Calgary Home Sales Fall 3% In July As Rates Continue To Rise

Home sales in Calgary, Alberta were down 3% in July from a year earlier as rising interest rates
continue to cool off the real estate market.

The Calgary Real Estate Board said that the region's sales in July totaled 2,254, down 3% from
2,314 in July 2021.

It’s the second consecutive month that the pace of sales has slowed in Calgary. New listings in
July were 3,174, down 4% from 3,298 a year earlier. The average home price in the western
Canadian city was $491,392 in July, up only 1% from $488,484 in the same month last year.

The real estate board blamed the declining numbers on rising interest rates, which have led to
higher mortgage rates and made purchasing a house less affordable for potential buyers.

Specifically, the Calgary Real Estate Board said it is seeing significant slowdowns in sales of
detached and semi-detached homes, and that there continues to be a lack of supply for lower-
priced detached and semi-detached dwellings.

The Bank of Canada has raised its benchmark interest rate more than 2% this year as it tries to
lower inflation, with more rate hikes expected in coming months.