Calgary benchmark home price rises again

Hits $526,700 in April despite slowing sales

Calgary home prices managed to inch higher in April despite a market slow down as homebuyers continue to turn their attention to Alberta's most populous city.

The benchmark price in the city reached $526,700 in April, jumping 17 per cent from the same time last year, according to data from the Calgary Real Estate Board. That figure was also up 2 per cent on a month-over-month basis, showing that the prospect of higher interest rates had yet to bite into demand.

A total of 3,401 homes exchanged hands last month, marking a six per cent boost year-over-year and a record high for the month of April.

CREB noted that despite the gains in both sales and prices, the market was less exuberant last month when compared to March's record-breaking pace of sales. However, the organization said sellers' market conditions persisted into April.

“Despite some of the monthly pullback, it is important to note that sales remain exceptionally strong and are likely being limited due to supply choice in the market,” said CREB chief economist Ann-Marie Lurie in a release. “While further rate increases will likely start to dampen demand later this year, more pullbacks in new

FURTHER RATE INCREASES WILL LIKELY START TO DAMPEN DEMAND LATER THIS YEAR.

listings this month are ensuring the market continues to favour the seller, resulting in further price gains.”

CREB also noted that for the first time since spring 2020, sales slowed in the detached segment on a yearover-year basis, falling to 1,815 units last month.

However, the group added that these figures are still strong over a long-term trend and the detached benchmark rate hit $628,900 in April.

Similarly, buyers pumped the brakes on the semi-detached and rowhouse segments in April, though sales levels remained historically strong.

Over the course of the pandemic, Calgary has seen a rapid run-up in home prices and sales volumes, as oil prices rebounded from an early crash.

The market is being driven in part by homebuyers from pricey markets such Ontario and British Columbia seeking more affordable options, either to live there or as investment properties.