January 2022 - Housing Market Update

As the first month of the New Year comes to an end, we are able to get a better look at how Saskatchewan’s housing market is fairing with low inventory. January inventory levels are the lowest they have been since 2012. Saskatchewan Realtors® Association’s CEO, Chris Guérette, states that if the number of New Listings continues to improve relative to Sales, it should eventually translate into improved supply and a healthier market balance.

Although Sales have dropped by 18.3% to 748, compared to last January, everything is relative as the price compared to last January has risen 7.0% to $285,700. The biggest worry for Saskatchewan’s Housing Market will be the consistent drop in Inventory as even the 10-Year Average Spread has dropped a significant 24.5%. Compared to last January, it has dropped 13.4% to 5,302. The SRA noted that they have been “… working to gain a better understanding of the factors affecting housing supply in Saskatchewan. Everything from labour and supply shortages to land costs, lending rate increases, the pandemic and remote work, along with increased immigration and economic growth.” With further knowledge of why housing supply has dropped so significantly, optimistically, there will hopefully be a solution to a better market balance.

As for the Regina Region, Sales, News Listings, Inventory, and Month of Supply have all dropped a significant amount. Compared to January 2021, Sales have dropped by nearly 15% to 189 and the New Listings have dropped by 6.2% to 361. Even though New Listings have dropped compared to last January, they have significantly risen by 130 to 361 compared to December 2021. So with all of this being said, low housing inventory is favourable to those selling and the relatively stable interests rates make for a great time to buy as well!