February Housing Market Update

Low inventory and high demand drive price gains in February

March 1, 2024

Rising Sales and New Listings | Despite a rise in new listings in February, sales also increased significantly, by nearly 23% compared to the previous year, reaching a total of 2,135 units. This suggests a healthy level of activity in the housing market.

High Sales-to-New Listings Ratio | The sales-to-new listings ratio remained exceptionally high at 79%, indicating strong demand relative to supply. This high ratio has kept inventories near historic lows, contributing to a competitive market environment.

Low Inventory Levels and Tight Market Conditions | The months of supply fell to just over one month, signaling very tight market conditions. Low supply coupled with high demand has contributed to price gains in Calgary, particularly in homes priced under $500,000, where inventories fell by 31% compared to the previous year.

Price Gains and Varied Growth Rates Across Districts | The unadjusted detached benchmark price in February was $585,000, representing a gain of over two per cent compared to the previous month and over 10% higher than the previous year. Price growth rates varied across districts, with the most affordable East district experiencing the highest year-over-year growth at 25%, while the City Centre reported the slowest growth at under five per cent.
Housing Market Facts

DETACHED | In February, 1,195 new listings came onto the market, of which 75 per cent were priced over $600,000. While new listings did improve over last month in line with seasonal expectations, levels are still below typical levels for February. At the same time, sales in February rose to 954 units, a year-over-year gain of 20 per cent. The growth in sales was driven by where we saw listings growth, but with a sales-to-new listings ratio of nearly 80 per cent, inventory levels were near record lows for February.

Exceptionally tight market conditions drove further price growth. In February, the unadjusted detached benchmark price rose to $721,300, nearly three per cent higher than last month and over 13 per cent higher than last February. While prices rose across every district, the most significant year-over-year gains occurred in the North East and East districts.

SEMI-DETACHED | Last month’s rise in listings compared to sales was short-lived, as the 223 new listings this month were met with 191 sales, driving up the sales-to-new-listings ratio to 86 per cent. This prevented any significant change to the low inventory situation and caused the months of supply to fall to just over one month.

In February, the unadjusted benchmark price reached $639,100, a monthly gain of over two per cent and 13 per cent higher than last year. Year-over-year price gains ranged from a low of 10 per cent in the City Centre to over 26 per cent in the East district.


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