City of Calgary, July 22, 2019
A struggling energy sector continues to impact the overall economy.
Unemployment levels are elevated and income growth is weak.
However, Calgary continues to benefit from stable population growth fueled by international migration and natural increases.
Supply continues to adjust in the resale market, as well as the new-home and rental markets. Reductions in housing supply are expected to move the resale market toward more balanced conditions and support price stability by the end of the year.
Conditions throughout specific price ranges and product types continue to vary. Growth in the attached and detached markets continue to be fueled from the lower end of the market.
Apartment activity is facing challenges due to the competition from new product and rentals.
Nonetheless, supply declines are helping to better position the broader market moving into 2020.
Three things to know about the 2019 mid-year forecast:
• Stable lending rates and the new shared-equity mortgage program may support improvements in the second half of the year…
• Concerns over slowing growth and rising commodity prices may affect consumer confidence and housing sales..
• Slow economic activity in Alberta may result in weaker job growth than the current forecast suggests…