Central Alberta Market Stats 

Central Alberta residential MLS sales in September were down 11% compared to August and up slightly compared to September 2023.  The active listing count on October 1 was down 8.4% compared to September 1, leaving the relationship between supply and demand very tight, which has been the case for the past 3 years.

The massive population increase of 204,000 people in Alberta in the past year is the prime driver of the housing shortage.  And Alberta’s vibrant economy is what is driving that population growth.  A recent ATB Economic Update forecasts continuing good things for Alberta and another year of very strong population growth in 2025 at 2.8% compared to the 4.4% growth of 2024.  The good news is that new home construction is at levels not seen in Alberta since the 2006 – 2007 economic boom and is a driving force in our economy.

The ATB update is also forecasting a soft landing for the Canadian economy rather than a recession although labour productivity will be a challenge.  They are also expecting the Bank of Canada interest rate to continue to fall to as low as 2.5%, although consumers will remain cautious, feeling the pinch from past high inflation numbers.  While oil and gas are still the biggest economic drivers in Alberta, diversification is happening in growth sectors such as technology, food manufacturing and aviation.  We expect the local home prices to continue to rise due to ongoing supply shortages for remainder of this year and well into 2025.