While Regina usually experiences a pause in the market in advance of a provincial election, the market remained active leading up to the April election. After a period of slower activity, the market rebounded in March, buoyed by a mild winter and earlier spring.
While the downturn in the oil industry has had an impact, Regina's diversified economy has helped the real estate market remain resilient. Sales in the first quarter were up 6% year-over-year, and new listings were down 4%. The average residential sale price increased 1% to $311,952.
FIRST TIME BUYERS
First-time buyers in Regina are typically young couples who are employed in stable jobs and looking to settle down. These buyers typically enter the market by purchasing a home for approximately $350,000. These starter homes tend to be three-bedroom detached houses in established neighbourhoods that may need some minor updates.
There is good demand for townhouse-style apartments as they appeal to buyers looking for a move-in ready, maintenance-free option. There is a good selection of apartment-style condos currently on the market, and new building has slowed.
The upper end of the market saw an uptick in March, driven by the pent-up demand from buyers who had been watching and waiting the past few years to see if prices would decrease. With prices stable and starting to see some upward movement, many of these buyers decided the time was right to trade up.
There were 18 homes sold between $600,000 and $900,000 in the first quarter of 2016, compared with 4 sales in that range during the same period last year.
The Regina Bypass project is adding jobs and drawing new residents to the city; the project is projected to take two to three years.
A new football stadium is expected to be completed at the end of this year, which should have a positive impact on the surrounding area.
Immigrant communication in Regina are growing, which should continue to create demand in the housing market.