A decade after ‘The Beast,’ Fort McMurray’s real estate market still finding its footing

In May 2016, a wildfire tore through Fort McMurray, destroying more than 2,500 homes. A decade later, the community is still rebuilding in more ways than one. (Photos courtesy Steve Auty)

Editor’s note: This story originally appeared in the Spring 2026 print edition of REM. Most content from our print issues remains exclusive to the magazine but given the significance of this milestone anniversary for Fort McMurray and its real estate community, we felt it was important to share more broadly.

A word keeps coming up when talking about Fort McMurray, 10 years after a devastating wildfire known as “The Beast” tore through the northern Alberta town. That word is “resilience.”

Now, the town is marking the fire’s anniversary sombrely, but also with hope for the future. One thing is for sure – Fort McMurray’s real estate market is not the same as it was a decade ago.

“The fire was the beginning of a list of unfortunate things that arose in our Northern Alberta community,” local agent Diana Noble told Real Estate Magazine. “The economic downturn began in 2015. Then we had the fire in 2016.”

The trouble started in 2014, when oil companies such as Shell began a policy of “fly-in-fly-out” for oil workers, said Remax agent Melanie Galea. Since workers weren’t required to live in Fort McMurray, the town’s real estate took a hit. In 2014, the average price of a home was $765,000, according to the Fort McMurray Real Estate Board. In 2025, it was $513,754.

Then, with the election of former prime minister Justin Trudeau, the oil industry entered a period of uncertainty as his government moved against the oil sands, a key economic driver for the region. When prospects in the oil industry didn’t look good and the price of the commodity went down, it negatively affected the town’s real estate, according to Noble.

“If our own country is not supportive of our own product, then it makes it difficult to attract investment,” she said.

More than 2,500 homes destroyed

It was amidst that landscape that the wildfire struck in May 2016 and destroyed over 2,566 homes, or 10 per cent of Fort McMurray’s stock at the time, according to the Regional Municipality of Wood Buffalo. Galea said that while her home survived, she had to relocate for a month. Others were not so lucky and lost their home. Thankfully there were no deaths due to the fire.

“Just imagine not being able to go to your home for 30 days,” Galea said. “There is a level of stress on the nervous system that I hope I never experience ever again.”

In May 2016, a wildfire tore through Fort McMurray, destroying more than 2,500 homes. A decade later, the community is still rebuilding in more ways than one. (Photos courtesy Steve Auty)

Noble said that right after the fire, there was a temporary surge in the real estate market because a lot fewer properties were available, and people that were renting before and on the verge of purchasing were then compelled to do so.

However, she said that many who fled from the fire never returned, deciding not to rebuild their home. In 2015, the year before the wildfire, the population was 82,724, municipal data shows. In 2018, it was 75,615. Neighbourhoods became marked by empty lots.

“It’s very sparse,” said Galea. “There’s not a lot.”

A smaller market

As the years have passed it has become clear that Fort McMurray’s real estate market is a smaller one than before the fire, with less supply. One reason for that is weak demand, partly due to the troubled oil industry, that took the wind out of the sails of any new home construction.

BILD Wood Buffalo president Steve Auty, who is also a builder, told REM that new construction has essentially flat-lined in recent years as prices have gone up.

“With construction costs right now per square foot, it’s not a viable proposition to build a house,” he said. “There is no market for building right now.”

According to Wood Buffalo, active listings dropped 31.5 per cent between 2024 and 2025, from 3,500 to 2,662. With the lower inventory, prices went up 3.4 per cent in the two years, from $496,288 on average to $513,754. Galea said that is mostly due to higher-end properties now selling, which is driving the average price up. In 2020, she said 39 houses sold over $700,000, and in 2025, that was 56.

“We are by far the most affordable in Canada based on family income. We have a wonderful future.” — Steve Auty, BILD Wood Buffalo president

Still, despite the challenges of a diminished market, those in Fort McMurray are hopeful the future is brighter than the last 10 years. The population has surpassed where it was before the fire, coming in at 83,467 in 2025. The oil industry is looking more hopeful under Prime Minister Mark Carney, who is more willing to invest in it when faced with economic headwinds from a hostile U.S.

And Galea insists demand is rising. In 2024, the average days a property was on the market was 76 while in 2025 it was 59, a decrease of nearly 30 per cent, Wood Buffalo data shows.

“Does that sound like people aren’t interested in being here?” she asked.

Even though home prices have cratered and those who bought before the bust are now facing losses, it also makes for a very affordable real estate market, especially compared to the town’s low cost of living and high wages. Fort McMurray has an average household income of $212,433, twice the Canadian average, and the highest disposable average income in the country at $151,589, according to the municipality. With those stats in mind, Auty, for one, feels a boom is right around the corner.

“We are by far the most affordable in Canada based on family income,” he said. “We have a wonderful future.”

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