Deciding whether now is the right time to invest in real estate in Calgary means weighing current signals, risks and opportunities. The market has been shifting lately, and while things aren’t perfect, there are several reasons why it might be a good moment ─ depending on what kind of investor you are ─ plus some cautions to keep in mind. Here are expert insights and tips.

What the data says

First, let’s look at what’s going on in Calgary’s market:

• Supply is catching up ─ The inventory of homes for sale has risen sharply. New listings are up, active homes on the market have nearly doubled compared to 2024 in many segments. This means less competition for buyers (and investors).
• Renting is cooling ─ After years of strong rent growth, one-bedroom units are down about 5–6 % year-over-year, two-bedrooms down around 7 %. More supply (especially of purpose-built rentals) and slower demand growth are contributing. 
• Strong fundamentals remain ─ Despite cooling in parts of the market, Calgary has increased population, immigration and job growth above national averages. Also, some neighbourhoods are performing better than others.
• Prices are more stable ─ Benchmark home prices are flat or slightly down in some categories. Detached homes hold up better while condos are seeing more downward pressure.

Pros and cons of investing now

Pros

• Better negotiating power ─ With inventory rising and sales slowing, sellers are less likely to get multiple offers, which can give investors wiggle room on price.
• Potential for capital appreciation ─ If you buy in neighbourhoods with strong demand, the upside remains, especially if the market recovers or the economy strengthens.
• Rental demand in key areas remains solid ─ Areas close to transit, services or in suburbs with good schools are more resilient. Even if rents are declining, properties in prime locations still attract good tenants.

Cons

• Declining rental income ─ If rents drop further, cash flow from rental properties may weaken. Investors need to stress-test their projections (e.g. what happens if rents drop by 10%).
• Vacancy and supply risk ─ With many new rental units under construction, and office-to-residential conversions, there’s risk of oversupply in some areas which may lead to higher vacancies.
• Interest rate uncertainty ─ Mortgage rates, financing costs and policies can shift. Higher financing costs reduce returns.

Expert tips

If you decide to invest now, here are some strategies experts recommend to help reduce risk and maximize potential reward:

• Focus on affordable, mid-market or high-demand areas. Suburbs with good schools, transit, or neighbourhoods undergoing densification tend to outperform.
• Buy quality buildings or units. Prioritize properties with strong fundamentals: good condition, low maintenance cost and features tenants care about.
• Do detailed cash flow projections. Account for worst-case scenarios: rent falling, vacancy, higher financing costs and increased maintenance. Only invest if the numbers hold up.
• Consider shorter-term rentals and mixed-use. If regulations allow, units that offer flexibility may allow you to adapt more quickly if markets shift.
• Leverage rezoning, infill or build-to-rent opportunities. If you can move early, you may capture appreciation and benefit from infrastructure or transit plans.
• Watch policy/regulation and rates. Changes to property tax, rent regulation, municipal bylaws, vacancy law, etc., can affect profitability.
• Hold for the long term. Short-term flipping may have higher risks. For investors expecting to hold over several years, the long-term growth potential in Calgary still looks solid.

In closing

Is now the right time to invest in Calgary real estate? Probably yes — for the right investor, the right property and in the right location. If you’re ready to consider making this move, reach out to me for the expertise you need.