is down 7% in comparison to the same period in 2017 and 2016 but off only 2% from the 5-year average.  Year-to- date dollar volume of close to $2 billion dipped 2% from the same period last year and 1% from the record- setting year of 2016.

“There is no question the federal stress test is suppressing our local market this year,” said Chris Dudeck, president of WinnipegREALTORS®. “However the impact is concentrated far more on the first-time buyers’ market and some buyers looking to move up and purchase their second property.”

In June alone, residential-detached sales under $300,000 decreased 19% over June 2017 while sales over $300,000 showed a 4% gain.

The same can be said for condominiums where very active sales areas like Osborne Village are seeing a noticeable drop in sales for the first six months this year compared to the same period in 2017.

Another indicator of less sales activity in the first half of this year is when you observe the percentage of listings entered on the market that have been sold. Residential-detached listings had a drop in percentage of listings sold from 61% to 56% while condominiums  has gone from 44% of listings sold in 2017 to 40% this year.

As for the properties which are selling this year, average days to sell is slightly better with the average days to sell a residential-detached property at 27 days instead of 28 in 2017. Similarly, the average days to sell a condo is one day quicker in 2018 at 42 days.

There are some clear differences however between residential-detached and condominiums at the half-way point this year. They include listings selling for above list price, the average year-to-date sales price and supply of listings available for sale.

The supply of condo listings relative to monthly demand is over five and one-half months whereas residential-detached is less than two and one-half months.

The number of residential-detached listings selling for above list price for the first six months is 25% while for condominiums it is 9%. The average year-to-date residential –detached sales price is $325,314, a 2% increase over the same period in 2017. For condominiums, its year-to-date average sales price is $240,873, a decrease of less than 1% in comparison to 2017.

Speaking of average sale prices, the chart below shows how the various MLS® zones within Winnipeg and the rural one outside the city are doing this year in comparison to 2017.

Other than the southeast MLS® zone of Winnipeg, where the average residential-detached sales price dropped from $366,288 in 2017 to $359,876 this year, all other zones showed increases with the northeast zone up the most from $248,968 to $287,841.

“When looking at 2018 you cannot understate the fact it is up against the best sales years on record in 2016 and 2017,” said Dudeck. “Considering buyers are being sidelined in many Canadian housing markets to a much greater extent than in Winnipeg , we should remain positive about our results.”

He added, “I cannot stress enough our more affordable housing prices with a wide selection of property types to choose from creates favourable conditions for buyers to purchase a property going into the second half of 2018.”

”All markets across Canada are not the same and vary even within a local market,” said Marina R. James, CEO of WinnipegREALTORS®. “You need to be calling your REALTOR® who has the knowledge and expertise to interpret what your needs are with respect to the current market.”

Since 1903, WinnipegREALTORS® has assisted its members in achieving high levels of excellence in organized real estate by providing superior tools and services that enhance and build a vibrant real estate industry. Representing over 1,900 REALTORS® and other industry related professions active in the Winnipeg metropolitan area, WinnipegREALTORS® promotes the value of a REALTOR® and organized real estate. WinnipegREALTORS® provides its members with essential market information, professional development sessions, networking opportunities, marketing products, an effective industry voice and strong leadership to further their professional success.

The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. The trademarks REALTOR®, REALTORS® and the REALTOR® logo are controlled by CREA and identify real estate professionals who are members of CREA.
For further information, contact Peter Squire at (204) 786-8854.
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May sales decrease 11% from best month ever in May 2017

http://www.winnipegrealtors.ca/Resources/PressRelease?fileID=495

Reused by permission of the Real Estate News

WINNIPEG – May sales were down from the best May and month on record in 2017 when close to 1,700 transactions were processed on WinnipegREALTORS® MLS®.  The 1,510 sales recorded in May 2018 decreased 11% from the same month last year and are down 4% from May’s 5-year average sales numbers and 1% from the 10-year average. Dollar volume of $458.4 million decreased 8% from May 2017.

New listings coming on the market in May decreased less than 2% while inventory at the end of the month increased 3% to 5,103 listings. When broken down into the two main property types of residential-detached and condominiums, inventory sits at 2,750 and 973 respectively. If no new listings were to come on the market this inventory would run out in roughly two and one-half months for residential-detached properties and  five months for condominiums.

“While you cannot hit home runs every year, there are some headwinds facing the market this May that were not in play last year, “said Chris Dudeck, president of WinnipegREALTORS®. “Higher lending rates in tandem with more stringent mortgage qualifying requirements are dampening demand even in our more affordable housing market.  There was also a pull-forward in the spring of 2017 of new residential-detached, condominiums, single-attached and town house property type sales to avoid paying City of Winnipeg impact fees.”

Year-to-date sales of 5,021 are down less than 8% from the two busiest years on record in 2016 and 2017 but slightly ahead of the previous three years from 2013 to 2015. Dollar volume of $1.488 billion is 6% off last year’s $1.58 billion total.

Despite some slowdown in market activity in May and year-to-date, there are positive indicators to report on in May.

Average days to sell in May for residential-detached and condominiums properties were less than four and five weeks respectively. Sales of homes in the $300,000 to $349,999 price range were particularly fast-paced with average days to sell of only 16 days. Condominiums, predominantly new units, sold on average in 17 days in the $350,000 to $399,999 price range.

The average sales price in May in comparison to May 2017 was up modestly too for both residential-detached and condominiums.

An indicator of demand outstripping supply for residential-detached sales for certain MLS® areas was the number of homes selling for above list price reached 28%, a 2 percentage point increase from May 2017.

This reality is borne out by a number of neighbourhoods dispersed throughout Winnipeg which had sales numbers exceeding the number of listings remaining for sale at the end of the month. The same situation does not exist for condominiums with just 9% of condominiums in May selling for above list price. There is a healthy supply of condominium listings available to choose from throughout the Winnipeg Metropolitan Region.

The overall absorption rate for MLS® listings going into June is less than 3 and one-half months however one area to watch for is the build-up in condominium inventory. Condominium inventory is up 10% from last year at close to 1,000 listings.

“Given how there has been more time for both mortgage lenders and buyers to adjust to the new mortgage rule requirements including an modest increase in the Bank of Canada’s five-year benchmark rate, I am hopeful June may be a catch up month and will usher in improved performance in sales activity,” said Dudeck. “It would not surprise me to see June edge out May in sales this year.”

“ A professional REALTOR® is who you should be calling to find out what is your best recourse in terms of what you need to do in navigating our current real estate market”, said Marina R. James, CEO of WinnipegREALTORS®.

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No slow down for downtown Winnipeg growth

http://www.winnipegrealtors.ca/Resources/Article/?sysid=3230

Reused by permission of the Real Estate News

By Geoff Kirbyson

Downtown Winnipeg has come a long way, baby, since a group of protesters formed a human chain around the Eaton’s Building to give it a 40-hour hug back in 2001.

Since then, more than $2 billion has been spent on new construction – including a little facility now called Bell MTS Place where Eaton’s used to stand and where the Winnipeg Jets now play – upgrading heritage buildings and retrofitting office, commercial and retail space in and around the central business district.

The combination has sparked an unprecedented jump in the number of people who not only work downtown but live there, too. Over the last five years, the downtown population has grown by 7 per cent to nearly 17,000.

Trevor Clay, chair of the WinnipegREALTORS commercial division, remembers the days before the new Manitoba Hydro headquarters, the SHED (Sports, Hospitality & Entertainment District) and the Canadian Museum for Human Rights.

“You had office tenants leaving downtown to set up shop in the southwest because companies wanted to go to the suburbs where they had cheap parking and were close to good restaurants. Now some of the best restaurants are downtown and people are going to Bell MTS Place for Jets and Moose games and concerts. There are many reasons to come downtown now,” he said.

In fact, Clay, who is also a principal at Capital Commercial Real Estate Services, a Winnipeg-based commercial brokerage and property management company, believes Winnipeg’s downtown is in as good shape as it’s ever been.

“There’s lots of positive activity and private investment and lots of demand for residential and retail space,” he said.

Clay will be hosting a commercial real estate panel at the WinnipegREALTORS annual Forecast Breakfast, which takes place Feb. 7 at 8:30 a.m. at Canad Inns Polo Park. Much of the focus will be on problems that stakeholders would have begged to deal with just a few years ago.

Chief among them is what kind of impact will the True North Square development, currently rising into the skyline on Hargrave Street, have on the three office towers at Portage and Main?

A number of high-profile tenants, such as Scotiabank and law firm Thompson Dorfman Sweatman, have already announced their intentions to relocate to True North Square when it’s completed this summer.

Clay said while there might be a bit of a lag in filling the soon-to-be-empty space at Winnipeg’s most famous corner, the more pressing issue will be landlords of Class B and C office space upping their games.

“We’re seeing a flight to quality. Tenants in older office, industrial and retail spaces are looking to get into better locations. (Those landlords) are going to have to figure out how to compete in a more competitive market,” he said.

The Forecast Breakfast’s commercial real estate panel includes Paul Jordan, CEO of The Forks North Portage Development, who oversees The Forks; Angela Mathieson, president and CEO of the CentreVenture Development Corp., Winnipeg’s downtown redevelopment agency; Tom Janzen, an associate at Scatliff+ Miller+Murray Inc., a local architecture firm; and Sasa Radulovic, a partner at 5468796 Architecture.

Downtown residents are going to have some company at Winnipeg’s biggest tourist attraction in a few years. Jordan said he and his team are entering the final planning stages to redevelop 12 acres of surface parking lots into condos and apartments.

The first phase will be about 300 units but he hopes there will be five times that many by the time everything is built out.

“Since Day 1 at The Forks, there were always plans to have residential. We’re going to create a European-style village with four to six-storey buildings, great little piazzas and public parks,” he said.

Things will be just as busy over at CentreVenture, where the new three-year business plan will focus on realizing the potential of SHED, particularly around True North Square and the surrounding buildings. Mathieson is also eager to build the downtown population.

“We’re very optimistic about the future. We don’t want the momentum to stall. We need to achieve a high level of affordability downtown. The people with the highest propensity to live downtown are younger and they have less income. It’s a real challenge to have housing at a price point that is affordable for that target market.”

geoffkirbyson@mymts.net

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Solid December closes out a successful year of MLS® sales activity

http://www.winnipegrealtors.ca/Resources/PressRelease?fileID=485

Reused by permission of the Real Estate News

 

 

 

 

 

 

 

 

 

WINNIPEG – A solid result in December of 635 MLS® unit sales and a dollar volume over $179 million capped off a successful year in 2017.

Actual percentage differences in comparison to December 2016 were relatively modest but positive with sales up 3%, dollar volume rising 7% and listings increasing 8%. All MLS® property types performed exceptionally well in December with only residential-detached experiencing a drop of 8% in sales. A total MLS® inventory of 2,851 listings is available for sale as 2018 begins.

2017 finished up strong with a total of 13,525 sales, down less than 1% from the record year of 2016 where 13,632 sales were transacted. A new annual dollar volume record was set in 2017 with $3.92 billion worth of MLS® sales – an increase of close to 4% in comparison to 2016.

When asked for his insight on 2017, outgoing WinnipegREALTORS® president Blair Sonnichsen said, “Considering tougher mortgage qualification requirements were in effect for insured mortgages, two Bank of Canada interest rate increases were brought in, and impact fees were imposed by the City of Winnipeg on new residential development, we are particularly pleased with our MLS® market performance. This indicates to me our REALTORS® worked diligently with mortgage brokers and financial institutions to overcome any challenges clients may have encountered in this regard. REALTORS® as a result were able to conclude nearly as many sales as they did in our record year of 2016.”

A byproduct of 2017 which has been noted before, is the many affordable options available to buyers in the WinnipegREALTORS® market region. It became very apparent early on in 2017 that buyers were making adjustments within certain property type categories or between them to attain their dream of acquiring a place to call home.

“Within the many neighbourhoods of Winnipeg or the outlying rural municipalities in the capital region, buyers made informed choices and took advantage of one of the most affordable residential real estate markets in the country, “said Sonnichsen.

2017 was a year where stronger move up market activity helped offset some drop off in the first-time buyer price ranges for single family homes. One clear example of higher end sales gaining ground over 2016 was the fact there were 45 million dollar plus homes sold in comparison to 30 in 2016. Even condominiums saw a spike in million dollar plus sales with 6 compared to none in 2016.

More move up sales activity in 2017 was a contributing factor in lifting the annual average sale price upward for both residential-detached and condominium property types. The residential-detached average sale price went from $302,726 in 2016 to $315,720 in 2017. The condominium average sale price rose over $9,000 to $244,687 in 2017.

Residential-detached average sale prices for the MLS® zones of Winnipeg and rural municipalities outside the city show price gains over 2016 with only Winnipeg North decreasing slightly.

The southwest zone eclipsed an average sale price of $400,000 in 2017 for the first time. When you have over 300 sales in one MLS® area (Waverley West) in this zone having an average sale price of $546,664 you know it will skew the entire zone’s average sale price higher. This MLS® zone also includes Tuxedo which had an average sale price of $853,378.

Speaking of residential-detached sales in 2017, despite the sales gains noted in higher price ranges, over half of all sales still occur under $300,000 with the busiest price range from $250,000 to $299,999 commanding a total market share of 21%. It is worth noting the $300,000 to $349,999 price range for the first time in 2017 supplanted the $200,000 to $249,999 price range as the second most active price range. The average days on market to sell a home in 2017 was 29 days, 2 days quicker than 2016.

The highest sale price for homes was $2,460,000 with the lowest selling for only $10,000.

The most active price range for condominium sales in 2017 was from $150,000 to $199,999 at 28% of total sales. Another 35% of condo sales occurred fairly evenly in the next two higher price ranges from $200,000 to $249,999 and $250,000 to $299,999. The average days on market to sell a condo in 2017 was 43 days, 4 days quicker than 2016.

The highest sale price for condominiums was $1,575,000 while the lowest was $42,000.

Some other property types did not take a backseat to residential-detached and condominiums in 2017. In fact they outperformed them in terms of sales increases over 2016.

Single-attached properties had a double-digit increase of 12% to finish at 537 sales and a 4% market share. Town houses showed the largest sales increase of them all at 19% while commercial jumped 8%. Residential-detached sales were actually down 2% from 2016 and condominiums which started off the year with high monthly percentage gains over 2016 finished up with an increase under 3%. Condominium sales were only 9 sales short of the annual record set in 2014 when 1,798 sales were transacted on WinnipegREALTORS®’ MLS®.

“What these different property type outcomes illustrate is how important it is to consult with a REALTOR® – your local market expert – on what is happening with respect to your specific property type and how you need to navigate the market to get the best results,” said Marina R. James, CEO of WinnipegREALTORS®.

WinnipegREALTORS® will get into more detail with analysis and explanation of what happened in 2017 when it hosts its 12th Annual Forecast breakfast on February 7, 2018. It will also look ahead to what it expects to happen in 2018 with new federal mortgage lending guidelines, the potential of more Bank of Canada interest rate increases and municipal elections.

“One real strength of our local market is its stability,” said Sonnichsen. “As we embark on a new year I believe Manitoba’s resilient and diversified economy will once again help us meet the headwinds which may pose a challenge to us in 2018.”

 

 

 

 

 

 

 

 

 

 

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Economic benefits of home sales and purchases

Reused by permission of the Real Estate News

October 27, 2017 : http://www.winnipegrealtors.ca/Resources/Article/?sysid=3116

by Peter Squire

On average, each MLS® systems home sale in Canada generated $61,600 in ancillary spending, according to an impact study by the Altus Group.

The study on home sales and purchases covered the period from 2014 to 2016.

The Altus Group also did a study on government revenues related to MLS® systems home sales and purchases, which showed that $11.1 billion is collected each year in taxes at the federal, provincial and municipal levels.

Historically low interest rates, combined with steady economic and employment growth, resulted in the economic impact of housing transactions increasing over the previous study, according to the Altus Group.

Not all markets across the country experienced similar activity. A case in point is the decline in oil prices negatively impacting sales activity in Saskatchewan, Alberta and Newfoundland and Labrador.

Conversely, Ontario and British Columbia performed exceptionally well, with significantly higher home sales.

The average home sale result of $61,600 in ancillary spending included spending by purchasers on items other than the actual home and land, and expenditures by owners in preparation of selling their home. Total ancillary spending averaged $31.1 billion annually, a major contribution to the Canadian economy. This total was based on an average of 504,538 homes changing hands annually from 2014 to 2016. These sales also created 220,065 direct and indirect jobs annually across Canada.

In breaking down ancillary spending, next to all the professional services, the highest generator of spending came from renovations. Professional services represented $22,125 of the $61,600 total amount generated, while renovations generated $17,975. Still having a high impact were furniture and appliances at $8,200.

Interestingly, when you break out expenditures generated by the average housing transaction in the Prairies, renovations was slightly higher than professional services at $18,850. Furniture and appliance expenditures were also higher than the national average at $9,550.

Given the older housing stock in Manitoba, relative to Saskatchewan and, especially, Alberta, the difference in Manitoba is likely greater for renovations over professional services.

This is a good news story, not only for the economy and job creation, but for renewing and extending the shelf life of older housing stock. With the increase in Manitoba’s population, and expectations for this trend to continue for years to come, meeting the new and existing need for proper housing accommodation is critical.

New housing starts are not enough to meet the increased demand in Manitoba. And, of course, many first-time buyers can only afford and qualify for an older home.

The average annual spin-off benefit of MLS® activity is broken down by provinces. For Manitoba, it represents $741 million or $52,500 per transaction. This activity translates to 6,300 direct and indirect jobs created in Manitoba.

As a group, finance, insurance and real estate made up the largest share of jobs generated across the country, with construction a very close second. Trades and professional services have an equal percentage share in third place.

Manitoba had the second highest proportion of total indirect jobs created. A number of these jobs were created in manufacturing and other service sectors.

Spending on retail goods and services, as well as professional services, generated an average of $2.3 billion in federal and provincial sales taxes, as well as $3.1 billion in land transfer tax revenues each year.

Direct and indirect jobs created by MLS® sales produced $2.2 billion in federal and provincial income taxes and $746 million in payroll taxes.

By far, the biggest share of revenue generated for municipal governments came from the sale of newly-built homes on MLS® systems. The total was $1.1 billion and included municipal fees, levies and taxes, encompassing a broad cross-section of municipal infrastructure charges and land dedication fees.

The estimated total amount of government revenue generated by the MLS® system housing transactions in Manitoba was $212.8 million.

 

© WinnipegREALTORS®. All rights reserved. MLS®, Multiple Listing Service®, and all related graphics are trademarks of The Canadian Real Estate Association. REALTOR®, REALTORS®, and all related graphics are trademarks of REALTOR® Canada Inc. a corporation owned by The Canadian Real Estate Association and the National Association of REALTORS®.
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WinnipegREALTORS® has highest third quarter sales on record

Reused by permission of the Real Estate News

September 2017 Press Release: http://www.winnipegrealtors.ca/Resources/PressRelease?fileID=472

WINNIPEG – September sales of close to 1,200 processed through WinnipegREALTORS® MLS® System closed off the third quarter with a record total of 3,916 sales, just ahead of the previous best third quarter in 2016.

September sales of 1,193 were down less than 2% from September 2016, the highest level of sales for the month of September in WinnipegREALTORS® 114-year history. The impressive third quarter sales activity moves total MLS® sales to just 11 sales shy of 11,000, the new benchmark sales level established in 2016 for the first three quarters.
“Our sales activity this year has kept pace with record-setting sales in 2016” said Blair Sonnichsen. “Our more affordably-priced housing options in our local real estate market have been instrumental in enabling buyers to successfully conclude a purchase this year.”
One of those options includes purchasing a property outside Winnipeg as the outlying rural municipalities have experienced growth in total market share over the past few years.  In September alone rural residential-detached sales represented 28% of total sales.
This year-to – date breakdown chart of all residential-detached sales in Winnipeg and the rural municipalities shows the latter represents 26% of total sales. Steinbach is the most active MLS® area of all MLS® areas WinnipegREALTORS® tracks every year with 365 sales in the first nine months.
“Our capital region has been growing at a more rapid pace than the City of Winnipeg and that is being reflected in our residential-detached sales,” Sonnichsen said.
When it comes to condominium sales Winnipeg is far more dominant compared to outside the city and Osborne Village remains the premier MLS® area with 132 sales. Of note this year is the emergence of the downtown in second place with 92 sales -14 of them occurred in September.
Backing up WinnipegREALTORS® contention that real estate is more affordable than in most other major markets across the country was the recent release of RBC’s Housing Affordability Measures 2017 second quarter report. In stating housing markets such as ones in the Toronto area are eroding Canada’s affordability to its worst level since 1990, it shines a light on Winnipeg saying its “neutral affordability conditions continue to support brisk housing activity. Home resales in the area are on pace to equal, if not surpass, last year’s record high”. It goes on to say Winnipeg’s housing affordability is “very close to its long-run average”.
“REALTORS® are well informed market experts who can show you all the affordable housing options which exist in Winnipeg and the capital region,” said Marina R. James, CEO of WinnipegREALTORS®.
Going into the fourth quarter listing supply remains balanced overall however there are differences within WinnipegREALTORS® market region and between the various property types.
The most active price range for residential-detached sales in September was from $250,000 to $299,999, 22% of total sales. 55% of all residential-detached sales in September were priced under $300,000. The highest priced residential-detached property sold was $1,451,000 while the lowest was $22,000.
Condominium sales activity was most active in the $150,000 to $199,999 price range at 27% of total sales. 77% of all condominiums in September sold for under $300,000. The highest condo sales price was $560,000. The lowest-priced one was $49,500.
Established in 1903, WinnipegREALTORS® is a professional association representing just over 1,900 real estate brokers, salespeople, appraisers, and financial members active in the Greater Winnipeg Area real estate market. Its REALTOR® members adhere to a strict code of ethics and share a state-of-the-art Multiple Listing Service® (MLS®) designed exclusively for REALTORS®. WinnipegREALTORS® serves its members by promoting the benefits of an organized real estate profession.
The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. The trademarks REALTOR®, REALTORS® and the REALTOR® logo are controlled by CREA and identify real estate professionals who are members of CREA.
For further information, contact Peter Squire at (204) 786-8854.
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