Calgary’s Inventory Rises as Prices Stabilize

Calgary is starting to see shifts in supply levels now that the busy spring market is over, according to the Calgary Real Estate Board (CREB).

In July, there were 2,380 sales and 3,604 new listings, resulting in a sales-to-new listings ratio of 66 percent. This led to an increase in inventory to 4,158 units, which is still 33 percent below the typical July average but the highest in almost two years. Most of the supply growth was in homes priced above $600,000, which has helped to ease the extreme seller’s market conditions from the spring.

“While supply challenges remain, especially for lower-priced homes, the increase in options in both the new home and resale market has relieved some of the upward pressure on home prices this month,” said Ann-Marie Lurie, chief economist at CREB. “This aligns with our expectations for the second half of the year, and if inventories continue to rise, we should see more balanced conditions and stability in home prices.”

Higher supply: Still favoring sellers but lowering prices

July sales were 10 percent lower than last year’s record high but still above long-term monthly trends. The increase in inventory and slower sales raised the months of supply to 1.8 months, still favoring sellers but a significant improvement from earlier this year.

The extra supply slowed price growth for all property types. The total residential benchmark price in July was $606,700, almost the same as June’s price and nearly 8.0 percent higher than last year.

Detached homes

July saw an 8.0 percent decrease in detached home sales, with a 15 percent increase in homes priced above $600,000 offsetting a 50 percent decline in lower-priced homes. Year-to-date detached sales have dropped slightly compared to last year.

The city recorded 1,098 sales and 1,721 new listings in July, pushing inventories to 1,950 units and raising the months of supply to nearly two months. The unadjusted benchmark price in July was $767,800, similar to the previous month but 11 percent higher than last year.

Semi-detached homes

Although semi-detached home sales slowed compared to last year, year-to-date sales were 6.0 percent higher than in 2023. Conditions remain tight with a 76 percent sales-to-new listings ratio and 1.5 months of supply.

Monthly price growth has slowed, but the unadjusted benchmark price of $687,900 is nearly 12 percent higher than last year.

Row homes

Increased new row home listings compared to total sales caused the sales-to-new listings ratio to drop to 73 percent in July, raising the months of supply to 1.3 months.

Although conditions still favor sellers, the change halted further monthly price increases. The benchmark price of $464,200 is nearly 15 percent higher than in 2023.

Apartment condominium homes

July saw a decline in sales to 659 units, with a significant drop in sales for properties priced under $300,000. There were 1,043 new listings, causing the sales-to-new listings ratio to decrease to 63 percent and raising the months of supply to over two months.

Price growth per month has slowed, but the unadjusted benchmark price of $346,300 is still 17 percent higher than last year.

Review CREB’s full reports for the city and region.