Despite the pandemic, the real estate market in Calgary – Canadian Oil City – has been an unexpected hot-zone of sales activity. Yet, from an investment perspective, there is a new report that indicates that the market remains mired in a slump, which is the case even in other Canadian cities. However, the market isn’t without some investment opportunities, but it’s for those intrepid investors who can wait for a recovery, which, based on how things are progressing, might be close at hand. For investors who rely on the “buy to hold” tactic, real estate opportunities are plenty in the city, and it might be the best time to consider purchasing some. Essentially, you are buying the property at lower prices with a possibility of reselling or getting a decent return on investment some time in the future. In contrast, for investors looking for immediate rental, or maybe to fix and flip, the current market conditions are just not ideal for that.
So, even though the investors will receive good value for their dollar when buying the property, when it comes to renting those properties out, the market has proved to be particularly tough, especially when it comes to the multi-family condominium market, partly because of the price. But for town-homes and single-family segments, the demand is quite strong, which means that they are the best bet as they offer the best return on investment. But if the property doesn’t find a tenant for several months, the owner will have to bear the costs of ownership. Even with all this, you should know that Calgary, compared to other parts of the country, it’s not that further along in its slump, which means that the property market is poised for recovery sooner than anticipated, leading to price growth and higher rents. So, take advantage of the slump and acquire property, and you will be one of the proud ones when the market turns around.
Hope for the Calgary real estate market in 2021
The Canadian government pledged 1.7 billion dollars to clean up orphan wells in Alberta province – home to Calgary city – alongside British Columbia and Saskatchewan provinces. Not only was this move meant to provide environmental relief, but also introduce a much-needed boost to these provinces. What’s more, apart from creating jobs for the locals and helping out businesses in the area, there is widespread optimism that the incentive will provide a modest boost for the property market in the region, particularly Calgary.
Before the pandemic, Calgary saw an increase in its population, as it attracted residents from all over Alberta, which means a potential increase in home buyers. And with the city being one of the most affordable property markets in Canada, it will continue presenting property investors with real opportunities coming in 2021. So, you’d better remain on the lookout. Don’t forget that the government incentives and financial programs will often soften the pandemic’s impact on homeowners in the oil city.
While there is still so much uncertainty regarding the political, economic, and real estate climate in Calgary, a spirit of resilience and hope still remains strong.
Where exactly are there real estate opportunities in the city?
Rundle, Northeast – this is a residential neighbourhood found in the northeast quadrant of Calgary, just south of 32nd Avenue and north of 16th Avenue. The area is pretty affordable, given the price of a single-family house is equivalent to that of a condo in downtown Calgary. With the current hardship experienced by most Canadians living in the city, this aspect is welcomed by many property investors. Expect to find bungalows, some of which were built in the 1980s, single-family homes, and even condos in plenty. And with the availability of amenities and a faster commute to downtown, not to mention the affordability of the Calgary real estate, we can say that things are looking pretty good for home buyers.
Erin woods, Southeast – much like Rundle, Erin Woods is the place that offers plenty of investing opportunities, especially to first time home buyers, looking for affordable single-family homes. The purchase price is not the only factor that makes this region such a property investment hub, access to good schools and other amenities and public transit are the other big reasons why home buyers need to consider when buying a home here. These are actually the biggest criteria for homebuyers in the Canadian oil city. The pandemic only slowed the growth of the property market in the area, but investments for residential homes are still going on.
Castleridge, Northeast – this is the third area in Calgary that we would recommend you consider investing in. One very important aspect of this region is its diversity, in terms of people and food. With the city receiving residents from all over the world, it presents a very good investment opportunity for residential homes. It, being an area full of hardworking people and a very peaceful atmosphere, more and more people will decide to settle or even retire in this area. And so, as an intelligent investor, you might want to take advantage of this opportunity.
Braeside, Southwest – in this community, you will find a mixture of older bungalows with newly build structures, all which are super attractive to property investors. Also, its proximity to Glenmore reservoir, located on the Elbow River, the city’s main water source, makes this town one of the best places to invest in. It is quite affordable, and its proximity to the Calgary city makes its property market grow steadily. The pandemic did derail the market a bit, but its resilience held it off. That said, this is a town that you will need to look out for in the near future.
To sum it all up, there are real estate investment opportunities in Canada’s oil city. The city being among the top 10 best places to buy property, means that still has an abundance of opportunities. You just need to know where to look! Also even though the pandemic did have an impact on the property market in the region, investors looking to buy and hold, or just are looking for a home to stay, still have a chance to make their investment worthwhile.