- Is owning an investment property in Edmonton, Alberta profitable?
- Are you moving soon or already planning your next move? If you answered yes to both questions then this article will help answer some common questions related to buying the perfect place to live. As well as being able to find the most popular neighbourhoods in different parts of town, I cover topics including things like school system, demographics, crime rates along with a few other key areas to consider.
Buying a house has become harder than ever but luckily there are ways around this problem. One of them involves choosing the type of housing product to purchase first which makes sense because houses come in many shapes sizes and price points. But what does “first choice” mean for each of those types of homes? We will be exploring these options today.
First Choice Homes
In my opinion, the best way to decide what type of housing you should buy would be to use your current needs as a reference point for deciding what you desire. For example, say you currently work long hours away from home and have to drive back every day after work and you really just wish to spend less time commuting. Or maybe you like living close enough to your parents and friends who need help with childcare while still having the privacy that renting provides. These are examples of situations that can easily determine whether the right property is available near you. Another factor could be location and proximity to amenities which includes schools, recreation centres, shopping centers, hospitals and restaurants. Once again, I am talking in general terms in regards to specific communities as they vary greatly depending on factors including neighbourhood demographics. A good starting point though is to get familiar with a real estate agent so he/she can provide recommendations as the situation requires.
If you currently own the land upon which the home sits, another great idea would be to build rather than purchase a traditional, detached single family dwelling. There are lots of benefits to building your dream home right on top of your existing land instead of paying for someone else’s lot plus construction costs upfront. First thing you will notice is lower monthly payments and potentially increased value once you’re finished. Second, you can enjoy the convenience of owning something that’s truly yours versus renting which also means no landlord issues or maintenance bills!
Finally, if you’re considering a multi unit home like apartments or condos, I recommend making an appointment with a mortgage broker who can discuss financing alternatives available for you. Mortgage brokers typically offer multiple lenders products and packages including variable rate mortgages, fixed rate mortgages and interest only loans. They usually specialize in helping people navigate through the maze of financial services offered and often save clients hundreds of dollars during the course of their relationship. When you have a mortgage broker working the deal for you, you avoid unnecessary fees charged by banks like a credit check fee which can sometimes cost $100+. Also remember to shop around for insurance policies since the bank is unlikely to carry everything you need so you must ensure you are covered properly. Lastly, keep in mind that if you are thinking of investing in a rental property, it should ideally be located closer to your main residence. The reason being, you want your tenants to feel comfortable coming inside and calling you anytime without fear of waking you or interrupting...
- New Home Edmonton Buying 101
- When investing in real estate there are many things to consider. From location to size to design. One thing most people forget though is to take your health into consideration.
If you live near busy roads, train tracks, airports and other sources of pollution then this will affect you over long periods of time, affecting your overall well being negatively. So when choosing your next home you should be aware of the impact it could have on your lifestyle.
Another thing to keep in mind is the type of property you want to invest in. A single family house, duplex townhome, multiunit apartment complex, condo building etc.. All of them have different benefits and downsides depending on what they offer you. If you want something specific, like privacy for example, then you should research all options available to see which suits your needs better.
One final note, if you are planning on moving away from Edmonton in the coming years you can expect prices to increase significantly. So if you find yourself thinking “I wish I would’ve bought my first home sooner instead of waiting”, you should take those feelings into account when making decisions.
Now lets dive deeper into some key questions when considering your purchase
What does your current living situation have to work with?
Is there anything blocking you from getting the perfect space for your life style and family situation? Do you feel restricted because of the layout of the neighbourhood, the size of your place, lack of parking spaces or whatever else? Then it’s important to know what is holding you back.
Are you willing to compromise on certain aspects of your ideal living space? For example are you ok with living close to noisy neighbours instead of far away from them but having no yard? Or perhaps you are okay with sharing a driveway and garage if that makes sense for your family situation. These are just 2 examples. There’s always tradeoffs involved when deciding to buy a new home and the more information you gather the easier it gets to figure out your own priorities.
Where do you envision yourself in 5 years?
This step is crucial to figuring out whether you want to stay put or move somewhere new. You can use online tools to help you determine how much of the city you love is still around for you.
Do you see yourself working at the same job 5 years down the road? Will you be married? Have kids? These changes are inevitable and you should prepare for that while you are young enough to enjoy your time in the city without worrying about it yet.
How big do you really want to go?
This question isn’t only relevant for your first home, but every home after that as well. If you decide to sell your old place after you get settled you can either wait until you need to upgrade or sell it sooner. Either way you don’t want to end up stuck paying rent for longer than necessary. Make sure you factor in what you will pay for maintenance costs, repairs or improvements to the property when determining how large and expensive your place is going to be.
- When buying a new home in Alberta follow these steps
- When choosing a real estate agent, consider these tips to help get the most out of the experience. They will be able to provide valuable information to assist in making informed decisions regarding a sale/ purchase of property. These agents have been trained extensively in real estate transactions, which makes them knowledgeable and efficient professionals.
1. Ask questions. Don't wait until you're ready to buy before talking to someone who knows about buying properties. A good question could save you thousands of dollars and countless hours of frustration down the road.
2. Do your homework. Researching the market thoroughly is crucial to finding the perfect place to call home. Find out everything you possibly can, including price per square foot, average days sold, and other useful statistics.
3. Be prepared. Have a game plan to ensure you'll stay organized during negotiations. Make notes, write things down, ask questions and keep track of everything as it happens.
4. Get references. If you've chosen someone to represent you through this whole transaction, check out his or her past clients to see whether they had positive experiences dealing with them.
5. Negotiate. When you're on your way to closing day, remember to take advantage of every available offer. Don't feel like you must accept the first thing that's offered; instead keep asking about different options to increase your final selling price.
6. Follow through. After you close escrow and move into your dream house, you'll probably feel relieved and excited. But don't stop there! Stay involved and engaged with your realtor. He or she should remain your point person throughout the entire process, and he or she should continue to answer questions and update you on everything going on.
7. Keep records. Once you've moved in, you'll no doubt want to document some of the details surrounding the purchase, but it's vital to keep those papers safe and secure for years after moving. Don't just toss them in a drawer or leave them somewhere vulnerable. Store them safely away somewhere accessible and easily retrievable.
8. Pay attention. As you settle back into daily life following your big move, remember to pay extra attention to the little things. Take note of small repairs around the house, whether they involve fixing something broken or getting a leak fixed. Also, watch for potential problems. Is that water coming under the kitchen sink again? Or did that window squeak while opening? If anything looks suspicious, contact your builder immediately.
9. Enjoy. Finally, enjoy yourself. It took months of planning and preparation, and then months of work once you actually bought a house. So savor each moment of peace and tranquility, knowing full well that it won't always be so wonderful. And don't forget to thank everyone involved. From your realtor to contractors to neighbors and friends, all deserve thanks for helping you achieve your dream home.
10. Repeat. Once you've made it to retirement age, you may decide to sell your current residence and invest your savings elsewhere. If that day ever does arrive, repeat steps 1–10 above to ensure that your home sells quickly and smoothly.
- How to find Your New Edmonton Home or Condo
- Alberta real estate market conditions continue to be favorable due to several economic factors including strong population growth rate, increasing demand among millennials, high household debt ratios, rising incomes across various sectors, and favourable demographics.
In fact, according to recent figures released by Statistics Canada, Canada's largest metropolitan area Vancouver experienced the highest average income level of $90,000 per annum in 2017 which was higher than that of Calgary ($84,000).
According to the 2016 Census conducted by Census Canada, the City of Edmonton had a total population of 1,826,849 residents with 2,912 households while the City of Calgary had a total population of 1,711,619 residents with 3,054 households.
Based on these statistics, Alberta will remain one of the strongest housing markets in North America over the next five years. However, a significant shift towards urban living is predicted with approximately half of Canadians moving closer to urban centers by 2036.
This trend will only increase demand for homes in Alberta.
Another positive factor contributing to this boom is a relatively stable job market with strong employment rates, especially for young professionals who prefer living close to work.
Furthermore, low interest loans and attractive mortgage programs offered by banks are helping homeowners purchase homes in areas like Coaldale.
- Why is Alberta's Real Estate Market Booming?
- Before going further, let me clarify something first.
While real estate investing usually entails buying properties, this book mainly focuses on finding opportunities through property flips instead. A great way to learn more about flipping houses is checking out my other “Real Estate Investing 101” ebooks.
Since I am only focusing on one particular type of investments in this ebook, there will be no more links to guides related to investing in rental homes/apartments. Those interested in doing those should go ahead and check out Real Erosecity 101 – Finding Good Property Deals Book 1 & 2 which teaches investors all they need to find good deals across Canada.
Now back to why did I write this particular guide about flipping houses specifically for potential buyers who would like to invest in residential housing markets.
Well, this article serves two main purposes; helping people identify profitable areas that they could consider living in, but most importantly, providing information around the actual market trends and current conditions, since everyone knows that things aren’t always perfect.
So without boring you with details, here goes.
If you ever wondered what makes certain neighbourhoods better than other ones, then this post is made just for you. Here you will get a short overview about every neighbourhood in Coaldale area from different perspectives ranging from demographics, economy status, crime rates, average house prices, median household income levels, unemployment rate, school districts, population growth, and overall quality of life.
In addition, you will gain knowledge and understanding regarding house flippers business model, common types of property flips, the cost to flip houses, and finally the benefits of having a team of experienced professionals working together under one roof while making profits on various projects.
This is one of the many articles from the same series so if you missed anything please feel free to refer to the index page below.
- New Construction Investment Opportunities in Edmonton Alberta
- Coaldale real estate market history is going back to 2005
In 2005, Coaldale was still considered an active rural community with few new developments being completed each summer. As demand increased due to population growth around Calgary and other areas, many homes began selling quickly once they hit the market. However, this meant a lot of vacant land remained undeveloped until 2016 when several large development projects took place across the city core.
Nowadays Coaldale has become quite active during the spring and fall seasons. A lot of families move to the area because of affordable housing prices which makes owning property in Coaldale a realistic possibility for those who wish to buy a home.
Here are some stats regarding the Coaldale real estate market today;
Average price per square foot in Coaldale was $0.79 USD/sqft in July 2019.
Listing activity in July 2019 averaged 9 sales per week while average days on market stayed steady around 30 days in the same period.
New Listings in July averaged 7 per week whereas Average Sales Price decreased slightly to $0.95 USD per sq ft.
Current inventory is down approximately 3% since 2017 while median price rose to $159,500 CDN.
Looking forward to 2020:
We expect Coaldale to continue attracting buyers due to its proximity to downtown Edmonton (within 2 hours). Also, we foresee more people moving to the surrounding communities like Westlock to purchase properties in Coaldale. We anticipate that prices will increase further and that we will see fewer empty condos and houses come onto the market.
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- Examining Real Estate Market History in Alberta
- If you’re thinking of buying a newly constructed property this year, then it pays to get prepped early. There are many things that can go awry during the approval process which will delay or derail your purchase altogether — especially if you aren’t familiar enough with the ins and outs of the system. Here are some tips to keep in mind if/when you decide to move forward with a new house purchase:
Know Your Lender
First step first, you should be fully aware of who holds mortgage power on your prospective new place. There are some great online sources available like RateHub to find lenders and their rates. Knowing your lender ahead of time helps you avoid unnecessary fees and delays down the road.
Make Sure Your Credit Is Good Enough
Next, once you’ve identified and secured your mortgage partner, check your credit score to ensure everything looks good. If anything seems off, contact your bank immediately and ask them why. If they say something along the lines of, “We haven’t seen any issues yet but we won’t comment until after the appraisal period ends,” they mean you. Don’t wait around to see if everything gets fixed; act quickly. A poor credit report could prevent you from getting financing at closing, causing headaches and stress.
Get Preapprovals From All Three Banks
Once you’re confident you’re ready to buy, take all three banks you intend to use — the ones holding your line(s), plus the builder — and obtain preapprovals. This will save everyone involved plenty of headaches later on down the road.
Don’t Forget Other Costs
Lastly, you must consider other costs associated with moving. Things like realtor commissions, legal fees, title insurance, inspections and more should all factor into your overall cost analysis. Be thorough in documenting these costs in order to minimize surprises down the stretch.
- Getting approved for your New Home Purchase in Edmonton, Alberta
- Coal Valley's real estate market is booming after years of being dormant. If you own land for sale near downtown Calgary but find yourself asking "Is this really going to be worth anything?" then read on. We've compiled some tips to help answer those questions, including which areas will continue to see growth and what types of properties people are snapping up. (more...)
Areas like Bridlewood, Crescent Park and Springbank show strong demand and prices are rising fast and steadily along with them. Bridlewood was recently the fastest growing neighborhood in Canada. And the latest statistics released in October 2019 shows that Coaldale continues on another upward trend. These communities have lots of space available and are filled with newer homes and condos that offer many amenities and conveniences while still maintaining affordability. Many buyers are investing in these communities because they're close enough to walk to work, school or local shops. Other neighbourhoods with strong population growth include Beltline Eastside; Glenbrook Meadows; and North Glencoe Village.
If you’d rather invest in something you control instead of renting, buying a residential building could provide better returns than a rental unit. Buying a building offers stability and liquidity. There are options for single family homes and multi-unit buildings. Multi-family housing includes apartments as well as townhouses, row houses and duplexes.
Here are some great examples of investments around Calgary:
1. Single Family Homes
Single family homes range anywhere from $500K-$2 million+. They aren't always the most desirable location though (and often cost more per square foot). But, they'll increase in value faster, and are generally cheaper to purchase.
In terms of price ranges:
2. Townhouses & Duplexes
Townhouses come in sizes ranging from 1 bedroom/den to 3 bedrooms, 2 bathrooms and garages. Prices usually go higher, and vary depending on whether or not there is parking.
3. Row Houses
Row houses tend to include one main house plus several attached units, typically a garage. Most units average around 750 sq ft each, although larger ones are becoming increasingly common. Prices begin at approximately $300K-$350K.
Condos range widely across different sizes and styles. The smallest ones tend to only have studios, and the highest priced ones boast multiple-bedroom suites and full floorplans. Generally speaking, smaller condos tend to attract young professionals who prefer urban living, whereas larger condos attract families seeking proximity to nature and privacy. You can check out condos online or speak with our team about the possibilities.
5. Rental Housing
Renting is definitely less expensive than buying, especially during times of high interest rates. Renting does have drawbacks though: tenants don't get equity unless they pay rent for 10 years or longer. Additionally, landlords sometimes charge fees for things like pet damage and utilities. Some owners are willing to waive certain charges on occasion though.
6. Commercial Real Estate
Commercial real estate is an excellent way to diversify income streams outside of pure savings accounts and RRSPs. However, commercial real estate isn't...
- What makes Xondo Alberta's Most Convenient New Condo/Home Buying Platform?
- In this edition of “Xono Canada & Edmonton Real Estate News”, I will be sharing my personal experience on buying real estate in Alberta. From finding great mortgage options, choosing which lender to work with and selecting the perfect property, these topics come close to covering everything required during the course of a purchase transaction.
Nowadays, most people prefer renting instead of owning their current residence, yet many find themselves wanting to get back into ownership due to rising interest rates, high inventory levels, lack of affordability amongst other things. My focus will be mainly towards those who wish to become first-time buyers due to financial constraints; however, some aspects will apply regardless the type of buyer and the level of expertise/knowledge they possess.
If you live outside of Canada, there may be additional information available to determine whether the laws applicable to you would impact your ability to participate in certain transactions or programs offered through a local brokerage firm, the Canadian Bank Mortgage Corporation (CBM), or Real Estate Board members. These situations should be clarified prior to making any commitments regarding participating in any activity, program or program offered by CBM since legal requirements specific only to each province vary considerably among them.
Some provinces, like BC, allow anyone aged 18 years old and above to purchase residential properties without having to provide proof of income but require income documents along with identification to prove eligibility. Ontario requires both income documentation and age requirement while Saskatchewan (at least until April 2020) does not require either.
The following factors help define the market value of different types of homes across various regions in Canada:
1.) Location Factor: Factors including land costs, transportation costs, utility costs and proximity to amenities and employment centers play a role in determining housing prices. For example, Vancouverites often pay higher than average house sale prices because of high living expenses associated with being far away from downtown core areas and highways.
2.) Size Factor: Houses tend to sell faster within larger neighbourhoods than in smaller ones. However, larger houses usually fetch less per square metre than smaller units located near large commercial centres with better transit service. Thus, depending on your choice of location, bigger could actually mean poorer return on investment.
3.) Style Factor: Different building styles influence selling price ranging from contemporary style condos to heritage buildings. Contemporary design tends to offer more privacy which is ideal for urban homeowners interested in maintaining lower monthly bills. On the contrary, historic structures are considered safer investments offering potential returns over decades. They tend to command premium prices in prime locations while cheaper options exist elsewhere.
4.) Type factor: Buyers are generally willing to spend extra cash on properties that appeal to their personalities and tastes. As such, single family homes and townhouses are typically sold faster than duplexes or apartments. A buyer seeking to live with friends or relatives is often attracted to multi-unit residences while buyers trying to secure long term leases often opt for apartment rentals. Depending on your preferences, you are able to pick from a wide range of property choices. Your needs, desires and expectations must be factored into the equation.
5.) Building quality factor: There are several variables related to structural stability and durability affecting final sale prices of properties including size, material used, the condition of...
- How Xondo makes Home Buying & New Construction Investing in Edmonton Easy?
- When it comes down to making investments like buying a house, the first thing people usually consider is location. But there's more than just physical distance at play here, especially when investing outside of your city of residence (aka "exurban" locations).
Coaldales' proximity to Calgary and Edmonton makes it attractive for many investors who work and live in those cities but still find a place they love within 30 minutes away from them. And if the commute isn't enough reason to invest elsewhere, consider this: according to Statistics Canada, Alberta's median household net worth was $534,000 in 2017, which places us among the top 10 wealthiest provinces across North America. So, while a lot of the population lives in Calgary and Edmonton, the rest of the province boasts some of the most expensive real estate markets in Canada — meaning, if you're willing to pay the hefty price tag, you'll be able to afford something great. And with that in mind, here are seven things to keep in mind when choosing a new development in Coaldale.
1. Find Your Dream Location
If you've ever watched HGTV shows, you probably already understand the power of finding your dream property online. There are countless websites dedicated to helping potential buyers narrow down their search by specific criteria like school ratings, community amenities, or proximity to family members. But, before you dive headfirst into searching through hundreds of listings, take a moment to figure out what it looks like inside each home, because that will be key to narrowing your options.
2. Consider School Ratings First
While school rating sites aren't perfect (they often show homes located near schools that might no longer exist once students graduate), they provide valuable insight for prospective homeowners. For example, according to the latest statistics available from StatsCanada, only 5 percent of students attend private high schools in Coaldale and less than 1% go to private elementary schools. If you'd prefer to stay close to public institutions instead, then consider checking out statistics like student enrollment numbers and average test scores at nearby schools.
3. Check Out Community Amenities
Another factor that influences whether or not to buy a certain type of home can come from the surrounding neighbourhoods themselves. For instance, while Coaldales' proximity to a golf course is certainly nice, you could be overlooking other community features like parks, grocery stores, shopping centres, etc. If you don't feel comfortable living anywhere else, it pays to check out these types of stats before committing to anything.
4. Think About Neighbourhood Demographics
In terms of demographics, Coaldales is known primarily for being a retirement town and its large percentage of seniors (which includes retirees). If you're interested in moving into a neighbourhood filled with families rather than empty nesters, you should think about checking out nearby census figures, including age breakdowns. While it sounds obvious, knowing how old your neighbours tend to get will help you decide whether you'd enjoy hanging around young children or older adults as well.
5. Don't Forget Your Budget When Choosing A New Development Nearby
One way to save money in real estate purchases is to purchase a smaller home in a newer building. However, if you're considering buying a...
- How To Make Money On a New Home or Condo Purchases in Edmonton, Alberta
- In 2019, XONDEnergy was able to help many Albertan families find great deals on energy efficient homes across central Alberta. We hope this will be the same experience you get as homeowners in 2020. If there is anything else that is unclear please feel free to contact us anytime at [email protected].
What Is An Energy Efficient Homes?
An energy efficient home isn't just good because they use less electricity (and thus saves people money). Most importantly, these houses also reduce pollution which reduces smog and helps the environment. These types of homes are especially popular among first-time buyers who are looking forward buying their dream house while saving some cash along the way. But, as always, it's good to take caution to ensure that you're getting exactly what you expect. Here are some things to consider before making your purchase decision.
How Do I Buy A House?
Home ownership doesn't have to be complicated. As long as you've got enough savings and credit history then most banks and mortgage lenders will allow individuals buy properties. While you'll certainly need to prove yourself financially capable, the majority of loans come with no income requirements and only a few restrictions.
If you already own property, check around your area for home sales prices, as well as other comparable items like condos, townhomes and apartments nearby.
Also, you should familiarize yourself with the local real estate market to determine whether or not real estate values are rising or falling. It's a good idea to work closely with a lender (a person lending you funds), as they typically won't provide loan details unless you agree upon them. And if you'd rather avoid dealing with financial institutions entirely, you could try doing business with online mortgage companies instead, but keep in mind that their rates usually aren't competitive.
If you're interested in finding out how long it would take you to save for a down payment to afford your ideal home, simply enter "how big of a deposit" below.
Where Should I Live When Buying?
When selecting a city to call home, it makes sense to consider factors including affordability, quality of life, employment opportunities and school ratings. There's often overlap amongst different criteria; however, it pays to evaluate each factor carefully when narrowing down where you live. For instance, if you're willing to move far away from family members, you probably won't pay extra to go farther than necessary for job security. Alternatively, your salary might rise faster somewhere closer to work than further away, allowing you to spend on other necessities like education or entertainment. Similarly, schools, safety and crime levels play important roles in determining housing choices as well. Some communities offer amenities such as parks, pools, gyms and libraries -- these are worthwhile benefits for young adults looking to establish roots during early adulthood. Other perks, such as a strong economy or thriving nightlife scene, are equally impressive. Also, if you're renting right now, it can sometimes be easier to become eligible for a landlord insurance policy on top of having the flexibility to travel frequently.
For example, according to stats released earlier this year by Canada Mortgage & Housing Corporation (CMHC), Vancouver recorded a median monthly household cost of $2,904 -- significantly...