January 2023 Regina Real Estate Market Update

Regina Real Estate Market Update January 2023



In 2022, we saw a 12% decline in residential sales in Saskatchewan due to a decrease in detached home sales, despite an increase in apartment condominium sales. Although sales have slowed compared to the previous year, which was a record-breaking year, the 15,334 recorded sales in 2022 were still 15% higher than the long-term average. Despite changes in demand in markets across the country, Saskatchewan has continued to report strong sales compared to pre-pandemic levels.

“Without question, higher lending rates are contributing to the pullback in sales. We saw the Bank of Canada raise interest rates seven times in 2022,” said Saskatchewan REALTORS® Association CEO Chris Guérette. “When paired with declining inventory levels, particularly in homes priced below $500,000, we do see that having an impact on sales.”

There were 25,089 new listings in 2022, a 7% decrease from the previous year and below long-term trends. The decline in inventory, particularly in properties priced below $500,000, led to tight conditions in the lower-priced segment of the market. After experiencing strong growth in the spring, benchmark prices began to level off towards the end of the year. Although some regions have reported a decrease in prices recently, home prices in Saskatchewan increased on an annual basis, with overall benchmark prices in 2022 being over 4% higher than the previous year.

“The housing market is changing as consumers adjust to higher lending rates and rising costs of living. That said, Saskatchewan continues to fare better than many regions across the country and we expect that to continue in 2023” said Guérette. “With prospective buyers having to qualify at higher rates, our biggest concern heading into the new year is the lack of supply in homes priced below $500,000.”

City of Regina

In December, there was a decline in sales in the city of Regina, which contributed to a year-to-date decrease of 3%. This decline was primarily due to a decrease in detached home sales, while other categories saw an improvement in activity. Although total residential sales in 2022 were lower than the record-breaking sales in 2021, there were still 3,609 sales, which is 23% higher than the long-term average and significantly higher than pre-pandemic levels.

New listings and inventory levels also decreased in 2022, with the biggest decline being in properties priced below $500,000. The changes in sales and supply caused an increase in the months of supply compared to earlier in 2022. This eased some pressure on prices, especially in the fourth quarter of 2022, but the benchmark price still increased by more than 3% over the year.

Data and quotes from SRA (Saskatchewan REALTORS® Association).

Regina Real Estate Market Update January 2023

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