Detached home prices in these nearby spots are rising even faster than in Calgary
If you thought home prices have surged in Calgary over the past year, two nearby spots have seen an even larger spike in their detached benchmark price.
The Calgary Real Estate Board (CREB) outlined in its November statistics package that when you compare detached benchmark prices in cities around Calgary, the bump in prices in two spots even eclipses what YYC has seen over the past year.
Calgary has seen a 7.2% year-over-year increase in the benchmark price of detached homes, settling at $750,100.
That rise is trumped by two surrounding communities starting with Okotoks, which has seen a 7.3% year-over-year rise to hit $707,300.
The spot that has seen the highest year-over-year increase is High River, with an 8% swell and a detached home running you $567,100.
Cochrane has seen the smallest year-over-year increase in the benchmark price for a detached home in the surrounding area, going up by 3.3% to land at $665,000.
CREB
The CREB says year-over-year demand in Calgary remains relatively strong. In November, increased sales in detached, semi-detached, and row homes offset a decline in apartment condominium sales. The 1,797 sales for November mirrored last year’s levels and remained 20% above long-term trends for the month.
Experts point to supply as the reason for the significant shift. Inventory levels rose to 4,352 units in November, a notable increase from the 3,000 units reported last year. Despite the recent gains, inventory levels remain below long-term trends for the month.
“Housing supply has been a challenge over the past several years due to the sudden rise in population,” said Ann-Marie Lurie, chief economist at CREB. “Rising new home construction has bolstered supply in rental, new home, and resales ownership markets. However, supply improvements vary significantly by location, price range, and property type.”
If rising home prices have you down, you aren’t alone. A recent report found that Calgarians are setting their eyes on Edmonton in the hopes of saving some cash when buying a house.