Winnipeg Free Press Article

By: Murray McNeill

WINNIPEG'S resale homes market produced one of the highest returns on investment in the country over the past 11 years, according to a new report from RE/MAX Canada.

The real estate firm's Housing Barometer Report released Tuesday compared average price increases in 18 major Canadian cities between 2000 and 2010 and calculated the annually compounded rate of return for each market.

It found Winnipeg had the fifth-highest rate of return at 9.01 per cent, with average selling prices jumping from $88,553 in 2000 to $228,706 in 2010.

The only cities with better returns were Regina (9.56 per cent), Edmonton (9.25 per cent) and Saskatoon and Quebec City (both at 9.20 per cent).

The national average was 6.82 per cent.

By comparison, data supplied by Jory Capital in Winnipeg shows that between end of 2000 and the end of 2010 -- a 10-year period -- the S&P/TSX Composite Index showed a rate of return of 88 per cent, or 6.51 per cent annually.

The Re/Max report said one of the main driving forces behind the escalation in house values in Winnipeg was the combination of high demand and tight supply, which sparked multiple offers for many properties in recent years.

"By far the tightest market in the nation was Winnipeg, where sellers ruled the roost for 85 per cent of the decade," it said. "January 2000 marked the last clear-cut buyer's market in the city..."

Alan Ediger, of Re/Max Executives Realty in Winnipeg, said the escalation in property values is good news for homeowners, but not so good for homebuyers who end up paying more for a home, especially first-time buyers.

But even with prices escalating at one of the fastest paces in the country, Ediger said homes here are still more affordable than in most other major Canadian cities.

He said some of the factors that have helped fuel the strong demand for homes in Winnipeg are the influx of new immigrants, many of them skilled workers who could afford to buy a home, and historically low interest rates, which make buying a home more affordable.

The report also said Winnipeg's resale market is off to another strong start in 2011, thanks to a strong economy and low unemployment levels.

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A New MLS® Dollar Volume Record Set for the Month of January
WINNIPEG – It appears some homeowners may have been a little more conscientious about keeping their driveways and entranceways shoveled and cleaned this month as listings were up noticeably from last January. Buyers were out and about as well. This resulted in WinnipegREALTORS® having its fifth highest January sales performance on record for MLS® sales. A new record January MLS® dollar volume was established too. Interestingly enough, with all the talk this year of another potential major spring flood, the best January ever at 660 sales (far surpasses anything since then) was in 1997.

One of the helpful byproducts of more listings this January is offering more choice to buyers. Proof of more balanced market conditions was the ratio of total sales price dollar value to total listings price dollar value dropped under 100%. A more heated market with lots of multiple offers will push the ratio above the 100% mark. Another indicator is the number of above list price sales in comparison to January 2010. For residential-detached, the higher than list price sales decreased from 35 to 31% and for condominiums, the percentage of above list price sales dropped from 24 to 10%. The big difference as well for condominiums was the large gains in ‘at list price’ sales from the same month in 2010. The majority of sales for both property types this month were ones under list price.

Of course, there are still a number of MLS® areas and highly sought after price ranges where existing inventory and new listings are being depleted quickly so while system-wide statistics show more balance, it by no means applies in all instances. You need to be calling a REALTOR® to seek professional advice and counsel on what is happening with respect to your preferred MLS® property type, neighbourhood, price range and supply.
Speaking of MLS® areas, the rural MLS® areas represented 28% of total MLS® residential-detached sales in January with R16 or the Steinbach and surrounding area leading the way with 26 sales. This rural MLS® area has become the highest annual WinnipegREALTORS® MLS® selling area the last two years running with approximately 400 sales each year.

January MLS® unit sales were up 16% (566/487) while dollar volume jumped 22% ($124.5/$102.1) in comparison to the same month last year. Current or new MLS® listings increased 16% and of those the equivalent of one in two sold in January.

“Jobs, immigration and low interest rates continue to keep our local MLS® market active as evident by one of our best January’s despite difficult winter weather conditions,” said Ralph Fyfe, president of WinnipegREALTORS®. “Given the strength of our local market, it is not as cyclical as it used to be and there is less concern with hesitating to put properties on the market early in the year.”

A good example of the pick up in listings and sales activity this year compared to last is in River Heights where some newly remodeled condominium apartments located on Taylor Avenue came on the market and resulted in a number of sales. These units were priced in the $150,000 to $199,999 price range - the most active condominium price range with 32% of total sales in January. They helped push condominium sales up 27%.
As for improvement in residential-detached or single family home sales activity year-over-year, besides the continuing trend of sales under $100,000 declining, the most notable increase is the dramatic jump in sales from $350,000 to $399,999. There were 34 sales compared to only 15 in January 2010.

Looking ahead, it will be important to see continuing improvement in the supply of MLS® listings to help moderate large price increases due to the strong demand for resale homes as a result of immigration and scarcity of good rental options in Winnipeg.
The most active residential-detached price ranges in January were the $150,000 to $199,999 and the $200,000 to $249,999 with 18% each of total sales. Not far behind was the $250,000 to $299,999 with 15% market share. January included two million dollar plus home sales with one selling for over $1.7 million. The average days on market to sell a home was 42 days, 9 days slower than the previous month and 10 days off the pace set in January 2010.

The average days on market to sell a condominium was 38 days, 12 days slower than the previous month but 9 days quicker than January 2010.
Established in 1903, WinnipegREALTORS® is a professional association representing over 1,600 real estate brokers, salespeople, appraisers, and financial members active in the Greater Winnipeg Area real estate market. Its REALTOR® members adhere to a strict code of ethics and share a state-of-the-art Multiple Listing Service® (MLS®) designed exclusively for REALTORS®. WinnipegREALTORS® serves its members by promoting the benefits of an organized real estate profession. REALTOR®, MLS® and Multiple Listing Service® are trademarks owned and controlled by the Canadian Real Estate Association and are used under licence.


PRESS RELEASE
January 17, 2011
For Immediate Release
RALPH FYFE IS WinnipegREALTORS® 108th PRESIDENT
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It’s A Family Affair
WINNIPEG - When you talk about Ralph Fyfe and his direct involvement in the real estate industry you cannot do it without including family. It is family in more ways than the immediate one that includes his wife and long time business partner Wendy and his two grown-up children – Richard and Janice.
Upon graduating with Bachelors of Commerce degrees at the University of Manitoba in 2005 both siblings joined the Fyfe & Company team. They work under the Century 21 – Bachman & Associates brokerage banner and refer to it as a ‘home awafrom home’. Ralph Fyfe has worked alongside many dedicated real estate professional associates since he joined the company from its very beginning in 1982. He has served as Director and Alternate Broker for Bachman & Associates, now one of the top producing Century 21 franchises in the country.

Starting his real estate career in 1977, Fyfe has always made St. Vital, the area he grew up in and resides now, the focus of his marketing efforts.
“In addition to knowing so well all the different communities within this southeast Winnipeg area, what I have always been impressed with over the years is how diverse and mixed the housing types and styles are to meet the unique needs of discerning buyers,” said Fyfe. “It really runs the gamut in the housing continuum from old fixer-uppers and starter homes through to the typical 1200 square foot post-war bungalow to large executive and more expensive homes. In fact, a house sold this month in my St. Vital MLS® area for $1.7 million.”

Taking the extended family one step further, Ralph has made a real commitment to getting involved in organized real estate by volunteering at all three levels – local, provincial and national. You might say it is part of his DNA.

“Ralph has a real passion and heart for organized real estate and volunteerism,” said Darlene Clare, WinnipegREALTORS® 2008 president and the broker/manager of Century 21 Bachman & Associates.
Locally, Fyfe has headed up and served on a number of WinnipegREALTORS® standing committees and task forces. He was on the executive committee the past two years; as treasurer in 2009 and president-elect last year.
He has also served as a director of the Manitoba Real Estate Association and president in 2001. A year later he went on to be the Manitoba regional director for the Canadian Real Estate Association.
His active participation in organized real estate has without doubt complemented his real estate career. This is exemplified by Fyfe being a consistent recipient of WinnipegREALTORS® Medallion Awards for top sales performance and a Centurion Award winner from 1998 to 2009. He was inducted in the Century 21 Hall of Fame in 2003.

As the saying goes, give a task to someone that is busy because they know what it takes to get things done. If all of this is not enough, Ralph Fyfe has the distinction of being the first recipient of the WinnipegREALTORS® Community Service Award in 1996.
“It is with a lot of pride and some emotion knowing you are taking the helm of a 108-year old venerable institution of Winnipeg and the longest running real estate association in the country,” said Fyfe. “Our founding members were leaders in the community and very much concerned about setting high ethical standards for its members to uphold.”

In memory of their esteemed colleagues who perished when the Titanic sank the morning of April 15, 1912, the Winnipeg Real Estate Exchange, as it was called then, sponsored the furnishing and equipping of a new 16-bed ward in the Winnipeg Children’s Hospital. The three members who died included 1906 president Mark Fortune, 1907 president John Hugo Ross and Thomson Beattie, a distinguished serving member. A plaque was erected in commemoration of their heroic and inspirational memory.

Nearly 100 years later, WinnipegREALTORS® is proud to give back to the community and through its membership to date has contributed over $1.4 million to the emerging Canadian Museum for Human Rights.
What are we in store for 2011? Without wanting to take away from the WinnipegREALTORS® annual forecast breakfast later this week, Fyfe is confident the Winnipeg real estate market will do more than hold its own given such strong immigration numbers, favourable interest rates and continuing growth momentum based on solid economic fundamentals.
“One thing I will be making a top priority in 2011 is communicating and listening to our 1600 members,” said Fyfe. “From rolling out a new MLS® platform last year including new security measures, undergoing a complete renovation of our REALTORS® building, and dealing with new industry requirements, its critically important our members, the lifeblood of our organization, understand and appreciate how their leadership is working in their best interests to provide them with the latest tools and applicable resources.”

He has already got the ball rolling this year by attending standing committee meetings and letting the volunteers know how valued they are in ensuring a successful 2011.

Established in 1903, WinnipegREALTORS® is a professional association representing over 1,600 real estate brokers, salespeople, appraisers, and financial members active in the Greater Winnipeg Area real estate market. Its REALTOR® members adhere to a strict code of ethics and share a state-of-the-art Multiple Listing Service® (MLS®) designed exclusively for REALTORS®. WinnipegREALTORS® serves its members by promoting the benefits of an organized real estate profession. REALTOR®, MLS® and Multiple Listing Service® are trademarks owned and controlled by the Canadian Real Estate Association and are used under licence.
For further

PRESS RELEASE

<December 6, 2010

 

 

ANOTHER DOLLAR VOLUME RECORD FOR NOVEMBER

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A 10% Increase Over 2009

 

 

WINNIPEG - November 2009 may have had better weather and 8 more MLS ® sales than this November, but dollar volume once again in 2010 displayed its unrelenting march to greater heights. It increased nearly 10% over the previous highest November dollar volume in 2009. As a result, WinnipegREALTORS® has achieved its highest annual MLS ® dollar volume on record at $2.58 billion, and there is still a month to go. This eclipses the previous best annual dollar volume record set in 2009 of $2.47 billion.

 

November MLS ® unit sales were down less than 1% (829/837) while dollar volume rose 10% ($182.2 million/$166.3 million) in comparison to the same month last year. Year-to-date MLS ® sales are virtually deadlocked with last year, up only 0.17% (11,853/11,563) while dollar volume rose 10% (2.58 billion/ $2.34 billion) in comparison to the same period in 2009.  Year-to-date listings entered on MLS ® are over 17,000, 2% ahead of last year at this time. However, the conversion of these listings to sales has dropped off 1.4% from 2009.

 

“In many respects, the first eleven months has a striking resemblance to last year with the exception that prices are continuing to climb as they have been doing year-over-year since 2003,” said Claude Davis, president WinnipegREALTORS®. “Looking ahead to the end of the year, WinnipegREALTORS® has already set a new annual MLS ® dollar volume record and will see MLS ® sales finish over the 12,000 mark – a level only surpassed five times before.

 

For residential-detached sales in November, the most active price ranges were the $150,000 to $199,999 and the $200,000 to $249,999 with each having 22% of total sales. Interestingly enough, the $100,000 to $149,999 and the $250,000 to $299,999 price ranges also had an equal share of the total market at 13% each. The average days-on-market for residential-detached sales was 32 days, 3 days off the pace set last month and in November 2009.

 

Condominium sales performed well in November, as they were up 10% over the same month last year. Nearly 70% of all sales were from $100,000 to $249,999. The average days-on-market for condominium sales was 34 days, a week quicker than the same month last year.

 

 

 

Established in 1903, WinnipegREALTORS® is a professional association representing over 1,600 real estate brokers, salespeople, appraisers, and financial members active in the Greater Winnipeg Area real estate market.  Its REALTOR® members adhere to a strict code of ethics and share a state-of-the-art Multiple Listing Service® ( MLS ®) designed exclusively for REALTORS®.   WinnipegREALTORS® serves its members by promoting the benefits of an organized real estate profession.  REALTOR®, MLS ® and Multiple Listing Service® are trademarks owned and controlled by the Canadian Real Estate Association and are used under licence.

 

PRESS RELEASE

November 5, 2010

For Immediate Release

YEAR-TO-DATE MLS® SALES EVEN WITH 2009

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October MLS® Sales Down 3%; MLS® Dollar Volume Up 6%

WINNIPEG

– If this was an election it would be too close to call. On the final stretch drive with two months to go it is a dead heat in terms of MLS® sales compared to last year. There are only 28 more MLS® sales in 2010. However dollar volume is a different story. It is up 10% in comparison to 2009 and while sale do drop off at year end there should be no doubt WinnipegREALTORS® will set its 10th consecutive annual MLS® dollar volume record in 2010. 2001 finished with a dollar volume level just shy of the $1 billion mark. Ten years later the final amount could possibly reach $2.7 billion.

While sales have risen in the last 10 years the primary reason for the significant jump in dollar volume is price increases. The residential-detached or single-family home average price has gone from $100,000 to $242,000 while condominiums have soared even higher percentage-wise from $79,000 to a 2010 year-to-date average price of $197,000.

For October 2010, dollar volume is the highest on record for the month of October despite being outperformed in sales the previous five years. New MLS® listings in October were ahead slightly and the active MLS® listings or the current inventory going into November has nearly 10 per cent more properties for buyers to choose from than 2009.

October MLS® unit sales were down 3% (949/979) while dollar volume was up 6% ($214.2 million/$201.4 million) in comparison to the same month in 2009. Year-to-date MLS® unit sales are even with last year (10,754/10,726) while dollar volume is up 10% ($2.39 billion/$2.17 billion). Total MLS® listings entered on the MLS® this year are 17,744; an increase of 12% over 2009.

"Relative to many other markets across the country Winnipeg is holding its own so we are clearly viewing our sales activity here as the glass half full," said Claude Davis, president of WinnipegREALTORS®. "If there is disappointment, it is in regard to the lower end of the residential-detached housing market where sales continue to show some appreciable declines over the year before. We are of the opinion provincial land transfer tax relief would be helpful in addressing this development which has emerged more noticeably since 2009."

Backing up WinnipegREALTORS® president’s statement on taking a positive stance on Winnipeg’s October sales in comparison to the same month a year ago, Toronto’s October sales declined 21%, Calgary’s 35%, Edmonton’s 29% and Vancouver’s 37%.

For residential-detached sales in October, the most active price ranges were the $150,000 to $199,999 at 25% of total sales and the $200,000 to $249,999 at 23% of all sales. It is interesting to note for the first time in any month, let alone October, residential-detached sales over $500,000 represented the highest percentage they have ever been at 5% of total sales and

were almost the equal of sales under $100,000. Two of those sales over $500,000 were one on Old Orchard Road in East St. Paul for $1,225,000 and another on River Road in St. Vital for $1,485,000.

The average days on market for residential-detached sales was 28 days, one day faster than last month and the same pace as October 2009. As for condominium sales, the average days on market for sales was 31 days, 2 days quicker than last month and October 2009.

Established in 1903, WinnipegREALTORS® is a professional association representing over 1,600 real estate brokers, salespeople, appraisers, and financial members active in the Greater Winnipeg Area real estate market. Its REALTOR® members adhere to a strict code of ethics and share a state-of-the-art Multiple Listing Service® (MLS®) designed exclusively for REALTORS®. WinnipegREALTORS® serves its members by promoting the benefits of an organized real estate profession. REALTOR®, MLS® and Multiple Listing Service® are trademarks owned and controlled by the Canadian Real Estate Association and are used under licence.