As we continue through 2025, the Calgary real estate market is not just on the radar of investors and those looking to buy homes. The market has recollected itself after two years of challenges but it is important to recognize it is still a better rental or purchasing market than Toronto or Vancouver. One constant question remains on the mind of many, is it a good time to purchase a home in Calgary? The following are the thoughts on the current market.
Calgary’s Market Outlook: A Healthy Recovery
The Calgary Real Estate Board (CREB) reports that 2025 is likely to mark a strong year for residential real estate, with home sales forecasted to be about 26,000 units, or 20% above the long-term average. This upswing can be attributed mainly to population increases, a favourable economic situation, and slightly improving lending conditions.
Calgary’s current trajectory appears to be moving towards a stable and productive growth period rather than the volatility experienced in recent years. Supply and demand roles in the market balance, especially for potential buyers who may have felt there was no opportunity or felt pressured out by heated markets in recent years.
Price Trends: Moderate, Sustainable Growth
The good thing for buyers is that while prices are anticipated to continue to rise, it is happening at a steady, manageable pace. Overall, all projections note in 2025 the average home price across Calgary is projected to grow by 4% which would mean an average price of approximately $728,104 at the end of the year.
Here is a closer look at segmented price growth:
- Detached homes 4.5% increase due to strong demand in family-oriented neighbourhoods
- Condos are projected to have a modest 2% increase, which is favourable to first-time buyers and those looking to downsize
- Townhouses and semi-detached are presenting as an option for young families and growing popularity as this type of inventory is being depleted.
This type of price growth suggests we are in a healthy market, one that has a long-term value without the fear of getting an overheated bubble.
Population Growth: Fueling Housing Demand
Population growth in Calgary is a key factor influencing housing demand. With current projections suggesting that Calgary’s population to grow to 1.52 million by mid-2025—an increase of 2.1% from the prior year—this continued growth can be attributed to three main drivers:
- Continued immigration into Alberta
- Interprovincial migration-related housing affordability
- Incredible job opportunities in the energy, technology and logistics sectors.
When people move to Calgary, housing demand grows, and there is a strong case for future property appreciation.
Interest Rates: Easing Creates New Opportunities
After years of aggressive rate increases, the Bank of Canada is finally reducing interest rates, which is making mortgage rates easier to afford for many home buyers. Fixed mortgage rates are becoming more predictable, which will help buyers feel more confident again, as they can estimate their monthly payments with more accuracy as well.
The buyers who have been waiting for these changes are likely first-time buyers who didn’t want to pay the borrowing costs on top of high home prices. It will become increasingly more feasible to buy a home as rates decrease, even while the prices may still be edging a little higher.
Housing Supply: Improved Balance, Less Stress
Another positive sign is the improvement in housing inventory levels. For years, late of inventory has led to a low number of options and bidding wars for homes. However, by 2025, developers and sellers will have been able to produce and offer some additional supply into the market.
This creates a more level playing field for buyers to:
- Take their time to look at the neighbourhoods
- Compare home types and price ranges
- Negotiate peacefully, without being rushed
A little increased inventory has also created many types of homes in the market, from luxury single-family homes to small, affordable urban condos.
Is 2025 the Right Time to Buy? Verdict
In light of the current indicators of moderate price growth, reduction in interest rates; a balanced supply of homes, and affordability being maintained; the answer is yes for a lot of buyers. The year 2025 is shaping up to be an exceptional time in the Calgary real estate market for entry and upgrading in a stable and value-rich environment.
Whether you’re a:
- First-time buyer seeking an affordable condo,
- A young family wanting to upsize,
- Or a long-term investor looking for steady returns,
Calgary is checking all the right boxes this year.
Final Thoughts
Should I buy a home in Calgary now? In your life, no real estate decision should be made without prior planning. It is essential to understand the budget and related financing options available. On the other hand, researching the neighbourhood and its long-term growth potential matters a lot. Working with a local mortgage broker in Calgary gives you access to the housing market inside and out. 2025 may not be a “good year,” but it is turning out to be a smart, strategic year for buyers who are ready to act.
So, if you have been on the fence, it may be time to jump in
