Calgary’s Real Estate Market: Shifting Gears – What Homebuyers Need to Know

Calgary’s real estate market has been on a bit of a rollercoaster ride lately, so let me break it down for you – the good, the bad, and everything in between.

1. Inventory's Up – Finally!

After what felt like forever, inventory in Calgary has hit 4,487 units. That’s a solid 37% jump from last year, so we’re moving in the right direction. Sure, we’re still historically low, but hey, it’s progress! The catch? Sales activity slowed to 2,186 units last month—a 20% drop from this time last year. And guess what? Most of those missing sales are for homes under $600,000. Why? The supply in that price range has been sucked dry. When there’s nothing to buy, no one’s buying! [source: Calgary Real Estate Board]

2. Benchmark Price: Holding Steady, But For How Long?

Our benchmark price in Calgary is hovering at $601,000—up from last year, but it’s dipped slightly from the month before. [source: Calgary Real Estate Board] Is this the start of some price softening? Could be. I’ve been saying for a while that we might start seeing a bit of price atrophy, and unless the prime rate takes a nice nosedive closer to 5%, don’t expect too much relief on that front. Speaking of rates, the Bank of Canada just announced a rate drop. The drop could bring much-needed relief for buyers, potentially lowering mortgage rates and boosting affordability. If this reduction leads to fixed rates dipping closer to 3%, it could unlock more purchasing power and ease the challenges of qualifying for a mortgage. Check out the BoC rate update here.

3. Welcome to the Almost Balanced Market

Here’s where it gets interesting. We’re currently sitting at 2.05 months of supply, which is creeping toward a balanced market. For context, balanced means about 3%—so we’re still hanging onto that seller’s market by our fingernails, but the balance is shifting. Yesterday, I had a chat with a realtor who’s seeing price reductions and actual negotiations happening. Yes, negotiations—remember those? This is a good sign for a healthier fall market.

4. Condos On the Rise

The condo market is where we’re seeing the most inventory growth. If you’re a first-time buyer or an investor looking for a new opportunity, this could be your sweet spot. The absorption rates (how quickly homes are selling) for condos and other property types like semi-detached homes have more than doubled in some cases. This shift is a big deal, but let’s not get ahead of ourselves. Too much inventory can cause prices to nosedive, and we don’t want that—balance is key, folks.

5. Still Waiting for That Rate Relief

Here’s the not-so-great news: underwriting is still tight. Banks are playing it safe, making it hard for people to qualify at certain price points. Until we see a real drop in rates—maybe into that magical 3% range—getting people into homes is going to be like trying to fit a square peg into a round hole. Let’s hope we see some relief soon so we can help more of you get off the bench and into the game.

That’s your market update, straight from the front lines. As always, we're keeping an eye on these trends and will be ready when the time is right for your next move. Until then, keep believing in yourself—and in the market! ��