The Calgary Real Estate Board (CREB) has reported that home sales in Calgary declined in December compared to the previous year’s levels. However, despite this decline, sales remain nearly 20% higher than long-term trends.
December Sales Figures
According to CREB, there were 1,322 homes sold in Calgary in December, which is a 2.9% decrease from the same period last year. On a month-over-month basis, home sales decreased by 26.3% compared to November levels.
Benchmark Price Remains Stable
The benchmark price across all home types was $583,300 in December, which represents a 0.8% decline from the previous month but a 3.2% increase from December 2023.
Supply Challenges Persist
Despite the decline in sales, CREB’s chief economist Ann-Marie Lurie notes that supply challenges continue to impact the market. The board reported that there were 1,239 new listings on the market last month, which is a 0.7% decrease from the same period last year.
Gains for Higher-Priced Homes Offset Pullbacks in Lower Price Ranges
Lurie explains that while sales in the lower price ranges have pulled back due to supply challenges, gains for higher-priced homes have helped offset these declines. As a result, overall sales in 2024 came close to reaching last year’s levels.
Population Gains Contribute to Strong Sales Activity
Lurie attributes Calgary’s strong sales activity in recent years to population gains. The city’s growing population has led to increased demand for housing, which has helped drive sales above long-term trends.
Insufficient Supply Choice Affects Sales
However, Lurie notes that had there been more supply choice available, sales would likely have been higher last year. The shortage of homes on the market continues to be a challenge in Calgary’s housing market.
Implications for Homebuyers and Sellers
The December sales figures provide insight into the current state of the Calgary housing market. While home sales declined in December, prices remain stable. However, supply challenges persist, which may impact homebuyers and sellers in the coming months.
Market Outlook
Lurie notes that despite the decline in sales, the Calgary housing market remains tight due to population growth and limited supply. As a result, homebuyers can expect continued competition for available homes.
Conclusion
In conclusion, while Calgary home sales declined in December, they remain nearly 20% higher than long-term trends. The stable benchmark price and persistent supply challenges highlight the complexities of the Calgary housing market. Homebuyers and sellers would do well to understand these dynamics as they navigate the current market landscape.
Recommended Resources
- Canadian Real Estate Association (CREA) statistics on home sales
- CREB’s chief economist Ann-Marie Lurie’s insights on the Calgary housing market
- National Post articles on the Canadian housing market
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Sources:
- Calgary Real Estate Board (CREB)
- Canadian Real Estate Association (CREA)
- National Post
