Calgary Real Estate: 2024 Spotlight on Luxury

Calgary’s juggernaut real estate market continues to advance, with home-buying activity at the top end of the market climbing 52 per cent in the first two months of 2024. Seventy-six single family homes changed hands over $1.5 million between January 1 and February 29, up from 50 properties during the same period in 2023. Nearly 60 per cent of sales took place in February.

Considerable equity gains have allowed local homeowners to step up to larger homes organically in recent years, while luxury buyers from provinces such as British Columbia and Ontario are realizing their dollar stretches much further in the city. The vast majority of purchasers are active in the lower end of the luxury market, stimulating sales between $1.5 million and $2 million. Multiple offers are occurring, and some properties have sold sight unseen in recent weeks. Two-thirds of sales are taking place in Calgary’s inner city – including Mt. Royal, Elbow Park, Britannia and Belair – and in neighbourhoods on the periphery of the core such as the Westside, which offer a balance of accessibility and amenities. Communities on the city’s outskirts make up the remainder of sales, where the combination of the luxury lifestyle and acreage play a substantial role.

Ninety-five per cent of luxury sales are now taking place between $1.5 million and $3 million, with uber-luxe sales over the $4 million price point representing a smaller share of the market. Strong activity at the lower end is likely connected to the mortgage sliding scale and general affordability, with higher interest rates having a greater impact on momentum at the top end. Just over 190 properties are currently listed for sale over $1.5 million, which represents approximately 15 per cent of total inventory. There is a 4.9-month supply of luxury product, which is likely to increase slightly with the spring market just around the corner.

The city is on track for a record year of real estate activity in the high end, with any Bank of Canada cut to interest rates expected to encourage greater activity in the luxury segment. With an estimated 3,500 inter-provincial migrants arriving monthly, the pressure on the middle of the market, priced from $800,000 to $1.2 million, will promote spillover into higher price points, further enabling current homeowners to trade up with relative ease to more expensive homes.

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About the RE/MAX Network
As one of the leading global real estate franchisors, RE/MAX, LLC is a subsidiary of RE/MAX Holdings (NYSE: RMAX) with more than 140,000 agents in over 9,000 offices with a presence in more than 110 countries and territories. RE/MAX Canada refers to RE/MAX of Western Canada (1998), LLC, RE/MAX Ontario-Atlantic Canada, Inc., and RE/MAX Promotions, Inc., each of which are affiliates of RE/MAX, LLC. Nobody in the world sells more real estate than RE/MAX, as measured by residential transaction sides.

RE/MAX was founded in 1973 by Dave and Gail Liniger, with an innovative, entrepreneurial culture affording its agents and franchisees the flexibility to operate their businesses with great independence. RE/MAX agents have lived, worked and served in their local communities for decades, raising millions of dollars every year for Children’s Miracle Network Hospitals® and other charities. To learn more about RE/MAX, to search home listings or find an agent in your community, please visit remax.ca. For the latest news from RE/MAX Canada, please visit blog.remax.ca.

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