Edmonton’s real estate market is trending in the wrong direction — at least if you’re selling a home.
A recent analysis of sales and other metrics for resale real estate in the Greater Edmonton Area show the market is softening and could follow the path seen in Canada’s largest cities.
Larger markets, with low absorption rates for many months, took “awhile to see price adjustments, and this may be the case for Greater Edmonton, too,” says Joannah Connolly, head of content with HouseSigma, a new brokerage and online provider of real estate data for buyers and sellers.
Like those major markets, Edmonton’s has seen falling sales, rising inventory, listings remaining on the market longer and more homes selling for below list price, she adds. In a recent report, HouseSigma points to its January data showing Greater Edmonton Area sales falling more than 27 per cent year over year.
It adds that price declines usually follow sales decreases by about three to six months.
At the same time, inventory is rising with new listings across the region in January reaching 2,512, the highest level in the last five years, an increase of nearly five per cent year over year, based on Realtors Association of Edmonton data.
Still, the average selling price in the city in January was about $449,000, up 2.5 per cent from January last year. The price, however, is down about one per cent from December, RAE statistics show.
HouseSigma’s report notes the average days on the market increased to 90 from 71 a year earlier, while the percentage of homes selling below asking price dropped to nearly 80 per cent, much lower for all of 2025 when about 50 per cent sold below list.
Connolly cites the Greater Toronto Area data as an example of what the future may hold for Edmonton. In 2022, amid higher borrowing costs, sales fell, inventory jumped — especially for condominiums — and that led to the average price declining about 25 per cent over the next three years.
“GTA condos have seen a higher jump in average days on market, but all property types are increasing, giving buyers continued leverage to push prices down,” she says.
Edmonton realtor Jay Sandhu says the city’s market currently shows more balance between supply and demand compared with the past few years when demand was high and supply was hard-pressed to keep pace.
“The urgency has definitely eased,” says the realtor with HouseSigma.
This “moderation” is helpful for buyers, he adds.
“They’re more selective and willing to wait for the right home.”
Connolly notes that Edmonton may follow Calgary’s trend. There, the market is K-shaped; detached homes are still seeing price support, while condominiums and row housing have seen steeper sales and price declines.
Edmonton’s market, however, has a unique upside that could help keep prices stable in the months ahead: affordability.
“Home sale prices are not overinflated compared with some cities, and values have less room to fall,” Connolly says. “If there’s a price correction in 2026, due to slow absorption rates and increased buyer leverage, it will likely be a relatively modest one.”