Winnipeg Real Estate Market Update: May 2009 Statistics

PR Log (Press Release) – Jun 08, 2009 – WINNIPEG – Sales in May 2009 were more restrained than the last few years but that does not mean the MLS® market performed badly. It just indicates the market has come back down to earth and is more balanced compared to the heady run Winnipeg enjoyed over more recently in May. Going back to 2005, May kicked off a three year streak of best May’s ever and some of WinnipegREALTORS® best months on record.  May 2007 is the only month where sales have eclipsed 1,600. May 2008 fell back under 1,600 with sales of 1,564 but is still tied with June 2008 for the second best MLS® sales month ever in WinnipegREALTORS® 106-year history.

May 2009 market activity still resulted in the fifth best May for sales and the third highest for dollar volume, only beaten out by the last two banner years where for the first time, WinnipegREALTORS® had year end dollar volumes of over $2 billion. With year-to-date dollar volume down just 9 % this year, there is every possibility 2009 could usher in a third consecutive $2 billion year but too early to tell for sure.

There are a few good indicators of how the MLS® market has come off boiling to simmer. In May 2008 57% of residential-detached properties sold for above list price where this May it was 37%. Condominium above list price sales was well off its 57% level achieved last year too. Reflective of less multiple offer activity and strong bidding wars is the fact the average residential-detached selling price in comparison to the average residential-detached listing price in the City of Winnipeg was up 1 per cent this year where 2008 it was ahead by over 6 per cent. The average days on market too have slipped back from less than three weeks in May 2008 to 27 days in 2009. Given the much improved housing inventory compared to last year and the less frenetic pace of the spring market this year, conversion of residential-detached listings to sales fell from an outstanding 80 per cent in May 2008 to only 53 per cent in May 2009.

May MLS® unit sales were down 13% (1,367/1,564) while dollar volume as well declined 13% ($278.3 million/$319.7 million) in comparison to the same month last year. Year-to-date MLS® unit sales are off 12% (4,606/5,253) while dollar volume has decreased 9% ($928.34 million/$1.02 billion) in comparison to 2008. MLS® listings entered on WinnipegREALTORS® predominant residential database are up 3% (7,624/7,426).


For a complete look at the Press Release issued by Winnipeg REALTORS, go to my website at WinnipegHomeFinder.com  

The one problem I have with these types of statistics is that they rely heavily upon comparisons to last year.  In doing so, the phrases "slower than last year", "more level market" etc etc, may lead buyers to believe that there is no competition for homes, when in fact multiple offers are still very much alive, especially in lower price ranges.  In addition, these market updates look at ALL of Winnipeg MLS, which include many of the rural areas right around Winnipeg.

For a more focuses look at what is happening IN Winnipeg, see my video Market Update at :

http://www.screencast.com/t/CSMQXqGV