Calgary’s real estate market saw a significant decline in overbidding activity in this year’s third quarter (Q3), with only 10 per cent of neighbourhoods experiencing homes selling above asking, compared to 54 per cent in the second quarter, according to an analysis from Wahi.

Homes sold within $5,000 in nearly 70% of Calgary neighbourhoods despite overbidding drop

The company notes this drop doesn’t signal a collapse in home prices or significant losses for sellers, but rather that prices across most neighbourhoods remained stable.

Over two-thirds (69 per cent) of about 200 Calgary neighbourhoods saw homes sell within $5,000 of asking price.

In Q3, the median price of a Calgary home stood at $561,000, down 2 per cent from the previous quarter but still up 13 per cent compared to the same time last year. While Calgary as a whole slightly moved into underbidding territory, the median underbid amount was a modest $4,925, reflecting overall market stability.

“The Calgary market has been holding steady despite an apparent rise in underbidding activity,” says Wahi CEO Benjy Katchen. One factor Katchen attributes to this is the fact that summer is short and people tend to go away on vacation.

A drop in home sales with stable prices

Although home prices remained relatively stable, Calgary saw a sharp drop in home sales during Q3.

A total of 6,585 homes sold, representing a 25 per cent decline from the previous quarter and a 16 per cent decrease from the same period in 2023.

Top Calgary underbid & overbid neighbourhoods in Q3

149 Calgary neighbourhoods were in underbidding territory in the third quarter, with the largest underbids found in upscale areas where home prices range from $1 million to over $2 million.

Cambrian Heights was the exception, with lower price points but still significant underbidding.

19 neighbourhoods remained in overbidding territory, and Red Carpet led the way with a median overbid of $10,200. Despite this, the overall market saw little in the way of large price increases.