Calgary home prices rose by over $6K last month

Constantine Androsoff/Shutterstock

According to the latest data from Ratehub.ca, Calgary saw a major jump in home prices this spring, and the income needed to keep up is also climbing.

The average home price in the city rose from $580,900 in April 2024 to $587,100 by May 2024, marking a $6,200 jump. This increase also pushed up the income required to afford a home, rising from $119,500 to $120,520, an additional $1,020.

Meanwhile, Edmonton also experienced a rise in home prices, but it is still notably more affordable than Calgary. The average home price in Edmonton climbed to $392,700, up by $4,200 since April.

That might be unsurprising considering Calgary’s market was just called “seriously unaffordable” by a Canadian think tank, whereas Edmonton was named the most affordable major city in Canada in the same report.

Ratehub.ca

You might also like:

The study’s May edition, which analyzes affordability across major Canadian cities, highlighted worsening conditions in 11 out of 13 markets month over month.

Despite a relatively flat mortgage rate, averaging 5.49% compared to 5.5% in April, the rising home values are definitely a challenge for prospective buyers.

Looking at other Canadian cities, Hamilton came out on top with the highest increase in required income needed to afford a home, where buyers now need an additional $1,550 annually to afford the average home priced at $868,300.

Victoria followed closely behind, with a $7,600 rise in home prices that required an extra $1,230 in income.

Things don’t look like they’re going to get better anytime soon either, with the recent Bank of Canada rate cut in June possibly further influencing summer home prices.

A number of real estate boards, like the Canadian Real Estate Association, say they’re expecting an increase in sales in the coming months.