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Alberta Rental Q&A

Are Calgary rents going down in 2026?

Quick Answer

Yes, modestly. Calgary purpose-built rental vacancy climbed from 1.4 percent in 2023 to approximately 5.0 percent in October 2025 per CMHC, and advertised rents fell 2 to 8 percent across unit types in Q1 2025 with continued softening through 2026. The decline is concentrated in apartment-style condos and new-build downtown towers. Townhouses, single-family rentals, and inner-city walkable neighbourhoods have held rents much firmer. Most market analysts expect the decline to bottom out in mid-to-late 2026 and gradual recovery to begin in 2027.

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By Vishnu Gabbula · May 1, 2026

Calgary rents rose 14.3 percent in 2023 and 8.9 percent in 2024, driven by extreme tightness and inter-provincial migration. In 2025 and 2026 the market rebalanced as roughly 7,000 new purpose-built rental units delivered in 2024 alone (165 percent above historical average per CMHC), immigration slowed, and demand normalised. The result is Calgary's first meaningful rent decline since the pandemic.

Key Facts

  • CMHC Calgary purpose-built vacancy: 1.4 percent (Oct 2023) → 4.6 percent (Oct 2024) → 5.0 percent (Oct 2025).
  • Advertised 2-bedroom rents: down approximately 7.2 percent year-over-year in January 2025.
  • Purpose-built rental units delivered in Calgary in 2024: approximately 7,000 (165 percent above historical average).
  • Market recovery baseline case: rents stabilise mid-to-late 2026, gradual growth resumes in 2027.

Which Calgary submarkets have softened most?

  • Downtown Beltline studio and 1-bedroom new-build condos.
  • University District and Brentwood new-build apartment towers.
  • Saddle Ridge, Saviour Hills, and parts of NE Calgary with heavy new supply.
  • Larger downtown 2-bedroom units (less severe than studios).

Which Calgary submarkets have held up?

  • Inner-city walkable SW (Marda Loop, Mission, Lakeview, Altadore).
  • SE master-planned family communities (Mahogany, Auburn Bay, Cranston).
  • Established character buildings in inner-city NW (Bridgeland, Hillhurst, Kensington).
  • Townhouses in northern growth communities (Evanston, Nolan Hill).
  • Surrounding cities with limited new supply (Chestermere, Cochrane).

When will Calgary rents start rising again?

Base case is a bottom in mid-to-late 2026 with gradual recovery of 1 to 2 percent nominal annual rent growth in 2027, accelerating thereafter as new supply pipeline tightens. Bullish case requires stronger interprovincial migration or an energy-sector capex cycle. Bearish case requires continued supply over-shoot or national recession. Watch CMHC quarterly absorption rate data and days-on-market trends for the leading indicators.

What should Calgary landlords do in 2026?

Price at market (not 2023 peaks), invest in property quality (in-suite laundry, updated kitchens, pet-friendly), lock in 13 to 14 month leases to push renewals into the strong May to August window, and hold or take modest 2 to 3 percent renewal increases on strong tenants rather than pushing aggressive increases that trigger turnover.

Sources: Service Alberta, Residential Tenancies Act; Residential Tenancy Dispute Resolution Service (RTDRS); CMHC Rental Market Report. This article is general information, not legal advice.
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Vishnu Gabbula, Associate Broker at PREP Realty

Vishnu Gabbula is an Associate Broker at PREP Realty, a RECA-licensed Alberta brokerage, and the founder of UrbanLease (a Calgary property management website operated by 14463137 Canada Inc.). His practice covers residential real estate, commercial real estate, rural properties, and property management across Calgary, Alberta. He runs Calgary House Rentals Group (105,000+ members) and Edmonton House Rentals Group (65,000+ members), two of Western Canada's largest rental communities on Facebook. He writes on Alberta tenancy law, the Residential Tenancies Act, CMHC MLI Select multi-unit financing, tenant screening, and rental market data, built on day-to-day experience managing rentals across Calgary and surrounding cities.

Published May 1, 2026 · Updated May 15, 2026

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