In Calgary, Housing sales activity continues to move away from the extreme sellers’ market conditions experienced throughout the spring. Easing sales, combined with gains in supply, pushed the months of supply above two months in August, a level not seen since the end of 2022.
“As expected, rising new home construction and gains in new listings are starting to support a better-supplied housing market,” said Ann-Marie Lurie, Chief Economist at CREB®. “This trend is expected to continue throughout the remainder of the year, but it’s important to note that supply levels remain low, especially for lower-priced properties. It will take time for supply levels to return to those that support more balanced conditions.”
Inventory levels in August reached 4,487 units, 37 per cent higher than last August but nearly 25 per cent lower than long-term trends for the month. Higher-priced properties mostly drove the supply gains, as the most affordable homes in each property type continued to report supply declines.
Both Okotoks and High River held steady for sales and inventory but we are starting to see a shift happening. New construction projects are hitting the market in full swing. Sellers of pre-owned homes will have to be more patient in selling and tame expectations on getting a quick sale with multiple offers (unless the property is priced very aggressive). Sellers and real estate agents will need to be careful not to overprice listings as we head into the fall and winter months.
Buying and selling in the same market is all relative. First time home buyers or move up buyers are the ones that will benefit most from the shifting market conditions with some possible downward pressure on price this fall.
