Calgary real estate market will lean in favour of sellers in 2024: CREB

Posted Jan 24, 2024 12:30 pm.
New data from the Calgary Real Estate Board (CREB) shows the local housing market is expected to remain a seller’s market throughout 2024.
CREB is expecting the city will see about 600 more home sales than last year.
The board predicts high price ranges will drive supply growth, but the pace of price growth will slow in the coming year, and tight conditions for lower price-properties will only drive prices up.
CREB chief economist Anne-Marie Lurie says she’s expecting potential buyers who were previously unable to buy due to supply, will finally be able to do so, which will only contribute to rising prices.
“We are expecting price growth of just over six per cent, so six-and-a-half per cent over the next year, that’s on a total residential basis,” she explained. “When we break it up by property types, we do expect to continue to see some stronger price growth in the apartment sector, so that one will be a little bit higher in the nine per cent range.”
Last year, the benchmark price of a home rose to $556, 975 in Calgary.
Lurie warns that if inter-provincial migration doesn’t slow down soon, it could be a long time before housing supply and high price concerns improve.
“When you have all these people coming into the city, what we tend to look at is how does that relate to the new homes coming onto the market and the challenge has been the level of starts activity hasn’t really kept pace with all of the interprovincial and international migration,” she said.
She’s also expecting that gradually easing lending rates and an increasing number of listings will lead to more purchases by potential buyers.
Rental demand will likely remain high, according to Lurie, and population growth will continue to affect Calgary’s housing market, but supply is expected to go up.
“As we move forward, I think that with more mortgage renewals coming, as well as changes in some lending rates, we can see some of that activity resume and see some more listings on the market as well,” she said.
Lurie also noted that lower-priced properties are expected to face continued tight conditions, meaning increased prices.