Edmonton Real Estate: 2025 Spotlight on Luxury

Interprovincial migration continues to spur home-buying activity in the luxury segment of the Edmonton real estate market, with sales over $1 million up almost 70 per cent in the first two months of 2025. Fifty-six properties changed hands between January and February, up from 33 sales one year ago.

Edmonton’s population gain, largely at the expense of Ontario and to a lesser extent, BC markets, was the highest ever from July 1, 2023 and July 1, 2024, with almost 14,000 new residents added to the city, according to Statistics Canada Population Estimates for Subprovincial Areas, 2024. The overall rate of population growth rose 4.5 per cent in Edmonton, one of seven markets to record their fastest population growth rates in over 20 years.

While most high-end sales in the Edmonton real estate market are occurring between $1 million and $1.5 million, there have been a number of uber-luxe sales in the market. Infill has gained serious momentum over the past year, with new luxury construction evident in Edmonton’s premier communities including Belgravia, Glenora, Westbrook, South Side, and Windemere. Some buyers are purchasing older homes on large lots sizes with plans to tear down and custom-build luxury homes. Just last year, one buyer purchased two properties side-by-side with a price tag exceeding $4 million with the intention to build one spectacular home. While this is an exception to the rule, the move demonstrates the confidence that’s building in the Edmonton housing market.

The on-again off-again threat of US tariffs has only served to accelerate home-buying activity in the top end, with end users encouraging builders and contractors to ramp up the building process to evade potential tariffs on building materials down the road.

The average price of a home at the top end of the Edmonton real estate market (over $1 million) now sits at $1.63 million. Some of the activity at the lower end of luxury can be attributed to the federal government extending the cap on mortgage insurance to $1.5 million and increasing the amortization period to 30-years for first-time buyers. Multiple offers have been occurring on single-family homes, especially between $1 million and $1.2 million.

Luxury condominiums are a smaller segment of the overall luxury market, representing seven per cent of sales (4/56). Most of the activity is occurring in the city’s exceptional Legends building in the ICE District. Detached luxury condominiums are also gaining a following in the city, with more builders and developers focusing on this segment of the market.

Edmonton’s “affordable luxury” entry-point remains a draw, with demand exceeding supply. The ripple effect has taken hold, with overall housing sales and prices climbing in both resale and new housing markets. While there are uncertainties ahead, given US tariffs and the impact on the provincial and local economies, housing inventory levels remains tight, with robust housing starts breaking records set in 1990. Population growth is expected to continue to propel Edmonton’s economy, with in-migration to the city continuing to play a role, despite an expected decline in immigration rates in the year ahead.

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