Edmonton home sales drop, time on market grows as real estate cools

WATCH: Realtors say we’re in a buyers' market – a drastic change from just a few months ago. As Morgan Black reports, Edmonton recorded its first large drop in the real estate market in a long time.

After a hot couple of months, Edmonton recorded its first large decrease in the real estate market in July.

According to the Realtors Association of Edmonton (RAE), home sales dropped 23.8 per cent in July from June of this year, and saw a year-over-year drop of 10.3 per cent from July 2021.

Single-family home sales were down 12.4 per cent from July 2021 and 24.4 per cent from June 2022.

Condo sales fell 1.6 per cent from July 2021 and 22.1 per cent from June 2022, while duplex/rowhouse sales dropped 12.7 per cent year-over-year and 21.3 per cent from last month.

“This is the first time this year that we’ve seen such large decreases in our month-over-month statistics in the Edmonton real estate market,” said Paul Gravelle, board chair for the RAE.

And Gravelle says the market hasn’t bottomed out yet.

“Although July is typically a slower month for real estate due to holidays, we expect to see a continued downward trend as we get closer to the start of fall,” he said.

Listed homes are sitting longer and selling for less, too.

Single-family homes averaged $489,370 — a five per cent year-over-year increase, but a month-over-month drop of one per cent. Those homes are sitting an average of 33 days on the market, six days longer than in June.

Condominiums sold for an average of $229,463, seeing a small decrease of 4.4 per cent year-over-year and 3.7 per cent compared to June 2022. Those are taking an average 52 days to sell, five days longer than the previous month.

Higher interest rates are being blamed for a slowdown in real estate markets across the country.

In Toronto, July sales fell 47 per cent from the same time last year and 24 per cent from this past June.

Residential home sales in Metro Vancouver saw more than a 40 per cent decrease, comparing July 2021 to this year and a nearly 25 per cent drop in just one month.

© 2022 Global News, a division of Corus Entertainment Inc.

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