Calgary now has two markets. CREB®’s February 2024 report, released on March 1, shows that inventory of homes priced under $500,000 fell 31% compared with last February, while supply is rising for higher-priced homes.
Benchmark price growth vs February 2023, selected districts
Where prices rise fastest
- The East district, the city’s most affordable, had the highest annual price growth at 25%.
- The City Centre, which is relatively better supplied, had the slowest growth at under 5%.
- Semi-detached prices in the East rose over 26%, against 10% in the City Centre.
- Row and apartment prices rose fastest in the most affordable districts too.
“The biggest supply challenge is for homes priced under $500,000,” said CREB Chief Economist Ann-Marie Lurie, adding that supply growth at the upper end is “supporting more balanced conditions.”
What it means
For first-time buyers, competition is fiercest exactly where budgets are tightest. Look at the City Centre and at areas with more condo supply, where price growth is slower. For move-up buyers, the upper end now offers more choice and time.
Which homes sell under $500,000
In February 2024, the row benchmark was $436,500 and the apartment benchmark $329,600. The detached benchmark was $721,300 and the semi-detached benchmark $639,100. So the under-$500,000 segment is mostly condos and row homes, with some older or smaller semi-detached and detached homes in more affordable districts. That is exactly the part of the market where demand has been strongest since 2023, when higher rates pushed buyers towards cheaper homes.
How tight it is
Lurie called homes under $500,000 the market’s biggest supply challenge. Inventory in that range fell 31% from last February. Row homes had less than one month of supply for the second month in a row. Apartment inventory was 12% lower than a year earlier, with just over one month of supply. Meanwhile, supply is starting to rise for higher-priced homes, which is bringing more balanced conditions at the upper end.
Where prices rose most
The East district, the city’s most affordable, had the highest annual price growth at 25%. The City Centre, which is relatively better supplied, had under 5%. Apartment prices rose over 19% in every district except the City Centre, where they rose 13%. Row prices rose most in the most affordable districts.
Compared with last year
In February 2023, the total benchmark was below the May 2022 peak, and the apartment benchmark was $286,000. A year later, apartment prices are about $43,600 higher. Fewer homes are now listed under $500,000, and the ones that are listed cost more.
What buyers can do
- Get fully pre-approved and know your maximum before you start; good listings in this range rarely last long.
- Look at the City Centre: condo prices there have risen less, and supply is relatively better.
- Check condo documents: lower purchase prices can come with higher fees or upcoming special assessments.
- Consider the towns: Airdrie’s benchmark was $529,700 in February, though supply there is also very low.
What sellers should know
If your home would list under $500,000, you are selling into the strongest demand in the city. But buyers in this range are often stretching their budget, so a realistic price and a clean, ready-to-move-in home still matter.
Why the gap keeps widening
Two trends are working together. New listings are growing most in the higher price ranges: in February, 75% of new detached listings were priced over $600,000. At the same time, demand is concentrated at the lower end, where apartment sales so far this year are up 39%. More supply at the top and more buyers at the bottom mean the shortage under $500,000 can deepen even while total listings rise.
