Good morning, Calgary.

The July numbers are officially in, and they confirm what we have been feeling on the ground for months.

In today's edition:

Let's get into it. 🚀

- Nathaniel and Graham

What This Means: The summer slowdown is holding steady. Sales are down 7.1% and under-contract activity dropped 8.0%, showing that buyers are taking their time. But the 516 price reductions tell the real story.

Sellers are actively adjusting to a market where only 16.4% of homes are selling at or above list price. If you are a buyer, the urgency of the spring is gone. You have the leverage to negotiate, especially if you are looking at unoccupied listings.

We have talked about Calgary becoming a two-speed market for months. The July numbers from CREB just made it undeniable.

Total sales across the city hit 1,904 in July, a 9.2% drop year-over-year. The benchmark price slipped 2% to $569,200. On the surface, that looks like a mild cooling trend. But when you break it down by property type, you see two completely different realities.

Detached homes are holding their ground. The benchmark price is $743,900, down just 1.9% from last year. Semi-detached homes are basically flat, down a mere 0.3%.

Then there is the apartment condo market.

The benchmark price for an apartment condo in Calgary is now $297,600. That is an 8.4% drop year-over-year, and a 13% drop from the peak levels we saw in 2024.

The math here is simple. CREB reports there are over 17,000 apartment-style units currently under construction. That wave of new supply, combined with a sudden drop in international migration, has created a persistent oversupply. We are currently sitting at nearly five months of supply in the condo sector, putting us firmly in a buyer's market.

If you are a buyer, this is the opportunity you have been waiting for. The condo market is offering real leverage, deeper inventory, and room to negotiate that simply does not exist in the detached segment.

If you are a seller, this is a reality check. You cannot price a condo based on what your neighbour got in 2024. The listings that are moving are the ones priced sharply and showing perfectly.

The market has not crashed. It has separated. Knowing which lane you are in is the only way to win right now.

This is not just an empty unit waiting for a tenant. It is a fully operational, active Airbnb with existing bookings. The building (NUDE by Battistella) explicitly allows short-term rentals, which is becoming increasingly rare in Calgary.

The unit leans heavily into industrial design. Polished concrete floors, 9.5-foot exposed concrete ceilings, and floor-to-ceiling windows. The den is large enough to fit a single bed for guests. The kitchen has quartz countertops, stainless steel appliances, and a gas stove. Central A/C and in-suite laundry are included.

But the real value is in the building amenities. Your guests get access to a rooftop lounge with a pool table, darts, a full kitchen, and a patio with downtown views. This is a plug-and-play asset in one of Calgary's most walkable neighbourhoods, and even the furniture is available to purchase separately.

🏗️ Calgary new home starts fell 22% in the first half of 2026. CMHC data shows 11,351 new units started in Calgary through June, down 22% year over year. TD Economics says starts are "set to grind lower" due to weak population growth, elevated unsold inventory, and rising rental vacancy.

🏠 Mainstreet Equity says Calgary's rental market is turning a corner. Calgary-based Mainstreet Equity Corp. reported Q3 2026 results showing vacancy declining to 4.3% from 5.7% in Q2, with NOI up 8%. CEO Bob Dhillon said the company is "taking its foot off the brake" after pausing acquisitions.

🗳️ The Alberta referendum is making Calgary buyers nervous. The Globe and Mail reports that nervousness is rippling through Alberta's housing market ahead of the October referendum. CREB's chief economist says uncertainty around business investment and migration will slow the market's recovery.

🌡️ Climate risk is becoming a real factor in Canadian home buying. CREA CEO Janice Myers discussed how rising insurance costs and extreme weather risks are changing buyer priorities. Homebuyers are increasingly asking about flood zones, wildfire proximity, and climate-related insurance costs before making offers.

🏦 The Bank of Canada is parked. Most banks say it stays there until 2027. The BoC held its overnight rate at 2.25% for the seventh consecutive decision. Major banks including TD, CIBC, RBC, and BMO now expect the rate to hold through year-end and begin rising to 2.50% in Q1 2027.

Thanks for reading. If you know someone trying to make sense of the Calgary market right now, forward this email to them.

Talk soon,

Nathaniel and Graham

Terryberry Real Estate Group