All posts by Dale Neufeld

Owner of saskhouses.com

Sask Property listed on saskhouses.com surpasses 4 Billion dollars

The total dollar value of Saskatchewan property advertised for sale on Saskatchewan’s leading website for private sales passed the 4 billion dollar mark in 2012.

In 2012, $553,081,129 dollars worth of Saskatchewan property was listed for sale on saskhouses.com, bringing the total since the company started in 1999, to $4,099,742,184.

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The average asking price of a saskhouses.com listing continued to increase in 2012, reaching a record high of $347,850. That was an increase of more than 7 percent from the average asking price in 2011 of $323, 240, and it was an increase of more than 122 percent from the average asking price in 2002, when we began tracking that number.

Here is the year-by-year average asking price of listings on saskhouses.com since 2002.

2012 – $347,850

2011 – $323,240

2010 – $314,504

2009 – $306,232

2008 – $317,020

2007 – $246,711

2006 – $185,191

2005 – $164,503

2004 – $156,652

2003 – $152,532

2002 – $156,340

We would like to thank Saskatchewan buyers and sellers for making saskhouses.com the most successful private sale website in the Province, and we look forward to another exceptional year in 2013!

Saskatchewan population growth continues

The population of Saskatchewan has hit another all-time high. New population numbers released by Statistics Canada show that 1,086,564 people were living in Saskatchewan at the end of October 2012.

That’s an increase of 6,606 people in the third quarter of 2012, and an increase of 23,024 people from October of 2011.

Most of the population growth in the last three months came from international migration, with more than 3,700 people moving here from other Countries. Almost 1,300 people moved to Saskatchewan from other provinces during the third quarter, with more than half of those newcomers coming from the province of Ontario.

248 people moved here from Manitoba in the past quarter, 194 people came from British Columbia, and 34 came from Alberta.

The Provincial Government has a goal of 1.2 million people living in Saskatchewan by the year 2020. If our population growth continues at last year’s rate of 2.1 percent, we will have 1,281,845 people living in Saskatchewan by this time in 2020.

Our population growth bodes well for the housing industry in Saskatchewan, and for sales of existing homes in the province. Prices throughout most of the Province have pretty much doubled since this time 6 years ago, and they have been stable, or slowly rising for the past couple of years.

New neighbourhood in the works for Downtown Saskatoon

Plans are underway for a new neighbourhood in downtown Saskatoon, which could someday be home for as many as 12,000 people.

The new neighbourhood will be bordered by 24th Street to the South, Idylwyld Drive to the West, 33rd Street to the North, and First Avenue to the East.

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Plans for the new neighbourhood are in the hands of a Vancouver company, Perkins & Will, which will be paid $315,000 to develop a plan for the new area.

The City is hoping the new neighbourhood will be an environmentally friendly, walkable community connected to the downtown core.

It will likely be awhile though before you see any development towards the new neighbourhood. The City first has to figure out where to move the City Yards, which takes up a good chunk of the area. The City is hoping to move the Yards to the Montgomery Place area, but no plans for that have been yet been made.

Another record breaking year for Saskatoon Building Permits

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The City of Saskatoon is reporting that more than 1 billion dollars worth of building permits have been issued in Saskatoon so far in 2012. The total amount of building permits issued as of the end of November was 1.05 billion dollars, with residential housing making up most of that new construction.

The dollar value of building permits in 2011 was $936.9 million dollars, and in 2010 it was $666 million dollars.

Much of the new residential construction has taken place in the City’s new neighbourhoods of Evergreen, Willowgrove, Rosewood, Hampton Village, and Stonebridge.

The City says it is anticipating another billion dollars in new construction in Saskatoon in 2013.

Average Saskatoon asking prices continue to slowly rise

We’ve been tracking the average asking price of our Saskatoon sellers for the past few years, and the latest evidence shows that averaeg asking prices are continuing to slowly increase in the Saskatoon area.

The average asking price of Saskatoon listings on saskhouses.com during the month of November was $363,965, an increase of just over $17,000 from the average asking price in November of 2011, and about $19,000 more than the average asking price of $344,249 in November of 2010.

Average Saskatoon asking prices hit a three year high of $386,591 during the month of October. The lowest average asking price we’ve seen since we started tracking them was $302,806 in January of 2011.

The chart below shows the average asking price of Saskatoon listings since January 2010.

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What’s our success rate for sellers?

Over the years, one of the most common questions we get from prospective customers is, what’s your success rate? Our pat answer has usually been that we can’t guarantee you will sell your home if you advertise through saskhouses.com, but we can guarantee you’ll be amazed by how many people see your home if you advertise it on our website. The rest is up to you.

But we’ve always believed the success rate of our customers is pretty similar to the success rate of sellers who choose to market their homes through the MLS system, and at the start of this year I decided to start gathering some empirical evidence to see if that belief was in fact true.
In January, I started keeping track of customers who were successful in selling privately, and those who ended up going with a real estate agent to help sell their homes. Here’s what I have found so far.
In the month of January 2012, we had a total of 102 listings. Of those, 59 sellers reported they were successful in selling privately – a success rate of 57.84 percent. 12 sellers ended up listing their homes with a real estate agent, and 31 sellers, or 30.39 percent of our sellers did not report they were able to sell their homes during the six month advertising period on saskhouses.com.

In the above image, the listings highlighted in yellow were successful private sales, the listings highlighted in red were either sold by agents, or listed by agents and taken off of saskhouses.com. The listings highlighted in blue were unsuccessful in selling, even though they had reduced their asking prices, and the listings in white were sellers who did not report selling their homes through their six month advertising period.

In February, 53.70 % of saskhouses.com customers were successful selling privately, in March the success rate was 57.86 %, in April it was 51.74 %, in May it was 62.94 %, and in June it was 57.04 %. The success rate of our July customers so far is 43.63 %, 43.75 % of our August customers have reported their houses sold so far, and the success rates for September and October customers so far are 37.03 %, and 12.14 % respectively. We expect the success rate in the months of July through October will continue to increase as more customers report that their listings have been sold.

Overall, from January through the end of October, 731 of our 1470 customers have reported they were able to sell their homes privately – a success rate of 49.72 percent. How does that compare with the success rate of sellers on the MLS system? The Saskatoon Regional Association of Realtors doesn’t keep track of their success rate quite the same way we do, but so far this year, from January through the end of October, a total of 9,490 properties have been listed through the MLS system in the Saskatoon Region, with 4,881 reported sales. That’s a success rate of 51.43 percent.

I think the success rate of our customers is pretty impressive, especially when you consider that we are not involved in setting the asking prices of the properties, or in the negotiation process with buyers. And it shows that private sellers are just as savvy, and just as successful as sellers who choose to have a third party involved in the sale of their home. And by selling commission free, they can do it for a fraction of the cost.