Calgary’s construction industry is busy, with a record number of housing starts last year, which means a lot of supply is coming to the market—welcome news for homebuyers in the province.
“We had 28,000 occupancies last year. In a normal year, we’d have 13,000 to 14,000. We’re talking over double in one year,” said Reid Hendry, the city’s Chief Housing Officer, of the annual performance. These figures were up from 21,365 the previous year.
“On any given street, we’re seeing stacked townhomes, we’re seeing duplexes, we’re seeing singles with suites in the backyard or across the lane,” said Teresa Goldstein, the city’s Chief Planner. “We are offering additional housing choices. It’s getting people into areas where they may not have been able to afford that single-family home.”
According to the Calgary Real Estate Board (CREB), the extra supply is decreasing home prices, while sales have slowed. The organization’s January housing report shows that home sales were down nearly 15 percent year over year, with the benchmark price falling about five percent over the same period.
Slowed sales are being especially felt in the high-density market. With migration to Alberta slowing, increased supply has led apartment-style homes to a benchmark price that is eight percent lower than a year ago.
