Calgary housing prices continue to rise as demand outweighs supply

Calgary housing prices are up 8.4% from this time last year as the supply has trouble keeping up with demand.

The aggregate price for a home in Calgary is now up to $616,300. The biggest reason for the jump is that single-family detached home prices increased 10.9% up to $707,700.

Royal LePage Benchmark broker and owner Corinne Lyall says there are several factors playing into that jump.

“Calgary’s housing market remains very tight. Due to a lack of supply in detached houses, there continues to be competition from both local buyers as well those moving to Calgary from other provinces,” Lyall stated. “Unit sales are historically high and while we do see new construction being built, it has not kept up with demand. Good product that comes to market, whether new build or resale, is being quickly absorbed.”

The majority of the migration to Calgary is coming from Ontario.

Lyall says the best deals for potential buyers right now are condos.

“Buyers continue to find excellent value in Calgary’s condo market. The region has struggled with over-supply in recent years, which resulted in excellent selection and less competition than the single-family home market,” said Lyall.

Overall Royal Lepage forecasts the aggregate price in Calgary will increase 8% to close out the year compared to the same time last year.

As for the rest of the country, prices are up 12.1% from this time last year but are down 4.9% from the last quarter.