Market UpdateFebruary Brought More Inventory—And More Market Activity!
The story of Calgary’s real estate market in early 2025 is one of shifting dynamics. Inventory is on the rise, giving buyers more options, particularly in the sub-$500K range, where the largest inventory increases have occurred. February saw approximately 4,000 homes on the market, yet sales remain above long-term trends. The rapid price surges we’ve seen in the more affordable segments, such as row/townhomes and apartments, have eased slightly as inventory grows, with the apartment sector inching toward balanced market conditions. It’s important to remember that Calgary has been in a strong seller’s market for the past couple of years, and that only started to ease in the latter half of 2024. Buyers are now enjoying a less pressured experience with more selection and fewer multiple-offer scenarios in the first week of listing—though that could shift as we move into Q2 of 2025.
There were 1,721 sales in February, which was above historical averages for the month but 19 per cent lower than levels seen last year and significantly lower than the record levels seen in the post-pandemic period. New Listings in February reached 2,830, roughly in line with historical averages for the month. The sales-to-new listings ratio for the month was 61 per cent, higher than historical averages but below levels seen in each of the last three years.
“Even though more people listed their homes for sale, there were actually fewer sales than in February 2024. So, we’re seeing the seller’s market of the past two or three years ease off,” said Alan Tennant, President and CEO of CREB®. “In turn, that’s caused the pace at which prices are increasing to slow down a bit, which should come as welcome news for buyers.”
One of the biggest questions I’ve been getting lately—especially with the significant jump in citywide property tax assessments—is how much more a home is worth today compared to last year. In most segments, we’re seeing a 1-2% year-over-year increase. So why the drastic jump in assessments? My take is that the city significantly undervalued properties in 2023 and is now playing catch-up. This year, I’m finding assessments are generally closer to market value than in previous years. That said, market value is based on recent comparable sales, not mass appraisals, so it’s crucial to consult your realtor when determining your home’s true value.
With last week’s seventh consecutive interest rate cut, I anticipate even more movement in 2025. Regardless of ongoing tariff discussions, I expect a busy spring market as buyers who’ve been on the sidelines finally step in, move-up buyers take advantage of new inventory, and sellers still benefit from favorable market conditions—at least in the first half of the year. If you’re considering a move in 2025, let’s talk! We can assess your home’s value, strategize around timing, and ensure you’re fully prepared to navigate the market this year.
Calgary & Surrounding Areas Market Recap – February 2025
By Product Type:
Detached Homes
- Sales: 765 units (-20% YoY)
- New Listings: 1,265 units (+6% YoY)
- Inventory: 1,698 homes (+61% YoY)
- Months of Supply: Improved citywide, but supply-constrained in South & North West (1.6 months)
- Price: $760,500 (+5% YoY), with City Centre seeing the highest growth at +8%
Semi-Detached Homes
- Sales: 165 units (-14% YoY)
- New Listings: 240 units (+7% YoY)
- Inventory: Increased 46% YoY but still below historical averages
- Months of Supply: Ranges from 1 month in North West to 8 months in East
- Price: $683,500 (+7% YoY), with City Centre & South seeing the highest growth at +8%
Row/Townhomes
- Sales: Down 9% YoY but still above historical averages
- New Listings: Up 4% YoY
- Inventory: 655 units (double last year’s levels but still below historical averages)
- Months of Supply: South & East = tightest (under 1.5 months); North East = nearly 3 months
- Price: $446,880 (+3% YoY), with East district seeing the highest growth at +12%
Apartment Condominiums
- Sales: 473 units (-26% YoY but still above historical averages)
- New Listings: 852 units (flat YoY but highest February on record)
- Inventory: Up 90% YoY, nearing record highs
- Months of Supply: 3.1 months (+155% YoY) but still below historic highs seen post-2014 oil crash
- Price: $334,200 (+4% YoY), with West district seeing the highest growth at +8%
By Region – Surrounding Markets:
Airdrie
- Sales: 123 units (-9% YoY)
- New Listings: 225 units (+23% YoY)
- Inventory: 345 homes (double last year’s levels)
- Months of Supply: Nearly 3 months (highest since pre-pandemic)
- Price: $537,600 (+1.6% YoY), flat month-over-month
Cochrane
- Sales: 75 units (+YoY)
- New Listings: 126 units (+YoY)
- Inventory: 196 homes (+48% YoY, highest since Spring 2021)
- Months of Supply: 2.6 months (highest since pandemic but below historical averages)
- Price: $577,100 (+5% YoY), near record highs
Okotoks
- Sales: 45 units (-4% YoY)
- New Listings: 60 units (+7% YoY, but still below historical averages)
- Inventory: 69 homes (+19% YoY, but still historically low)
- Months of Supply: 1.5 months (tight conditions persist)
- Price: Flat compared to January, less than 1% growth YoY
Market Insights:
- Inventory is increasing, providing more choice for buyers.
- Detached and semi-detached homes are seeing the biggest inventory gains.
- Prices remain stable or are increasing across all product types.
- Expect continued balancing in Q2, but market activity could pick up with interest rate changes.
If you’re thinking of buying or selling, let’s chat about timing and strategy!
