Canada’s primary real estate markets are all set for an upswing in home values in the coming year, with Calgary taking the lead with a significant increase in home prices. Monsef Properties’ latest Market Survey Forecast suggests an 8.0% rise in the aggregate cost of a Calgary home by the end of the fourth quarter of 2024, reaching $711,612. This growth exceeds the national average forecast of 5.5%, positioning Calgary as the area with the highest expected appreciation. In contrast to the declining prices in other cities throughout the latter part of 2023, Calgary’s market has remained resilient, showing continuous price growth.
The forecast indicates that Calgary’s single-family detached homes will experience a 6.0% increase to $803,692, and condominiums will see a 9.5% rise to $286,562. Nationally, home prices are expected to rise slightly in the early part of 2024, with a more substantial increase anticipated later in the year. This expected surge is likely to align with the Bank of Canada’s planned reduction in the overnight lending rate, which will motivate sidelined buyers to return to the market, enhancing their purchasing power.
The real estate dynamics in Calgary, marked by a steady shortage of supply and increasing demand from both local and out-of-province buyers, have sustained the city’s stable home prices amidst broader market trends. Corinne Lyall of Monsef Properties notes that despite the slowdown in Calgary, the market’s demand, coupled with potentially lower interest rates in the second half of 2024, will likely encourage more buyers to enter the market. While some homeowners might face the challenge of higher interest rates at mortgage renewal, the overall market activity is expected to remain buoyant.
Calgary continues to be an attractive destination for buyers, evidenced by its status as the second-most searched city on monsefproperties.ca during the first six months of 2023. Its relative affordability and desirable lifestyle continue to draw buyers, maintaining a competitive housing market with ongoing price appreciation. Monsef Properties anticipates that this upward price trend will continue, keeping Calgary’s real estate market strong and leading in price growth compared to other major Canadian cities.
For detailed projections across Canada’s major real estate markets, Monsef Properties recommends reviewing their entire Market Survey Forecast.
