Changing market may ease the strain of buying a home in Calgary

While the cost of home ownership in the city remains far higher than it was at this time last year, the latest report from the Calgary Real Estate Board indicates there is a shift on the horizon.

"The market isn't as tight as it was earlier. That being said, it does depend on what property type you're dealing with, and while prices are slipping a bit, we have to keep in mind they are still higher than they were last year," said CREB chief economist Ann-Marie Lurie.

The cost of an average detached home is $647,500, which is about the same as in May but is 16 per cent higher than the same time in 2021. Semi-detached homes are priced at $581,600, on average, and townhouses sit at $363,700.

Condo prices were the closest to seeing a decrease in prices but still inched up one per cent to an average of $277,400.

Earlier this year, Lurie said, prices were going up two or three per cent every month — but that's no longer a factor as supply chain issues ease and inventories rise.

However, the unstable economic situation does mean buyers have to think hard about their timing.

"Qualifications are changing, rates are increasing. Those are also factors when you're considering as a buyer as to what opportunities you have in this market," Lurie said.

It's also not wise to think you'll have the pick of the litter when going into the market: other buyers are competing to get a home as well. Along with Calgarians interested in new places to live, there are investors snatching up properties and people flowing in from outside Alberta.

"One thing to keep in mind is we are seeing migration flows back into the province, which is something we haven't necessarily been seeing prior to COVID."

Lurie added prices will likely continue to see a decline through the second half of 2022, but it remains unlikely there will be a complete reversal of the price gains that began this year.