Saskatchewan home price surge puts pressure on buyers

The average price of homes in Saskatchewan surged by just over $10,000 from January to February, according to a recent report by the Saskatchewan Realtors’ Association (SRA).

"We are going to see individuals who just are going to be having a really hard time finding the home that they are looking for," said SRA CEO Chris Guerette.

The report highlighted a significant decrease in housing supply across the province in February, reaching its lowest levels since 2006.

Mortgage broker Conrad Neufeldt attributed the increased demand for single-family homes partly to a shift towards rental units.

"We have a lot of builders focused predominantly on building purpose-built rentals, and not necessarily bringing new inventory single-family homes to the market," said Neufeldt.

Neufeldt says the influx of newcomers to Canada is also a driving force behind the rising demand for homes in Saskatchewan.

Guerette said the continued pace of immigration in 2024 could further impact the housing market.

With home prices on the rise, Neufeldt suggested the trend is likely to continue.

"I would suspect that home prices are going to continue to see some kind of increase over the next year or so, particularly if you see interests rate come down you're going to see people in a renting capacity switch over into home buying."