May 2022 Calgary Real Estate Market Update

May 2022 Calgary Real Estate Market Update

Due to an increase in new listings, the first quarter of 2022 saw record high sales activity.

In comparison to the previous quarter, when sales outnumbered new listings, this gave buyers more options. Although the number of new listings increased, it was insufficient to add significant supply to the market. Inventory levels fell by 30% in the fourth quarter of 2021, compared to long-term trends, resulting in the lowest quarterly inventory level since 2014. "In the first quarter, record sales combined with low inventory levels resulted in months of supply averaging just over one month," said CREB® Chief Economist Ann-Marie Lurie.

Real Estate Market Update in Calgary

"We haven't seen conditions this tight since 2006, which was also the last time we saw price increases of more than 15%." In the first quarter of 2022, the persistent sellers' market conditions weighed on prices. The total residential benchmark price averaged $496,767, owing to strong gains in the detached sector of the market.

This represents a nearly 8% quarterly increase and a nearly 15% year-over-year increase. While strong sales were expected in the first quarter, demand continued to outperform forecasts. "Expectations of rising rates and further price increases are likely to push consumers into the market as soon as possible," Lurie said. "However, a lack of choice in recent quarters has created a demand spike that can only be met as supply levels improve." While the economy will continue to support housing demand, the rate of sales is expected to slow later this year.

This will eventually aid the market's transition to more balanced conditions, reducing price pressure.

For more information on listings, the market, or selling your home, reach out to us today! 

Check out our newest listing below:


No comments

Post Your Comment:

Your email will not be published
Data is supplied by Pillar 9™ MLS® System. Pillar 9™ is the owner of the copyright in its MLS®System. Data is deemed reliable but is not guaranteed accurate by Pillar 9™.
The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA. Used under license.