Saskatoon

Sask. house, condo sales decline in 2018

The slow economy and more stringent mortgage rules are behind the drop in sales, a real estate expert says.

Slow economy, new federal mortgage rules among the causes: realtor association

Jason Yochim of the Saskatoon Region Association of Realtors says home sales have declined 25 per cent over the past four years. (Matthew Garand/CBC)

Home sales are down across the province because of the slow economy and other factors, a real estate expert says.

"I think it's consumer confidence," said Jason Yochim, CEO of the Saskatoon Region Association of Realtors. "When you don't see a robust economy and you don't see jobs being created, people tend to hold back and not make that move."

In the Saskatoon region, there were 3,329 sales of houses and condominiums in 2018. That's a decrease of five per cent from 2017, and 25 per cent over the past four years.

In the Regina area, there were 3,032 sales in 2018, down seven per cent from the previous year, according to the Association of Regina Realtors, the worst figure in more than a decade.

Home sales were down across Saskatchewan in 2018, and realtors expect the trend to continue this year. (David Donnelly/CBC)

Yoachim says the economy is key, but adds federal mortgage rules implemented about a year ago imposed more stringent mortgage requirements, pushing some buyers into lower price ranges and forcing others to abandon their plan to buy a home.

However, Yochim says, there is some good news for first-time home buyers.

"The positive is buyers have a good selection to choose from," he said. "Interest rates are still pretty good, [and] prices are good. They're down lower than they were for the last two or three years."