Red Deer home sales slowed substantially after the active first half of 2022 but it’s interesting to see what happened overall.
It was a race to the end in the Red Deer real estate market. Home sales numbers began a bit of a downward trend mid-year and it continued through the end of the year. It’s important to remember though, 2021 was a very active year. It was inevitable that 2022 would have a tough job competing as interest rates climbed.
Detached homes
In 2021, every month detached home sales were higher than they were in 2020. 2022 started strong with 4 of the first 6 months showing higher sales than in 2021. But that changed when 5 of the last 6 months showed lower sales than in 2021.
In December detached home sales were 50% lower than December 2021’s numbers. And overall, detached home sales in 2022 were 5.5% lower than in 2021.
At the start of the year, there were still buyers trying to purchase before interest rates increased more. And buyers wanting into the market before rates increased found prices had also climbed over the last year. Because of higher rates and higher prices, we saw an increase in sales for homes other than detached.
Attached homes
Every month of 2022 showed higher attached home sale numbers until December. 4 of the first 11 months of 2022 had attached homes sales up more than 50%. And march 2022’s attached home sales were 71% higher than March 2021. However, December attached home sales were 51% lower than 2021’s but that still allowed attached home sales in 2022 to close 30% higher than they were in 2021.
Overall home sales in Red Deer
Detached home sales closed 5.5% below 2021 numbers and attached homes closed 30% higher. With attached homes showing much higher than normal sales in 2022, 2022 closed with total home sales 3% higher than 2021’s total.
It’ll be interesting to see what home sales do in 2023. I think 2023 home sales will be lower than in 2022 but I don’t think it will be a lot slower. There will still be buyers hoping to buy before rates climb higher and there’ll be buyers accepting current rates like they’re not that bad.
When we see changes in the market it’s interesting to see where they will take us next. Know your market. Check-in at iOnRealEstate.ca often.
Hosted by Blake King Realtor® and Big Earth Realty. Blake continually monitors the Red Deer and Central Alberta real estate market to track changes and watch trends so he can help his clients make the most informed decisions, buying or selling. If you want to learn more about how local market stats impact your next real estate transaction call or email Blake anytime (403) 350-7672 or hello@blakeking.ca
