Buying a home in Calgary is becoming more affordable, according to a new report from Royal LePage. However, the city still trails several other Alberta markets when it comes to overall affordability.
The report found that while housing costs have become more manageable over the past two years, Calgary remains outside Canada’s top 15 most affordable housing markets.
Calgary’s Affordability Is Improving
According to Royal LePage, the typical Calgary household now spends 38.4% of its income on mortgage payments for an average-priced home.
That is a noticeable improvement from 44.1% in 2024.
The report attributes the change to stabilizing home prices and continued income growth, which have helped narrow the gap between earnings and housing costs.
Despite the improvement, Calgary ranked just 23rd among Canadian cities for housing affordability.
Home Prices Remain High
Affordability has improved even as home prices remain elevated.
Royal LePage reported the average home price in Calgary reached $689,100 during the first quarter of 2026.
Based on a three-year fixed mortgage rate of 4.64% and a 25-year amortization period, the estimated monthly mortgage payment works out to approximately $3,094.
Other Alberta Cities Continue To Lead
While Calgary has made progress, several other Alberta cities remain significantly more affordable.
According to the report:
- Lethbridge ranked as Canada’s most affordable housing market.
- Red Deer ranked fourth nationally.
- Edmonton ranked seventh.
The rankings are based on the percentage of a household’s monthly income required to cover mortgage payments.
Alberta Continues To Attract Buyers
The report also found Alberta remains a popular destination for Canadians looking to escape higher housing costs elsewhere.
Among respondents living in the Greater Toronto Area and Metro Vancouver, Edmonton was the most popular relocation destination for buyers willing to move if local employment or remote work opportunities were available.
Royal LePage President and CEO Phil Soper said many buyers are increasingly looking beyond Canada’s largest cities.
“Home prices in Canada’s largest cities have moderated over the past couple of years, but for many buyers, the math still doesn’t work,” Soper said.
“As barriers to entry remain high in the country’s most expensive urban centres, relocating to a more affordable city is becoming less of a last resort and more of a deliberate strategy.”
Affordability Is Improving Across Canada
Royal LePage’s report found that affordability improved in 61 of the 62 Canadian cities included in the study between 2024 and 2026.
Calgary recorded one of the largest improvements nationally, even though it remains less affordable than many neighbouring Alberta communities.
The findings suggest that while buyers may be seeing some relief from the affordability pressures experienced during the pandemic housing boom, many continue looking to smaller cities where housing costs remain considerably lower.
References
DePatie, M. (2026, June 23). Calgary housing affordability improves, still trails other Alberta markets: Report. CTV News Calgary. https://calgary.ctvnews.ca/calgary-housing-affordability-improves-still-trails-other-alberta-markets-report-1.7440112
Royal LePage. (2026). National affordability survey. Royal LePage. https://www.royallepage.ca
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