REAL ESTATE – FOOTHILLS AREA – LOOKING BACK ON 2024 & LOOKING AHEAD TO 2025
by Wayne Chaulk BComm., Realtor
Looking back over 2024
2024 was a vibrant year for real estate in Calgary and surrounding areas. People are moving here for various reasons including our affordable market relative to other Canadian cities, particularly Toronto & Vancouver, our entrepreneurial climate, attractive lifestyle, the natural beauty, safety, work & business opportunities. Calgary is usually in the top 5 cities in the world to live in from surveys. It is estimated on average there were 250 – 300 people a day moving to Calgary and surrounding areas throughout 2024!
During 2024 there were 122 sales in the $800 – $1.4M range in the Foothills. July 2024 was the peak selling month for rural properties. Properties with lot sizes under 5 acres with updated features achieved the fastest sales time. There were 34 sales over the last 3 weeks throughout the Foothills including 5 acreages and the rest equally split among homes in Okotoks & High River. Average days on market (DOM) across all was about 49 days. That is quite good given it was the Holiday season and early January.
A look back at total activity in 2024 throughout the Foothills showed 1,446 sales including acreages and homes in rural towns versus 1,396 sales in 2023, an increase in 2024 of 3.4%. For raw land there were 105 sales in 2023 and 117 in 2023.
According to the CREB forecast report rural towns in the Foothills had strong gains in 2024.
OKOTOKS – Improved new listings in 2024 supported sales growth and modest inventory gains. However, inventory levels remained at half the historical average, reflecting the market’s exceptionally tight conditions with months of supply averaging just 1.3 months throughout the year. Limited inventory continued to drive price increases across all property types. The residential benchmark price averaged $615,708, an eight per cent increase over 2023. Okotoks has experienced seller market conditions since the end of 2020, driving four consecutive years of price growth for a total gain of 49 per cent!
HIGH RIVER – Sales in High River grew in 2024, driven by increased activity in the row and semi-detached segments. Sales were 20 per cent above the long-term average, but new listings failed to keep pace, ensuring the market remained firmly in the seller’s favour with a sales-to-new-listings ratio of 89 per cent and months of supply averaging just 1.2 months, inventory eased. High River’s relative affordability compared to surrounding areas and Calgary likely contributed to strong demand. Prices rose across all property types, with detached benchmark prices averaging $558,225, a nine per cent annual increase.
Looking ahead to 2025
Currently there have been 26 new properties listed in the Foothills over the last 30 days. There are a total of 124 listings with average 85 DOM (days on market) including acreages and town homes in Okotoks, High River & Diamond Valley.
Expensive acreages over $3- 4 M seem to be struggling to move out. Several very expensive acreages in this range and above seem to have stalled with DOM over 250 days with some showing recent large price reductions. There were 7 sales in the $1.1m to $2.3M range in the last 30 days which is positive given this time of year. Sales were and are currently brisk in Okotoks with Cimarron showing as one of the more popular areas to buy! There is good activity in the Diamond Valley area as well.
Looking ahead, likely 2025 will be a similar year to 2024 with a seller’s market atmosphere, more moderate rising prices, competing offers for some listings, particularly in the $500 to 700K range for rural towns and in the $1M- $1.3M range for acreages, moderating interest rates and growth both in the city and outlining towns and country areas.
Some key highlights from the CREB 2025 forecast.
The 2025 Calgary and surrounding region housing market, including Foothills acreages, is expected to maintain strong performance, driven by easing lending rates, steady demand, and increasing supply from record-high new construction in 2024. However, market conditions are set to rebalance with moderating price growth compared to previous years.
Sales Stability: Total residential sales are forecasted to remain strong. Demand for acreages in the Foothills region will remain steady, fueled by lowering interest rates, country lifestyle preferences, space needs for families desiring more privacy, and affordability compared to expensive urban centers.
Price Trends: Calgary price growth will moderate to approximately 3% as inventory expands.
Foothills acreages are expected to retain value with moderate price appreciation supported by limited supply. Product under $600K will be in short supply.
Migration: The number of people moving to Calgary is predicted to slow in 2025 from the 2024 pace.
Inventory and Supply: Increased listings and new construction are easing pressure on inventory, particularly in suburban Calgary and rural areas including Okotoks, High River & Diamond Valley.
Economic Drivers: Continued population growth and interprovincial migration will sustain demand, though at a slower pace. Risks such as U.S. tariffs and federal policies could impact economic conditions, potentially influencing acreage & rural sales.
For the full 2025 CREB economic forecast click/scan the QR code below.
