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!
Two of the ten communities I monitor each month are experiencing a decline in homes for sale, tightening inventory. At the same time, home sales are rising as we enter the spring market, when demand typically increases. If this trend continues—low supply and high demand—home prices are likely to climb even further, making it an even more competitive market for buyers.
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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 buying or selling property, it’s important to consider local inventory levels. This is key information, especially if you’re thinking of selling your home. If there are many homes for sale, prices usually stay the same or go down. But if there are fewer homes available, they tend to sell quickly, which can drive prices up.
(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 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 115 | 107 | 75 | 85 | 91 | 110 | ||||||
| avg # of homes selling ea. month | 84 | 74.5 | 48.5 | 57 | 76.5 | 89.5 | ||||||
| M.O.I. in Red Deer | 1.4 | 1.4 | 1.6 | 1.5 | 1.2 | 1.2 |
Red Deer, AB (for sale inventory overall)
| Date 2023/2024 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 158 | 140 | 103 | 127 | 138 | 170 | ||||||
| avg # of homes selling ea. month | 137.5 | 119 | 83 | 91.5 | 128 | 145 | ||||||
| M.O.I. in Red Deer | 1.2 | 1.2 | 1.2 | 1.4 | 1.1 | 1.2 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
Homes for sale inventory remains low as we start the spring market in Red Deer, AB.
Sylvan Lake, AB (for sale inventory overall)
| Date 2023/2024 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 60 | 140 | 42 | 53 | 61 | 85 | ||||||
| avg # of homes selling ea. month | 39.5 | 30.5 | 25 | 25 | 30.5 | 36 | ||||||
| M.O.I. in Red Deer | 1.5 | 1.8 | 1.7 | 2.1 | 2 | 2.4 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
Inventory correction, Sylvan Lake inventory really grows in the spring and summer.
Penhold/Springbrook, Ab (for sale inventory overall)
| Date 2023/2024 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 14 | 9 | 6 | 7 | 7 | 10 | ||||||
| avg # of homes selling ea. month | 12.5 | 8.5 | 6 | 3.5 | 6 | 7.5 | ||||||
| M.O.I. in Red Deer | 1.2 | 1.1 | 1.0 | 2 | 1.2 | 1.3 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
Very low inventory in Penhold/Springbrook, with higher sales spilling over from the Red Deer market.
Blackfalds, AB (for sale inventory overall)
| Date 2023/2024 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 29 | 29 | 22 | 30 | 33 | 46 | ||||||
| avg # of homes selling ea. month | 27 | 20.5 | 14 | 12.5 | 18.5 | 28 | ||||||
| M.O.I. in Red Deer | 1.1 | 1.4 | 1.6 | 2.4 | 1.8 | 1.6 |
SELLER’S MARKET) with an inventory rate below 3.9 months!
Low inventory in Red Deer spills over to Blackfalds.
Lacombe, AB (for sale inventory overall)
| Date 2023/2024 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 53 | 47 | 43 | 28 | 37 | 39 | ||||||
| avg # of homes selling ea. month | 22 | 17.5 | 13 | 17.5 | 17.5 | 14 | ||||||
| M.O.I. in Red Deer | 2.4 | 2.7 | 3.3 | 1.6 | 2.1 | 2.8 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
The number of homes for sale increases more in Lacombe.
Innisfail, AB (for sale inventory overall)
| Date 2023/2024 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 16 | 13 | 12 | 9 | 23 | 22 | ||||||
| avg # of homes selling ea. month | 11.5 | 9.5 | 7.5 | 5.5 | 6 | 9.5 | ||||||
| M.O.I. in Red Deer | 1.4 | 1.4 | 1.6 | 1.6 | 3.8 | 2.3 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
Innisfail’s inventory was balanced in March but shrank again in April.
Rocky Mountain House (for sale inventory overall)
| Date 2023/2024 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 19 | 12 | 8 | 14 | 13 | 13 | ||||||
| avg # of homes selling ea. month | 8 | 8 | 7.5 | 6 | 8 | 8.5 | ||||||
| M.O.I. in Red Deer | 2 | 1.5 | 1.1 | 2.3 | 1.6 | 1.5 |
(SELLER’S MARKET) with an inventory rate below 3.9 months!
Low inventory heading into the spring market.
Ponoka, AB (for sale inventory overall)
| Date 2023/2024 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 28 | 27 | 18 | 12 | 12 | 21 | ||||||
| avg # of homes selling ea. month | 13 | 11 | 6 | 7.5 | 9 | 8 | ||||||
| M.O.I. in Red Deer | 2.2 | 2.5 | 3 | 1.6 | 1.3 | 2.6 |
SELLER’S MARKET) with an inventory rate below 3.9 months!
The market is looking better as more homes enter the real estate market in Ponoka, Ab
Stettler, AB (for sale inventory overall)
| Date 2023/2024 | Nov 05 | Dec 09 | Jan 07 | Feb 17 | Mar 11 | Apr 8 | June | July | Aug | Sept | Oct | Nov |
| properties currently for sale | 27 | 24 | 23 | 20 | 16 | 21 | ||||||
| avg # of homes selling ea. month | 6.5 | 11 | 7.5 | 5 | 5.5 | 6.5 | ||||||
| M.O.I. in Red Deer | 4.2 | 3.7 | 3.1 | 4 | 2.9 | 3.2 |
SELLER’S MARKET) with an inventory rate below 3.9 months!
The market is looking better as more homes enter the real estate market in Stettler, Ab
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 harm 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