Alberta Housing Market Report

Alberta Housing Market Overview

View Home Listings in Alberta

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View Home Listings in Alberta

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Alberta’s housing market is still going strong as steady sales activity and low inventory helped to keep Alberta home prices higher in July 2024.

For July 2024, Alberta’s benchmark home price of $517,300 is up 8.1% year-over-year. That’s the largest annual percentage gain out of all provinces this month. However, it’s down 0.2% from last month’s record-high price in June 2024.

Meanwhile, Alberta’s average home price also retreated from its all-time high, declining 2% monthly to $493,549. That is still an 8.6% year-over-year increase, the second largest annual percentage gain among the provinces this month, after New Brunswick.

Sales and New Listings Surge

July 2024 saw a substantial year-over-year increase in Albertan home sales across all property types, with a respectable 6% rise compared to July 2023. In comparison, home sales in Ontario’s housing market are up a smaller 2.9% year-over-year, while British Columbia’s housing market is seeing a 2.1% decrease year-over-year.

This increase in Alberta home sales was driven primarily by improving sales in just a few regions, with Edmonton, Medicine Hat, Grande Prairie, and Fort McMurray leading the way in terms of annual sales growth. Other areas of the province, such as Calgary and Red Deer, are seeing a decrease in sales year over year. The number of new listings province-wide also increased, reaching 11,080 - an 11% rise year-over-year (YoY).

Key Statistics:

1. Total Residential Sales: 7,997 (6% increase YoY)
2. New Listings: 11,080 (11% increase YoY)

The sales-to-new listings ratio is now 72%. The months of supply dropped to 2.14 a 17% decrease year-over-year.

Medicine Hat and Red Deer are reporting the tightest conditions, but Calgary and Edmonton are also experiencing inventory shortages. Months of supply are falling below two months in all regions except Fort McMurray.

Inventory Trends:

1. Total Residential Inventory: 17,133 (12% decrease YoY)
2. Months of Supply: 2.14 (17% decrease YoY)

These figures highlight the aggressive pace at which properties are absorbed, leading to competitive bidding scenarios and increasing prices.

As market conditions tighten, prices across all property types have grown significantly. The average residential price in Alberta rose to $493,549, reflecting an 8.6% increase compared to the previous year. This trend is consistent across different property categories, with notable price hikes in detached, semi-detached, row, and apartment properties.

Average Prices by Property Type:

1. Detached: $579,856 (7% increase YoY)
2. Semi-Detached: $498,057 (12% increase YoY)
3. Row: $378,206 (10% increase YoY)
4. Apartment: $277,272 (4% increase YoY)

Alberta: Seller’s or Buyer’s Markets?

The provincial sales-to-new listings ratio (SNLR) was 72% in July 2024, which is in the seller’s market territory. This means that for every 100 new listings, the market absorbed 72 listings this month. This clearly indicates that demand continues to outpace supply in Alberta's housing sector. Compared to June 2024, the SNLR has decreased in Calgary but has increased in Alberta’s other major cities.

The sales-to-new-listings ratio (SNLR) measures the level of demand vs. the level of supply in the market and can be used to indicate whether it is a buyer's or seller's market. A high SNLR above 60% indicates a seller's market, where there are comparatively more buyers than homes available, leading to higher prices and less negotiating power for buyers. On the other hand, a low SNLR below 40% suggests a buyer's market with more homes available than interested buyers, giving buyers more negotiating power and potentially lower prices. Alberta’s major cities, except Fort McMurray, are currently in a seller’s market, which can help push up Alberta home prices.

Calgary’s housing market continues to be a hotbed of real estate activity, although sales have decreased by 10% year-over-year. The average price in Calgary climbed 12.5% over the past year, reaching $606,657. The sales-to-new listings ratio stands at 66%, and the months of supply is 1.75. Calgary is the only market to see a year-over-year increase in its months of supply.

Edmonton reported a large annual sales growth, with a 27% increase year-over-year. The average home price in Edmonton was $440,466 in July 2024, a 7.4% increase compared to July 2023. The months of supply in Edmonton are at 1.79, down 44% year-over-year, reflecting a rapidly tightening market.

Red Deer saw an 8% annual decrease in sales, with the average price rising by 9% year-over-year to $368,072. The months of supply in Red Deer decreased to 1.71, indicating heightened demand and limited availability.

Lethbridge experienced a 2% increase in sales, with the average price at $391,104, up 19% year-over-year. The months of supply in Lethbridge fell to 1.88, down 17% year-over-year, suggesting a competitive market environment.

Medicine Hat reported a 22% year-over-year increase in sales, with the average price at $360,692, up 20% year-over-year. That’s the largest annual percentage growth seen among Alberta’s major markets this month. The months of supply decreased to 1.38, also the lowest among Alberta’s major cities, down 34% year-over-year.

Grande Prairie saw an 18% year-over-year increase in sales, with the average price increasing 10% year-over-year to $350,687. The months of supply in Grande Prairie dropped to 1.74, down 47% year-over-year.

Fort McMurray reported a 28% year-over-year increase in sales, with the average price falling by 8% to $344,098. The months of supply in Fort McMurray was 4.51, which has decreased by 22% year-over-year.