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Calgary MLS home sales are forecast to plunge by nearly 50 per cent this year amid a climate of declining oil prices and an uncertain economy, according to a report by TD Economics.

The report said the “oil-driven” housing market in Calgary has “already experienced a sudden and abrupt turn.”

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According to the analysis, “A significant softening in job markets will set the stage for a second major housing correction in Calgary” since 2008.

The report said prices “appear to be on track” to drop by as much as 10 per cent over the next four to six quarters from their peak levels late last year. It also said stability will return to the housing market by mid-2016.

After MLS sales rose by 12.2 per cent in 2014, TD said they will drop by 47.2 per cent this year, with a further decline of 1.9 per cent in 2016.

Gary MacLean, realtor with RE/MAX Real Estate Central in Calgary, said the housing downturn has taken place faster than any he has witnessed in his 28 years in the industry.