Greater Edmonton Housing Market Shifts Toward Balance to Start 2026

The Greater Edmonton real estate market began 2026 with a clear moderation in activity compared to the unusually strong start to 2025. January recorded 1,151 residential sales, down 28 % year over year, while new listings increased modestly to 2,512, up 5 % from January 2025. This shift pushed the sales-to-new-listings ratio down to 46 %, from 66 % a year earlier, signalling a move toward more balanced market conditions.

Despite softer sales, prices rose modestly. The average residential sale price reached $448,761, up 2.5 % year over year, while the median price rose to $430,000, a 3.0 % increase. With a 3 % increase in new listings, inventory levels increased significantly. Active residential listings at month-end rose to 4,881 units, up 32 % from January 2025. As a result, average cumulative days on market lengthened to 90 days from 71 a year earlier, indicating reduced urgency among buyers and greater choice across most price ranges. There are now 4.24 months of inventory on the market, indicating a balanced market after sellers enjoyed the advantage for more than 2½ years.

Broader economic trends support this recalibration. According to ATB’s January labour force survey analysis, Alberta’s job market started 2026 on a stronger footing, with employment rising and the unemployment rate drifting to its lowest in nearly two years – driven by full-time job gains and slowing population growth. This improvement suggests income stability that underpins housing demand even as overall market activity cools.

Overall, January’s data suggest the market is recalibrating rather than reversing. Population growth, employment stability, and relative affordability continue to support prices, even as higher inventory and slower sales point to a more measured pace of activity heading into early 2026.