Edmonton Real Estate Adjusts to Slower Growth but Strong Fundamentals

The Greater Edmonton real estate market began 2026 with a noticeable shift from the unusually strong conditions seen a year earlier. Sales activity picked up in February but remained down 12% from last year. Supply edged higher, leading to more balanced conditions.

Residential sales totalled 1,606, down roughly 12% from February 2025. Meanwhile, new listings rose slightly to 3,020, about 11% higher than a year earlier. This pushed the inventory up to 3.4 months of supply, signalling that the intense competition seen through much of 2025 has eased. The benchmark price for single-family homes dipped by 1% to $513,700, while townhouses dropped by 4.5% and apartments by 4% year over year. While the average and median prices for single-family homes are still rising, suggesting a greater portion of sales are occurring in the higher price ranges.

Looking ahead, broader economic conditions suggest further moderation rather than a sharp downturn. Alberta’s government recently projected a $9.4 billion deficit tied to lower oil revenues. Population growth is expected to slow from 2.5% in 2025 to about 1.1% in 2026, easing some of the demand pressure that fueled the past two years of housing activity. Housing starts are forecast to moderate to around 40,000 units in 2026 (from a record high of 55,000 in 2025), which should gradually improve housing availability. Combined with slower employment growth and moderating migration, these trends point toward a more balanced and sustainable housing market in the year ahead.