Five reasons 2026 will be a defining year for real estate. Our 2026 Luxury Outlook dives into the trends shaping the high-end market – inventory, evolving buyer profiles, global demand drivers, and more.
Building on the strengths of 2025, the luxury real estate market in the Bow Valley is positioned to continue outperforming the broader residential market. As we enter the new year, the Sotheby’s International Realty® 2026 Luxury Outlook® offers timely insights to support informed buying and selling decisions. Here in Canmore, Banff, and the Bow Valley, the luxury segment continued to set new benchmarks in 2025. Custom homes and high-quality new construction drove pricing to record levels, highlighted by the highest resale single-family home sale ever recorded in Canmore at $8,675,000. Demand remained strongest for architecturally distinctive properties, mountain-view lots, and turn-key residences offering privacy, energy efficiency, and premium finishes.
This year’s report explores global economic and policy trends shaping luxury real estate, including the growing role of inherited wealth, continued equity-market strength despite volatility, and expanding comfort with alternative assets. Locally, these forces are reflected in sustained interest from high-net-worth Canadians, interprovincial movers, and international buyers seeking stable, lifestyle-driven markets with limited land supply and long-term value protection. While some global markets are seeing inventory expansion, the Bow Valley remains structurally supply-constrained, particularly in established neighbourhoods and within Banff National Park. New construction opportunities in Canmore—especially thoughtfully designed multi-family and custom single-family projects—are helping meet demand, though absorption remains strong when pricing and product align with buyer expectations. The report also examines how major sporting events and infrastructure investment can influence real estate. With continued investment in tourism infrastructure, trail systems, and resort amenities across the Bow Valley, lifestyle appeal remains a powerful driver of long-term housing demand, supporting both primary residences and recreational ownership. Multigenerational living is another growing trend among luxury buyers. In our market, larger homes with flexible layouts, legal suites, and elevator-ready designs are increasingly sought after, allowing families to gather across generations while preserving privacy and future adaptability. Privacy and security continue to rank highly for affluent buyers. Locally, this translates to strong interest in properties with setback lots, treed buffers, gated entries, smart-home systems, and discreet architectural sightlines, particularly in neighbourhoods bordering open space, river corridors, and protected lands.
Local Market Pulse 2025 Record Sale: Canmore achieved its highest resale single-family home sale on record at $8,675,000, underscoring continued confidence in the upper end of the market. Most Sought-After Areas: Luxury demand remains concentrated in Spring Creek, Three Sisters, Silvertip, South Canmore, Benchlands, and select Banff neighbourhoods, where walkability, views, and proximity to trail systems and amenities are paramount. Inventory Conditions: Luxury inventory remains tight relative to demand, particularly for new or recently built homes with modern construction standards. Well-priced, well-presented properties continue to attract strong interest. We invite you to explore current opportunities at sothebysrealty.com. I trust that this collection of research and insights, curated by the Sotheby’s International Realty brand, will assist you in making confident and strategic real estate decisions in the months ahead. Yours, Christopher Vincent
