The year 2023 presents an opportune time to explore fresh prospects in the realm of pre-construction condos and capitalize on the expanding areas within the market. The team at First Access Condos has conducted extensive research on numerous Canadian markets in search of alternatives to Toronto that offer similar potential for pre-construction condo investment at a more affordable cost. Following comprehensive investigations and site visits, the team has identified Calgary as the market that particularly stands out for pre-construction condos.
Here’s a breakdown of why Calgary is the 2023 destination to invest in pre-construction condos:
History of Calgary’s Market
In 2009, the province of Alberta, including City of Calgary faced a recession after significant impact from the change in commodity prices for oil and gas. This not only impacted the housing market but also led to many hardships across the province and caused high unemployment.
The City of Calgary diligently worked behind the scenes for over a decade to effectuate significant changes and refocus its priorities. The following outcomes were achieved as a result of these efforts:
- Created excellent conditions for development in manufacturing and IT Sector
- Highly educated young professionals graduating from major universities
- Calgary became recognized as the World’s 3rd and Canada’s 1st most livable city
- Large number of high paying jobs while also having the lowest unemployment rates in Canada
“Calgary has become the world’s number three and Canada’s first most livable City. Wrap your heads around that – it’s not Toronto, it’s not Vancouver – it’s Calgary. It is really a big destination point for quality of life.”Costas Kivelos, Founder of First Access Condos
Calgary – The Place to Be in 2023 & Beyond
Today, Calgary is:
- Home to more than 1.4 million people
- Home to young professionals; the median age of Calgarians is 37.2 years
- The 3rd most diverse major city in Canada with more than 120 languages spoken
- The city is committed to fostering economic development by providing a supportive environment for start-up and expanding businesses. Additionally, it offers an amicable business climate with low tax rates
“Calgary is well on its way to becoming a mini-Toronto or a mini Vancouver but it is investor friendly, landlord friendly and price friendly.”Costas Kivelos
Benefits of purchasing pre-construction condos in Calgary
Prices for pre-construction condos are half the cost with only a 10% deposit in Calgary, in comparison to higher prices and a 20% deposit in other areas in Canada. In addition, there is no land transfer or provincial sales tax in Calgary, no development charges and no hidden fees. According to Costas Kivelos, “that’s almost $60,000 in savings.” With minimal closing costs, buyers also get reassurance for guaranteed rent with relatively quick occupation period.
Autonomy as a landlord
In comparison to Toronto, Calgary condos provides landlords with the option to control the rent price while providing flexibility in setting their own contract, which includes clauses on pets, damage deposits, extensions and more. If the tenant fails to adhere to the contract, landlords have the authority to go through a quick and easy eviction process.
To summarize, here are some of the top highlights on why Calgary is the 2023 destination to invest in pre-construction condos:
- No land transfer tax
- No HST – only 5% GST
- Alberta favours landlords and investors
- Low deposit and fees
- No rent control – you price your product based on what you think is fair
- Affordability – prices are at 50% less compared to Toronto
Would you like to gain insights into the potential return on your investment in Calgary pre-construction condos? Tune in to Costas Kivelos as he offers a comprehensive analysis of investment calculations, including both four-year and six-year strategies that encompass two years of rental income.