In a city renowned for its freeways and sprawling suburbs, more residents are choosing to live closer to its centre — and even forgoing hopping behind the wheel altogether

Who needs to own a car? Not Jennifer Lee.

The 21-year-old moved to Calgary two years ago to study and work in the city's burgeoning IT sector. And like a growing number of millennials, she doesn't own a car and has no plans to own one soon.

While that may not sound altogether revolutionary, Lee represents a wave of change in a city renowned for its multi-lane freeways, suburban sprawl and increasingly congested roadways.

Don't forget to breathe ... and water

It's summer and fields of waving wheat make you smile as you bike down the Cowboy Trail south of Cochrane. You love this image so much you seriously consider selling your condo in the city and buying a farm.

As you arrive home later in the day reality hits. Your plants have wilted in their hot, black pots on the patio. Superbells lay limp and are probably dead. Petunias wilt. Snapdragons droop. Maybe you can't buy the farm until someone starts watering for you in town.

Developing urban ecosystems in our own yards

When thinking about preserving complex ecosystems, many people think of our provincial parks and large-scale grasslands. However, with the total urban land in Canada doubling in the last 40 years, it's impossible to ignore the native species that fill the patchwork of green spaces that are our yards.

Birds, in particular, are not only losing their natural habitats faster than you can say "tweet," but are also being eliminated in massive amounts by their number one predator — house cats.

"As far as habitat in Calgary for many of our local bird species, it just doesn't exist anymore or it's really degraded," said Barbara Kowalzik, a program advisor with The City of Calgary Parks Department at the Inglewood Bird Sanctuary and Nature Centre.

"A good example is our wetlands. Over 98 per cent of our wetlands have been lost or degraded so that habitat just doesn't exist. Whatever the citizens of Calgary can do in their own yards to promote that local habitat, will really help."

CMHC change will allow buyers to use more rental revenue as qualifying income

A rule change from Canada's Crown housing corporation may provide more fuel for Calgary's long-running debate on secondary suites.

Set to take effect Sept. 28, the change will allow homeowners to count 100 per cent of rental income from legal secondary suites as qualifying income applying for a mortgage.

Up from the current level of 50 per cent, Canada Mortgage and Housing Corp. said the changes were made after a review of the corporation's policy for treatment of rental income.

"It appears as though CMHC is making these changes to assist with affordable housing," said Nolan Matthias, broker at Calgary's Mortgage360.

Housing demand expected to weaken

Mike Dunn moved to Calgary from Edmonton in July. He'd been thinking for a while about relocating, but when a friend offered him an affordable place to stay, he decided to take the plunge.

"It was like walking into a hurricane, to land here during Stampede, but it was good," he said with a laugh. "It seems like a place where if you work hard, you can pull off a decent living."

Dunn's not the first to switch area codes – and he won't be the last.

But he does represent a smaller number, as net migration — the difference between the number of people who have moved to Calgary, compared to the number who have moved away from the city — is at its lowest since 2011.

Supply gain in apartment sector threatens to impact price

Declines in residential housing sales activity eased in July, creating, when combined with stable inventory levels, no change to the month-over-month price.

Year-over-year sales fell by 14 per cent to 1,995 units in July, compared to a 17.8 per cent decrease the previous month. Despite the decline, sales activity during the month was consistent with the 10-year average.

While sales decline eased, so too did the decline in new listings, causing the unadjusted sales-to-new listings ratio to edge down to 67 per cent in July and months of supply to increase to 2.53 months.

Several factors contributing to more favourable conditions

Calgary's rental market is emerging as an early winner this year as the result of improved vacancy rates, added inventory and a more conservative appetite among buyers in the resale housing sector.

CREB®'s mid-year forecast update, released earlier this week, notes more choice and less upward pressure on rents has, and will continue to, impact the resale market as more consumers choose to keep renting.

An April report from the Canadian Mortgage and Housing Corp. (CMHC) showed two-bedroom apartment and row vacancy rates rose to 3.6 per cent in 2015 – the highest level since 2010 – from 1.5 per cent the year prior.

Several reports have sounded the alarm our real estate market is grossly overvalued, but industry watchers contend Calgary isn't poised for the big crash some are forecasting

Reports suggesting Calgary's housing market is over-valued, supported by recent price corrections, are missing many of the obvious indicators saying otherwise, say experts.

The metrics used to measure affordability simply do not back up the argument that Calgary's real estate market is highly overvalued and ready for a precipitous drop in home values, said Robert Kavcic, a senior economist with Economic Research BMO Capital Markets in Toronto.

"One of the (metrics) we look at is the average mortgage payment as a share of income, and right now that's a little bit above the long-run norm of 27 per cent at about 29 per cent," he said.

Outside factors will impact housing market through 2016

With the sun in Calgary rising and falling relative to the price of a barrel, it should be no surprise that the city's real estate market will continue to be impacted by economic realities beyond its control, say housing analysts.

Following a first half that can best be described as turbulent, the remainder of 2015 looks to bring more of the same for the city's housing market, with CREB®'s mid-year forecast update suggesting decreases across the board, including moderate price contraction.

"Further job losses are expected in the second half of the year," said CREB® chief economist Ann-Marie Lurie.

"These employment changes, combined with overall weakness and slower-than-anticipated recovery of oil prices, are expected to keep housing demand relatively weak for the rest of 2015.