Rising Oil Prices
- 4 days ago
- 2 min read
How $100 Oil Could Affect Calgary Home Prices
If the Strait of Hormuz remains closed for the foreseeable future, higher oil prices could contribute to inflation and put upward pressure on interest rates.
If you want to buy a house, consider purchasing soon, in a Financial Post article dated April 29, 2026, "Overall, the Bank of Canada appears comfortable leaving rates unchanged for the rest of the year, unless oil prices remain high. With WTI back above US$100 per barrel for the first time in over a fortnight and negotiations between the U.S./Israel and Iran seemingly at a standstill, there are growing risks to our view that the first interest rate hike will come in 2027."
If oil prices remain elevated, Calgary could see stronger housing demand as employment in the energy sector improves and migration continues. During the 2008 oil boom, campgrounds filled with workers because rental housing was in such short supply.
Buying a Home in Calgary
If you are a first-time home buyer, many builders are offering incentives. If you are comfortable living in a developing neighbourhood that may take years to mature, buying new can be a good option right now. If you are working with a builder that allows realtors, we can assist you in finding the best plot and design for resale.
If you want to buy a detached home in an established area, give us a call, we will find you a gem, but you have to move fast and be pre-approved, without contingencies of your home selling first. It is already very competitive out there for nice properties.
If you are handy and can fix up a home, there is definitely some sweat equity to be had in certain neighbourhoods. We can help you find the right fixer-upper with strong renovation potential.
Selling a Home in Calgary
If you are selling and want to buy another home, ask your lender if you can transfer your mortgage to a new property.
If you own a detached home in a desirable area and want to downsize, condos and townhouses are a buyer's market right now, you could reduce or even eliminate your mortgage altogether. See our luxury condo page for best condos that hold their value.
If you own a detached home in a desirable area and want to move up the property ladder, acreages around Calgary are still reasonably priced.
Conclusion
If the rising oil prices are sustainable, it can reduce Alberta's debt, strengthen the economy, attract workers, increase migration, and add demand to the Calgary housing market. If housing supply cannot keep pace, Calgary home prices could continue to rise.
Contact us today to discuss your real estate goals. We follow economic trends, interest rates, and the Calgary housing market to help our clients make informed buying and selling decisions.
