Normally I post the monthly average residential home price for Red Deer along with the 4 and 12-month running averages. However, over the last two months, I made a mistake by using all types of real estate sales in the average rather than only residential. By including all real estate sold in Red Deer you’ll have noticed the monthly data was skewed a bit from the previous months where I only used Red Deer residential data.
Because I posted the May and June stats incorrectly I am correcting both and including them below with the July averages (to the right). This way you can have a better look at how the average price change over the last couple of months.
Prior to May both the 4 and 12-month averages had been increasing monthly since December and you can see to the right that’s prices have continued to increase with only the 4-month average in June dropping a little because the monthly average dipped.
The monthly price average can be more volatile in a smaller market because it takes only one or two exceptionally higher-priced homes to sell to skew it.
That’s why the 4-month and 12-month averages give a better indication of the general direction in which the market is changing. And, in 2021 prices have trended upward.
The data might be fun to look at if you like that sort of thing but to make things simpler I’ll summarize what’s happened with the average price this year below.
Often I’m asked if prices have gone up or down and over that last decade changes have been slow. However, since Covid-19 started we’ve seen some changes.
Red Deer’s last price peak happened around mid-2015 where the average residential home price was approx $346,850. Following that peak prices gradually fell to almost a decade low average of $308,387 near the end of 2019 and a drop of 11%.
Since then prices have rebounded back a bit and by the end of 2020, shortly after the pandemic began the average residential home price had climbed 2.4% to approx $315,836 and now, almost a year later, in the 3rd quarter of 2021 the average home price in Red Deer is $341,618, up 10.8% since the decade low.
Check back at the start of September to see if we’re able to beat the mid-2015 average.