PRESS RELEASE
May 19
BEST APRIL ON RECORD
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MLS® Sales Up 8%; Dollar Volume Rises 28%
Winnipeg – The Winnipeg real estate market in April was impressive with the highest sales and
dollar volume ever for this month of the year. New listings were solid too as increased 6% over
last year and are up 30% going back to 2003 when Winnipeg’s bull-market began in earnest.
Dollar volume is the highest it has ever been for the first four months of the year with over $700
million in MLS® sales activity.
April MLS® unit sales of 1,355 and a dollar volume just shy of $273 million make April 2008
the best on record. April sales were up 8% (1,355 / 1,248) while dollar volume spiked 28%
($272.7 million / $212.1 million) in comparison to the same month last year. Year-to-date
MLS® sales are down only 1% (3,689 / 3,740) while dollar volume continues its annual recordbreaking
pace with an increase of 17% ($701.4 million / $600.8 million).
“What is most encouraging is the welcome influx of new listings onto MLS® this past month”,
said Darlene Clare, President of the WinnipegREALTORS® Association. “Close to 1,900
listings were entered and that is the highest total we have had for April in ten years.”
“Of course, with more listings and demand remaining brisk, the equivalent of 3 out of 4 new
listings were sold in April,” said Clare. “As a result, WinnipegREALTORS® had its first April
where MLS® sales eclipsed 1,300. Dollar volume is over double what it was for this month in
2004 ($272.6 million vs. $124.4 million).
“This record-setting month for April brings our year-to-date sales up almost to 2007 for the same
time period and dollar volume to a level a few percentage points higher than what we predicted it
would be in our 2008 forecast,” added Clare. “True to what we have been saying all year, our
local market is buttressed by solid economic fundamentals and positive consumer sentiment.
Despite the gloom and doom headlines down south, Manitobans realize real estate is a good
investment here.”
For residential detached sales, the most active segment of the MLS® market was the $160.000 to
$199,999 with 22% of the total sales. Next busiest is the over $300,000 price range at 17%. The
under $100,000 price range has free fallen to the point where they represent less than 10% of the
total sales.
Rising housing values and lack of inventory challenge first-time buyers, says RE/MAX
“Homeownership continues to be primary objective”
While higher housing values and tight inventory levels have hampered home-buying activity so far this year, longer
amortization periods and alternative housing types have offset the impact on most major markets across the
country, according to a report released today by RE/MAX.
Despite a higher degree of frustration in the marketplace than in previous years, the RE/MAX Affordability Report
found that first-time buyers, in particular, remain steadfast in their determination to purchase a home. In fact, entrylevel
purchasers are adjusting their expectations by sacrificing size, location, and even long-term financial freedom,
to overcome challenges such as rising prices and serious supply issues. Innovative financing has become key to
homeownership in today’s environment – with longer amortization periods gaining favour in 62 per cent of the
major centres surveyed. Low or no down payments were popular with first-time buyers in 38 per cent of markets.
First-time purchasers continue to play a pivotal role at both a local and national level. The impact they have on the
housing market is significant, as they are the impetus for sales in the mid-to-upper price ranges. As long as this
segment of the market remains healthy, the real estate outlook will continue to be favourable.
Inventory levels, however, remain one of the foremost concerns facing purchasers across the country. A shortage
of available entry-level product was identified as a major obstacle impeding buyer intentions in three-quarters of
markets surveyed in the report, including St. John’s, Moncton, Fredericton, Halifax-Dartmouth, Ottawa, Greater
Toronto Area, Hamilton-Burlington, Niagara Falls, Winnipeg, Regina, Saskatoon, Greater Vancouver, Victoria and
Kelowna.
Doom and gloom reports coming from south of the border have yet to hinder overall momentum. First-time buyers
are still leading the charge, taking advantage of every resource available to achieve homeownership. They’re
determined to get into the market sooner rather than later. If suburban locations, smaller condominiums and town
homes, or a little sweat equity is what it takes to get into the market, these purchasers are game.
Although average price is the barometer for housing values in most major centres, first-time buyers looking to
achieve homeownership consider starting prices a more meaningful gauge of affordability. Starting prices can be
substantially lower than the market average. For example, average price has surpassed the $600,000 benchmark
in Greater Vancouver, while the starting price for a detached home can hover as low as $237,500 in the peripheral
areas.
The best value for the dollar continues to be found in the suburbs. For those unwilling to sacrifice on location,
small condominium units in new developments and condominium conversions of rental buildings offer up the next
best alternative. Condominium conversions in some of the country’s major centres can be picked up as low as
$150,000 to $175,000.