If you’d like to invest in real estate without paying Toronto prices, looking outward may be a good idea. Perhaps even looking out of province. There’s a reason why several real estate investors like yourself are flocking to Calgary. Investing in Calgary has many benefits and can be a great way to build your real estate portfolio without paying Toronto prices. So here’s the inside scoop.
Many people have been hard hit with rising inflation rates and high borrowing costs. This has kept prospective buyers on the sidelines for quite a while and forced others to sell their homes due to increasing mortgage costs.
If you’re a real estate investor, finding a way to build your portfolio in the current market may seem tricky or simply out of budget. But it doesn’t have to be.
Investing in Calgary because of affordability
Calgary real estate avoided a housing bubble over the last few years resulting in much more affordable housing.
With housing prices in cities like Toronto and Vancouver far out of reach for its residents, many are strategically taking advantage of the lower prices in Calgary.
Housing affordability in Calgary, coupled with its strong job market has contributed to a large interprovincial migration to Alberta.
Calgary’s strong affordability factor is a major upside for real estate investors because the barrier to entry is much lower and it increases the chances of yielding higher returns. This is a great option especially for first time home buyers, or investors who have less capital on hand.
Economic freedom
Calgary residents generally experience more economic freedom compared to those in other provinces. This is why Calgary offers some of the highest income and wages relative to other Canadian cities.
Calgary’s significant contributions to Canada’s oil and gas industry justifies its title as the “Energy Capital of Canada”. Historically, energy industry performance has had an impact on the city’s economy and housing market. However, over the years Calgary has experienced a stable economy due to several industries.
Not to mention, buyers are not subject to land transfer taxes unlike Ontario or BC where buyers are expected to pay one to three percent of the purchase price. There is also no limit on rent increases which makes Calgary a favourite among real estate investors looking for steady positive cash flow.
Strong growth potential
The long-term forecast for Calgary is bright. In 2023, the Economist Intelligence Unit ranked Calgary as the seventh most livable city in the world and sixty-eight percent of local talent believe the city allows for a high quality of life. Its population has also seen a steady increase over the years and this is not expected to slow down anytime soon, especially as immigration trends continue.
Are you considering investing in Calgary real estate?
Whether you’re a beginner investor or a pro, the real estate market in Calgary has a lot of potential and a low barrier to entry, making it a great option for folks who have been priced out of metropolitan areas like Toronto or Vancouver. There are many pre construction projects currently selling in Calgary with some key incentives such as rental guarantees and free property management.
Investing in Calgary real estate is becoming increasingly popular among investors, so these new projects are highly sought after. If you’re interested in investing in Calgary, speak to our sales team today for the inside scoop!