Activity in the region showed signs of weakening in 2019. Competition from the new-home sector, and narrowing price spreads between Calgary and Chestermere, might be impacting resale activity. In 2019, sales activity fell and new listings rose. This resulted in inventory gains and rising oversupply. The rising new listings were caused, in part, by a larger share of new-home product listed on the MLS® System.
With supply exceeding demand throughout most of the year, prices declined. In 2019, the benchmark price in the area was $455,375, three per cent lower than the previous year. Moving forward, the downward pressure on prices will likely persist until there is a notable shift in conditions, whether from easing supply pressures or improvements in demand.