Calgary Real Estate Board: January 2025 Market Report Highlights Increased Inventory and Varying Conditions

Calgary Real Estate Board — January 2025

Calgary's residential real estate market reported 1,234 sales in January 2025, with the composite benchmark price reaching $574,100. This represents a year-over-year price change of +3.9%, despite a decline in overall sales activity for the month.

Market Analysis

The Calgary market recorded 1,234 sales in January, a year-over-year decline of 15 per cent, aligning with typical activity levels for the month. While sales decreased across all property types, higher-density homes experienced the steepest declines. Potential buyers for these homes showed more hesitancy to re-enter the market, as increased supply across all segments reduced the sense of urgency.

New listings outpaced sales, causing the sales-to-new-listings ratio to drop to 44.0%, primarily due to shifts in the apartment and row-style home sectors. This dynamic led to an increase in inventory levels, reaching 4,391 active listings, the highest January level since 2020. Months of inventory stood at 3.6, indicating a sellers' market condition overall, though conditions vary significantly by property type. The composite benchmark price of $574,100 reflects a +3.9% increase year-over-year, even as seasonally adjusted figures point to stable levels compared to the end of last year.

Property Type Analysis

Market conditions varied considerably across property types. The detached sector, with a benchmark price of $683,300, saw 657 sales and 1,243 new listings. Inventory for detached homes reached 1,753 units, with less than three months of supply and a sales-to-new-listings ratio of 53 per cent, indicating relatively balanced conditions. The attached/townhouse segment recorded a benchmark price of $460,000, while the apartment sector's benchmark price was $334,200.

Higher-density homes, including row and apartment styles, faced higher levels of inventory compared to long-term trends. Months of supply ranged from under three months in the detached sector to five months for apartment-style homes, reflecting reduced urgency in these segments. Semi-detached homes saw 118 sales and 251 new listings, with a sales-to-new-listings ratio of 47 per cent, maintaining relatively balanced conditions with three and a half months of supply.

Regional Highlights

Price movements for detached homes varied throughout the city in January. Year-over-year declines ranged from less than one per cent in the West district to over six per cent lower in the North East. Unadjusted prices also eased over December, primarily due to pullbacks observed in the City Centre and North West districts, indicating localized market dynamics influencing overall trends.

For Buyers

Buyers in the Calgary market should note the increased inventory, particularly in the apartment and row-style home sectors, which may offer more choice and potentially less competitive conditions. While the overall market remains in sellers' territory, exploring options in higher-density homes or specific districts experiencing price adjustments could present opportunities. Consulting with a real estate professional to understand specific property type and regional nuances is advisable.

For Sellers

Sellers should be aware of the rise in new listings and the resulting increase in inventory, which has reduced the sense of urgency among buyers. Realistic pricing strategies, especially for apartment and row-style homes, are crucial to attract offers. Monitoring sales-to-new-listings ratios and months of supply specific to your property type and micro-market will help in setting appropriate expectations and positioning your listing effectively for the upcoming spring market.