The chart represents over 21,000 actual foreclosure sales of detached homes in Calgary dating back to the 1990s. Every dot is a real sale — a reminder that the market doesn’t always move in a straight line.
From 2003 through 2013, things went a bit wild. I became a licensed Realtor® in 2002, and during those first 10 years it was completely normal to see hundreds of foreclosure listings in the MLS at any given time. And yes — many buyers scored unbelievable deals. That high level of distressed inventory also quietly kept prices from running away on regular homeowners.
Then everything changed.
Governments and lenders tightened the screws — over 200 mortgage rule changes, stress tests, and goodbye to the 30 – 50 year amortizations. Mortgage fraud and “Stupid Money” (you know, the kind you get just for showing up with a pulse) were pushed out of the system.
This chart makes the outcome pretty obvious:
The manipulation worked — unqualified buyers and professional fraudsters got flushed.
Will that change again?
Of course. Regulators and lenders can’t resist tinkering with the rules. And when they loosen up too far — as history shows — this chart will start getting wild again.
Will buyers still find deals in the market? Yes, as the chart for one Calgary Community clearly shows many homes are sold well below average prices almost every month.
