Alberta Cities See Surge in Detached Home Prices in October

Housing markets in Alberta are experiencing notable shifts, with certain cities witnessing significant increases in the prices of detached homes. Data released by the Alberta Real Estate Association (AREA) for October 2025 indicates that two major cities in the province have seen the average price of detached houses rise by more than 10 percent year-over-year.

Red Deer leads the province with an impressive 15 percent increase, bringing the average price of a detached home to $495,947. Following closely is Medicine Hat, which recorded an 11 percent increase to reach an average price of $430,968. These developments highlight a dynamic shift in the Alberta housing market, with potential buyers taking note of these rising prices.

In contrast, other cities in Alberta have experienced more modest changes. Grande Prairie reported an 8 percent increase, resulting in an average price of $410,655. Lethbridge saw a slight uptick of 3 percent, settling at an average price of $450,187. Notably, Calgary’s average price remained stable at $697,000, while Edmonton faced a 2 percent decrease, bringing the average price down to $539,301. Fort McMurray reported the most significant decline among major cities, with a 4 percent drop, resulting in a median price of $450,254.

Market Trends and Supply Dynamics

Overall, October 2025 saw a 10.4 percent year-over-year drop in sales throughout the province, marking the seventh consecutive month of declining sales, particularly in the row housing and apartment sectors. Despite this, new listings increased by 9.6 percent, suggesting that sellers are still active in the market.

The inventory of available homes rose significantly, with a 22.5 percent year-over-year increase, and an overall increase of 18 percent year to date. The sales-to-new listings ratio showed a slight uptick to 64 percent, with 3.21 months of supply available in October, marking a 36.7 percent increase compared to the previous year.

Calgary, Fort McMurray, and Edmonton continue to experience a loosening in supply conditions. In contrast, Grande Prairie and Medicine Hat remain in a tighter market, both with less than 2 months of supply. Specifically, Medicine Hat has 1.39 months of supply, while Grande Prairie stands at 1.54 months.

These market dynamics indicate a complex landscape for potential homebuyers in Alberta, with certain areas experiencing a surge in demand while others grapple with higher inventory levels and declining prices. As the situation evolves, those interested in real estate may find valuable opportunities in the province’s shifting housing market.

For further insights into the Alberta housing market, including unique listings, interested parties can refer to the full report from the Alberta Real Estate Association.