Home prices recover quicker than expected. In June sales were higher than June 2019 and now the average home sale price in Central Alberta has also normalized.
The average home sale price in Central Alberta fell in April when COVID-19 restrictions and nobody knew how long it might take to see things recover. I predicted with the economic uncertainty we’d see lower sale numbers and prices for 12-24 months.
However, in June both sales numbers normalized and so has the average home sale price. In June 2019 the average home sale price was $336,105 and last month, June 2020, it was $332,417. That’s a pretty impressive recovery in a short time period after facing so much uncertainty.
Is the June 2020 data enough information to believe the market has fully recovered? I don’t think it is. We might just be witnessing the aftereffect of the delayed home sales over April and May. April and May’s stats were low because a large portion of people put their real estate plans on hold. Nobody knew what would happen with the real estate market but nobody thought they’d see home prices recover this quick.
The higher numbers in June may just be due to everyone who had waited, now making a move. Like always it will be interesting to see what happens with our local real estate market through the remainder of 2020. Check back in at iOnRealEstate.ca to see what happens.