After nearly two decades helping Calgary families buy and sell homes, I’ve seen firsthand how interest rate cuts can move the market—but not always in the way you might expect. Central bank research shows that when rates drop, housing demand picks up quickly, with resales rising and the full impact showing up about 18 to 24 months later. But new construction? That takes even longer—housing starts only begin to climb around two years after a rate cut. It’s easy to think that cheaper borrowing will solve affordability, but the reality is more complex. When job markets are strong, buyers feel confident and are quicker to make a move, while builders need time to plan, get permits, and make sure projects pencil out—especially for multi-unit developments. Over time, more supply does come, but it always chases the demand that rate cuts spark. As someone who’s walked many clients through both hot and cool markets, I know true affordability takes more than a change in rates. It’s a reminder that navigating Calgary real estate means looking beyond the headlines and understanding the bigger picture.
Leave a Reply