February numbers are in, and overall the market is showing signs of moving to a more balanced pace. Sales numbers increased just slightly over January, but active inventory took a bigger jump moving up to 264 active listings. The market is sitting right on the cusp between a seller’s market and a balanced market, and we’re seeing pockets of the market that are still quite hot while others have slowed significantly.
Prices are still holding steady overall and buyers are gaining a bit more breathing room with increased selection, however the best homes are still selling at premium prices. Buyers are still paying price premiums for homes that are clean, well maintained, and beautifully renovated.
MARKET TRENDS
✅ Residential sales increased slightly from 96 in January to 106 in February.
✅ Active listings jumped from 234 to 264, offering slightly more selection for buyers.
✅ Absorption rate currently sits at 40%, right on the cusp between a seller’s market and a balanced market.
✅ Average residential price is up 5.4% year over year, sitting at $419,795.
SINGLE FAMILY HOMES
🏡 Sales stayed steady with 68 in January and 67 in February, showing consistent and steady demand.
🏡 High end sales activity (600k+) picked up significantly, with 15 sales ranging up to $870,000 with 4 of those actually selling over list price in multiple offers.
🏡 The $200k – $400k market is still very hot, with an average 60% absorption rate.
RED DEER COUNTY ACREAGE MARKET
🌲 Only 2 total sales across Red Deer County, reflecting very quiet overall buyer activity for acreages.
🌲 1 sale occurred over $1M, in a segment that currently has the most inventory.
🌲 18 active listings remain over $1M with only a 5% absorption rate, indicating heavy supply relative to demand.
MARKET SUPPLY & DEMAND TRENDS
📊 Inventory growth outpaced sales growth in February, which if this trend continues will lead us back into a balanced market.
🏡 The market has pockets that are very hot, and others that aren’t nearly as in demand. In those hotter segments, good listings are still sometimes selling in multiple offers.
💸 Overpriced homes are sitting on the market while properly priced homes are moving quickly. This tells us that buyers want to buy, but don’t feel pressured to overpay in many pockets.
QUICK MARKET TAKEAWAY
Overall the market needs more good inventory and homes priced at proper market value, and homes that are sitting will probably continue to do so until they are reduced. Many buyers are looking for good homes but aren’t willing to overpay, so sellers still hoping to get the premium prices from last spring will likely see longer days on market unless they’re willing to get their listing more competitive with current pricing.
Out of Town Snapshot:
Blackfalds:
Current Active Listings – 30
Sales in February – 20
Likelihood to Sell – 66% (Seller’s Market)
Sylvan Lake:
Current Active Listings – 86
Sales in February – 30
Likelihood to Sell – 35% (Balanced Market)
Penhold:
Current Active Listings – 13
Sales in February – 5
Likelihood to Sell – 38% (Balanced Market)
