Calgary Region Real Estate Market Update – August 2024
The Calgary region real estate market continued to experience strong momentum in August 2024, driven by tight inventory, strong demand, prime rate cuts, and increasing prices across several cities and communities. Here’s a detailed look at the key market insights for Calgary and surrounding areas.
City of Calgary: Demand Remains Robust
The City of Calgary real estate market reported 2,186 sales in August, a 6% increase compared to the same period in 2023. Despite the rise in sales, inventory remained constrained, with 4,487 active listings, leading to just over two months of supply at 2.05 months.
Calgary’s benchmark price increased to $601,800, marking a year-over-year (Y/Y) gain of 8.7%. The market remains tight, with a sales-to-new-listings ratio of 62%, underscoring strong buyer interest amid limited supply.
Airdrie: Tight Market Drives Price Increases
Airdrie continues to face significant inventory challenges, with only 310 homes available for sale, pushing months of supply to 1.80. With 172 sales in August and 242 new listings, the market has a 71% sales-to-new-listings ratio.
Airdrie’s benchmark price rose to $553,300, a 7.8% increase from last year. While conditions remain tight, they are not as restrictive as earlier in the year, providing a slight reprieve from rapid price acceleration.
Chestermere: Elevated Prices in a Seller’s Market
Chestermere saw 71 sales in August, with 122 new listings coming onto the market. Inventory levels, however, stayed low, with only 176 homes available, resulting in 2.48 months of supply.
The benchmark price in Chestermere soared to $703,200, a Y/Y gain of 6.7%, indicating that this lakeside community remains a highly sought-after area.
Cochrane: Inventory Challenges Continue
Cochrane’s real estate market remains under pressure with only 144 homes in inventory. With 81 sales and 109 new listings, the months of supply is 1.78, keeping the market competitive.
The benchmark price in Cochrane increased by 8.4% Y/Y to $578,600, as the tight market continues to drive prices upward.
Okotoks: Significant Price Growth
Okotoks reported 67 sales in August, with 84 new listings. Inventory levels stayed low at 90 active listings, leading to 1.34 months of supply, further pushing prices upward.
The benchmark price in Okotoks rose to $622,700, a notable 7.2% increase from last year, reflecting strong demand and limited supply.
Rocky View Region: Steady Growth in a Tight Market
The Rocky View region, which includes popular communities like Springbank and Bragg Creek, recorded 149 sales and 222 new listings in August. Inventory levels remain modest at 419 homes, resulting in 2.81 months of supply.
The benchmark price for the region reached $648,700, representing a 5.2% Y/Y increase.
Here are the snapshots of real estate sales and activity in Canmore, High River, and Strathmore areas:
Market Trends and Takeaways
- Low Inventory Across the Region: Across all communities in the Calgary region, inventory levels are significantly below long-term averages. This tight supply continues to be a key driver of price increases.
- Sales Remain Strong: Despite the limited inventory, buyer demand remains strong across all price ranges, keeping sales volumes elevated. This is particularly notable in Airdrie and Okotoks, where demand outpaces the number of new listings.
- Upward Pressure on Prices: The constrained supply is resulting in sustained price growth across the Calgary region, with benchmark prices increasing in nearly every community. Airdrie, Chestermere, and Cochrane are particularly hot, with Y/Y price gains well above 7%.
- Tight Conditions in Affordable Markets: The lower price ranges, particularly in markets like Airdrie and Cochrane, continue to face the tightest conditions, with months of supply below two, suggesting ongoing competition for affordable properties.
Conclusion
August 2024 saw the Calgary region continue its trend of strong sales, tight inventory, and rising home prices. Whether you’re buying or selling, navigating this competitive market requires a solid strategy and a keen understanding of local dynamics. Stay informed on market trends to make the most of current opportunities.
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