This trend might be reversing very soon, however
The average value of Regina’s homes has suffered a roughly 13% drop since 2015, according to data from the Canadian Real Estate Association.
From the $286,700 level seen in January 2015, Regina’s benchmark home price across all housing types declined to $249,800 as of this January. During this five-year interval, the peak was established on May 2016, with a $304,200 benchmark.
To compare, Saskatoon home values saw a drop of around 9% over the same time frame, from the $312,800 in January 2015 to $286,500 in January 2020.
Both markets continue to struggle with less-than-stellar activity levels, however.
“Ample supply across the Prairies and in Newfoundland and Labrador is resulting in ongoing competition among sellers,” CREA president Jason Stephen stated in a news release, as quoted by CBC News.
This sustained the trend of steadily lower prices in Regina, as observed by Royal LePage earlier this year.
Regina’s aggregate home price weakened by 2.8% year-over-year during Q4 2019, falling to $314,937. The 1.2% increase in the median price of two-storey homes (up to $387,892) proved insufficient to make up for sluggish performances in the bungalow (down 4.6% year-over-year to $286,402) and condo (down a massive 15% to $200,261) segments.
“Resale two-storey homes were struggling to compete against new build homes in 2018 as builders reduced prices to encourage sales,” Royal LePage Regina Realty managing partner Mike Duggleby explained at the time.
Fortunately, the market might benefit from a course correction in the near future, Duggleby added.
“Now that the oversupply of new build homes is under control, resale homes are beginning to regain some of those price concessions.”