Understanding real estate inventory levels, or Months of Inventory (M.O.I.), is crucial because it can significantly influence your decision when buying or selling property. It is important to grasp the reasons behind its importance in the real estate landscape.
SUMMARY!
In central Alberta, the inventory of homes for sale shows varied trends across different communities. In the largest community, the inventory has seen a slight increase. Among the smaller communities, three experienced an increase in inventory, while five saw a decrease. These changes are minimal, making it difficult to conclude if the market is softening. And with 5 of 9 communities showing a slight decrease in inventory, the region will remain in a seller’s market for awhile still.
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To foster “normal growth” in a real estate market, it’s essential to maintain months of inventory (M.O.I.) rates below the 5-month range. Please scroll down for this month’s inventory rates across Central Alberta.
When engaging in property transactions, it’s crucial to factor in local inventory statistics. This stands as paramount real estate information, particularly if you’re contemplating selling your home. In situations where months of inventory are high, prices tend to remain stable or decrease. Conversely, in low-inventory scenarios, homes are likely to sell swiftly, leading to an increase in prices.
(Seller’s market) with an inventory rate below 3.9 months-of-inventory
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(Balanced market) with inventory between 3.9-4.2 months-of-inventory
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(Buyers market) level A (4.3 – 5.9 months of inventory)
(Buyer market) level B (6 – 7.2 m.o.i.)
(Buyers market) extreme (7.3+ m.o.i.)
Here are the overall for-sale inventory levels in Red Deer and towns across Central Alberta. The average number of homes sold monthly is calculated based on the last 60 days of sales.
Red Deer, AB (inventory of detached homes)
| Date 2023/2024 | Jan 2 | Feb 1 | Mar 5 | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 113 | 122 | 116 | 108 | 130 | 160 | 173 | |||
| avg # of homes selling ea. month | 67.5 | 52.5 | 64 | 102 | 125 | 132 | 130 | |||
| M.O.I. in Red Deer | 1.7 | 2.3 | 1.8 | 1.06 | 1.04 | 1.2 | 1.3 |
Red Deer, Ab (for sale inventory overall)
| Date 2023/24 | Jan 2 | Feb 1 | Mar 5* | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 169 | 184 | 184 | 180 | 204 | 233 | 241 | |||
| avg # of homes selling ea. month | 108.5 | 89 | 106 | 170 | 195 | 205 | 205 | |||
| M.O.I. in Red Deer | 1.6 | 2.1 | 1.7 | 1.06 | 1.05 | 1.14 | 1.17 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
*Before February 2024 inventory data was from detached home sales only, now each month inventory will be posted based on homes for sale inventory overall in each community. Red Deer data will include the overall inventory and the detached home inventory.
The for-sale inventory increased a little this past month, will it continue?
Sylvan Lake, AB (for sale inventory overall)
| Date 2023/2024 | Jan 2 | Feb 1* | Mar 5* | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 30 | 76 | 79 | 96 | 79 | 93 | 73 | |||
| avg # of homes selling ea. month | 11 | 22.5 | 37 | 48 | 57.5 | 55.5 | 55.5 | |||
| M.O.I. in Red Deer | 2.7 | 3.4 | 2.1 | 2 | 1.4 | 1.7 | 1.3 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
*Before February 2024 inventory data was from detached home sales only, now each month inventory will be posted based on homes for sale inventory overall in each community.
Low inventory in Sylvan might continue as more Red Deer buyers search communities nearby.
Penhold/Springbrook, Ab (for sale inventory overall)
| Date 2023/2024 | Jan 2 | Feb 1* | Mar 5* | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 5 | 13 | 18 | 15 | 13 | 13 | 14 | |||
| avg # of homes selling ea. month | 6 | 5.5 | 3.5 | 11.5 | 12.5 | 18.5 | 16.5 | |||
| M.O.I. in Red Deer | 0.8 | 2.4 | 5 | 1.3 | 1.04 | 0.7 | 0.8 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
*Before February 2024 inventory data was from detached home sales only, now each month inventory will be posted based on homes for sale inventory overall in each community.
Listings are low and sales are up. This happens when inventory is low enough long enough in the larger communities nearby.
Blackfalds, AB (for sale inventory overall)
| Date 2023/2024 | Jan 2 | Feb 1* | Mar 5* | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 19 | 32 | 24 | 15 | 18 | 23 | 31 | |||
| avg # of homes selling ea. month | 9.5 | 11.5 | 14.5 | 23.5 | 21.5 | 25 | 27 | |||
| M.O.I. in Red Deer | 2 | 2.8 | 1.7 | 0.6 | 0.8 | 0.9 | 1.14 |
SELLER’S MARKET) with an inventory rate below 3.9 months!
*Before February 2024 inventory data was from detached home sales only, now each month inventory will be posted based on homes for sale inventory overall in each community.
This is likely spillover from the Red Deer market causing more buyers to hunt outside of Red Deer
Lacombe, AB (for sale inventory overall)
| Date 2023/2024 | Jan 2 | Feb 1* | Mar 5* | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 16 | 33 | 30 | 30 | 33 | 42 | 39 | |||
| avg # of homes selling ea. month | 7.5 | 10.5 | 14.5 | 17.5 | 23.5 | 25.5 | 27.5 | |||
| M.O.I. in Red Deer | 2.1 | 3.1 | 2.1 | 1.7 | 1.4 | 1.6 | 1.4 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
*Before February 2024 inventory data was from detached home sales only, now each month inventory will be posted based on homes for sale inventory overall in each community.
Lacombe, Ab inventory has decreased a little this past month.
Innisfail, AB (for sale inventory overall)
| Date 2023/2024 | Jan 2 | Feb 1* | Mar 5* | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 16 | 28 | 22 | 16 | 18 | 21 | 21 | |||
| avg # of homes selling ea. month | 3 | 3 | 8 | 18 | 14 | 14.5 | 18 | |||
| M.O.I. in Red Deer | 5.3 | 9.3 | 2.8 | 0.9 | 1.3 | 1.4 | 1.2 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
*Before February 2024 inventory data was from detached home sales only, now each month inventory will be posted based on homes for sale inventory overall in each community.
Spillover from the Red Deer market causing more buyers to hunt outside of Red Deer
Rocky Mountain House (for sale inventory overall)
| Date 2023/2024 | Jan 2 | Feb 1* | Mar 5* | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 15 | 24 | 30 | 40 | 35 | 34 | 23 | |||
| avg # of homes selling ea. month | 4.5 | 3.5 | 4.5 | 7.5 | 11 | 18.5 | 19.5 | |||
| M.O.I. in Red Deer | 3.3 | 6.9 | 6.7 | 5.2 | 3.2 | 1.8 | 1.2 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
*Before February 2024 inventory data was from detached home sales only, now each month inventory will be posted based on homes for sale inventory overall in each community.
A real change of pace in Rocky after being a buyer’s market only 2 months ago.
Ponoka, AB (for sale inventory overall)
| Date 2023/2024 | Jan 2 | Feb 1* | Mar 5* | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 13 | 20 | 22 | 32 | 33 | 26 | 30 | |||
| avg # of homes selling ea. month | 6 | 7.5 | 8.5 | 12 | 14.5 | 21.5 | 21 | |||
| M.O.I. in Red Deer | 2.2 | 2.7 | 2.6 | 2.7 | 2.3 | 1.2 | 1.4 |
SELLER’S MARKET) with an inventory rate below 3.9 months!
*Before February 2024 inventory data was from detached home sales only, now each month inventory will be posted based on homes for sale inventory overall in each community.
Inventory levels drop again in Ponoka but keep in mind, these inventory numbers are low!
Stettler, AB (for sale inventory overall)
| Date 2023/2024 | Jan 2 | Feb 1* | Mar 5* | Apr 17 | May 21 | June 24 | July 15 | |||
| properties currently for sale | 21 | 30 | 24 | 24 | 26 | 25 | 24 | |||
| avg # of homes selling ea. month | 4 | 5 | 8 | 9 | 12.5 | 15.5 | 15 | |||
| M.O.I. in Red Deer | 5.3 | 6.4 | 3 | 2.7 | 2 | 1.6 | 1.5 |
SELLER’S MARKET) with an inventory rate below 3.9 months!
*Before February 2024 inventory data was from detached home sales only, now each month inventory will be posted based on homes for sale inventory overall in each community.
Stettler is far enough from Red Deer where spillover might not be the case. Let’s see what happens in the next 6 months.
Homes can sell in any market but the crucial factor is pricing. If you list your property even slightly too high, it risks lingering on the market indefinitely, especially if home prices aren’t increasing. Allowing your home to remain ‘for sale’ for months can have a detrimental impact on its current and future value.
Blake King manages iOnRealEstate.ca, catering to Central Albertans eager to stay informed about the local real estate market. Access to more information enhances decision-making, and when dealing with an asset as significant as your home, it becomes crucial to strive for the best possible decisions!
Blake King
Big Earth Realty
(403) 350-7672
