Calgary Home Prices are showing signs of easing, but it’s still a seller’s market. November 2024 saw a typical seasonal slowdown in activity, but sales remained strong and home prices Calgary continued to climb, albeit at a slower pace. This shift is largely attributed to increased housing supply, though it still falls short of long-term averages. This detailed blog post delves into the latest Calgary real estate market data, analyzing key trends and statistics to provide a clear picture of the current landscape. We’ll examine various housing types, price ranges, and factors influencing the market, offering valuable insights for both buyers and sellers.
Key Takeaways:
- Sales remain robust: Despite a seasonal dip, November sales matched last year’s figures and exceeded long-term trends.
- Supply is increasing, but still tight: Inventory levels rose significantly, but remain below historical averages, particularly in certain segments.
- Price growth moderates: Increased supply has tempered price increases, with year-over-year gains ranging from 7% to 9% depending on the housing type.
- Detached homes lead price appreciation: Higher-priced detached homes saw strong sales, driving price growth in this segment.
- Condos offer more options: Increased inventory in the condo market provides buyers with a wider selection, particularly in the $300,000-$500,000 range.
- Interest rate cuts stimulate demand: The Bank of Canada’s rate cuts and declining fixed mortgage rates have contributed to increased sales activity.
Detailed Analysis of Calgary Home Prices in November 2024
Overall Market Trends
November 2024 witnessed a balanced Calgary housing market, characterized by a seasonal slowdown in activity coupled with steady demand and increasing supply. The Calgary Real Estate Board (CREB) reported 1,797 home sales, on par with November 2023 and 20% above the long-term average home price Calgary for the month. This indicates continued strength in the market despite the typical seasonal lull.
A notable development is the rise in inventory levels to 4,352 units, a significant jump from 3,000 units in November 2023. This increase can be attributed to several factors, including:
- Increased new home construction: As Ann-Marie Lurie, Chief Economist at CREB, points out, rising new home construction has boosted supply across various segments, including rental, new homes, and resale markets.
- Population growth: Calgary’s population has been growing rapidly, leading to increased housing demand and, subsequently, increased construction activity.
- Economic conditions: Despite some economic uncertainty, Calgary’s economy remains relatively strong, supporting housing demand.
However, it’s important to note that supply still lags behind long-term averages for November. This indicates that while the market is becoming more balanced, it still favours sellers, especially in certain segments. This means that those with houses for sale in Calgary still have a good chance of finding a buyer, though they may need to be more competitive with pricing and marketing.
Impact of Interest Rates
Another crucial factor influencing Calgary’s housing market is the Bank of Canada‘s monetary policy. The central bank accelerated the pace of its policy rate cuts in October 2024, contributing to a decline in fixed mortgage rates since the summer. This has stimulated housing demand, as noted by National Bank economist Daren King. Seasonally adjusted sales rose 1.4% month-over-month in November, following a 4.7% jump in October, reaching their highest level since January. This suggests that buyers are taking advantage of lower rates to enter the market and secure a house for sale in Calgary.
Price Trends and Analysis
While Calgary Median Home Prices continue to rise, the pace of growth has slowed due to improved supply. Year-over-year gains ranged from 7% for row homes to 9% for apartment-style units. The total residential benchmark price reached $587,900, a 3.5% increase from last year. This moderation in price growth can be attributed to several factors:
- Shift towards affordability: Buyers are increasingly opting for more affordable housing options like row homes and apartments, which has tempered price growth in the detached home segment.
- Increased inventory: More choices for buyers have reduced pressure on prices, leading to a more balanced market. With more houses for sale in Calgary, buyers have more negotiating power.
- Economic uncertainty: Despite recent interest rate cuts, some economic uncertainty persists, which may be causing some buyers to hesitate.
Performance of Different Housing Types
Detached Homes:
- Sales of detached homes above $600,000 remained strong, offsetting slower sales in lower price ranges.
- Inventory levels increased, particularly for higher-priced homes, providing more options for buyers in this segment. If you’re looking for a house for sale in Calgary in the higher price ranges, now might be a good time to find a wider selection.
- The benchmark price for detached homes reached $750,100, a 7% increase from November 2023.
Semi-Detached Homes:
- Sales in this category increased by 5% year-over-year.
- With two months of supply, conditions are tighter than earlier in the year but still more balanced than in previous years.
- The benchmark price for semi-detached homes was $675,100, an 8% increase from last year.
Row Homes:
- Row homes experienced a modest increase in sales, contributing to overall year-to-date gains.
- New listings have boosted inventory, but conditions remain relatively tight, with around two months of supply.
- The benchmark price for row homes was $454,200, a 7% increase from November 2023.
Apartment Condominiums:
- Condo sales slowed compared to the high levels seen last year but remained 47% above long-term trends.
- Inventory in the condo market has been rising, offering buyers more choices, especially in the $300,000-$500,000 price range. This is good news for those seeking more affordable houses for sale in Calgary.
- The benchmark price for condos was $337,800, a 9% increase from last year.
How Much Down Payment for a House in Calgary?
One of the most important factors to consider when buying a house in Calgary is the down payment. How much down payment you need will depend on the purchase price of the home. In Canada (and Calgary), the minimum down payment requirements are:
- 5% for homes priced up to $500,000
- 5% on the first $500,000 and 10% on the portion above that, for homes priced between $500,001 and $1 million
- 20% for homes priced over $1 million
Keep in mind that if you put down less than 20%, you’ll need to pay mortgage insurance, which adds to your overall costs. There are various tools and resources available to help you calculate your down payment and explore mortgage options. Speaking with a mortgage specialist can provide personalized guidance based on your financial situation.
Will Calgary home prices drop?
Looking ahead, Calgary’s housing market is expected to remain relatively balanced. While supply is increasing, it’s unlikely to outpace demand significantly shortly. This suggests that Calgary home prices will continue to rise, albeit at a more moderate pace.
Several factors will influence the market in the coming months:
- Economic conditions: The strength of Calgary’s economy will play a crucial role in shaping housing demand.
- Interest rates: Further rate cuts by the Bank of Canada could stimulate additional demand and put upward pressure on home prices Calgary.
- Migration trends: Continued population growth will support housing demand, particularly in certain segments.
- New construction activity: The pace of new home construction will impact supply levels and influence price trends.
Tips for Buyers and Sellers
| Buyers | Sellers |
| Be prepared for competition: While the market is becoming more balanced, it’s still competitive, especially for certain property types and price ranges. If you’re looking for a house for sale in Calgary, be prepared to act quickly and potentially compete with other buyers.Get pre-approved for a mortgage: This will help you act quickly when you find the right property.Work with a qualified real estate agent: A good agent can help you navigate the market and find the best deals on houses for sale in Calgary.Consider different housing types: Explore various options, including condos, townhouses, and semi-detached homes, to find the best fit for your needs and budget. | Price your home competitively: While the market favours sellers, overpricing can deter potential buyers.Prepare your home for sale: Make necessary repairs and stage your home to appeal to buyers.Work with a qualified real estate agent: An experienced agent can help you market your home effectively and negotiate the best price.Be patient: It may take some time to find the right buyer, even in a seller’s market. |
Calgary’s Housing Market: A Balanced Outlook
Calgary’s housing market is in a state of flux, transitioning from a strong seller’s market to a more balanced environment. While supply is increasing, it remains below historical averages, and demand continues to be robust. Prices are still rising, but at a slower pace, reflecting the increased supply and shift towards more affordable housing options. Both buyers and sellers need to be aware of the current market dynamics and adjust their strategies accordingly. By staying informed and working with qualified professionals, they can navigate the market successfully and achieve their real estate goals.
Wondering how much down payment you need for a house in Calgary? Our mortgage experts at Pegasus Mortgage Lending can help you find the perfect mortgage solution to achieve your homeownership goals.
