Calgary's residential real estate sector experienced a notable cooling in 2025, transitioning from a prolonged seller's market to more balanced conditions, according to the annual review released by the Calgary Real Estate Board (CREB).
Market Metrics Show Clear Shift
The data reveals a significant recalibration. Annual sales activity declined by 16 per cent in 2025. Conversely, the volume of new properties entering the market grew, with new listings increasing by nine per cent over the year. This combination of rising supply and softening demand applied downward pressure on home values.
The overall average benchmark price settled at $577,492 for 2025, marking a two per cent decrease from the previous year's average. However, this headline figure masks divergent trends across different housing types.
Price Variations by Property Type
Not all segments of the market moved in unison. Detached homes, often in high demand, saw their average price rise by one per cent. Semi-detached homes followed a similar path, increasing by two per cent. The downward pressure was concentrated in higher-density housing. Apartment condominium prices fell by three per cent, while row homes experienced a two per cent decline.
Ann-Marie Lurie, CREB's chief economist, noted that supply growth exceeded expectations. "Supply levels were expected to rise in 2025. However, the growth was higher than expected, especially for apartment condominium and row homes," Lurie stated. "This weighed on prices in those sectors enough to offset the annual gains reported for both detached and semi-detached homes."
Regional Differences and December Trends
Market conditions also varied by location within and around Calgary. Lurie pointed out that adjustments were not uniform, with some neighbourhoods retaining seller's market conditions while others shifted to favour buyers.
In surrounding communities:
- Airdrie saw inventory return to pre-pandemic levels, contributing to a two per cent drop in its average benchmark price.
- Cochrane moved toward balance late in the year, but tight supply for most of 2025 pushed its annual average price up by three per cent.
- Okotoks witnessed a supply jump of over 40 per cent, though levels remained below long-term trends. Prices edged up slightly, with apartments leading at an eight per cent increase.
Year-End Softening Continues
The downward trend persisted through the final month of the year. December's benchmark price was $554,700, a 4.7 per cent drop from December 2024. Sales fell by nearly 15 per cent month-over-month, and available inventory surged by 29 per cent.
Key indicators pointed to a slower market pace. The "months of supply" metric doubled to 3.43 compared to December 2024, meaning it would take over three months to sell all existing inventory at the current sales rate. Additionally, the average days a property spent on the market rose to 53, a 22.4 per cent increase year-over-year.
This collective data from CREB confirms a definitive shift in Calgary's housing landscape, moving away from the intense competition of recent years toward a more measured and balanced market for 2025.
