Investment in canmore, Alberta real estate

11 Replies

I see the potential over there due to lots of travelers both during the winter and summer season. And as compared to Calgary or Edmonton where the value of the properties has just been depreciating, this seems a better opportunity. I am very new to this so trying to figure out what are the things that I should look for. 

I've been following this Market pretty close. I'm about 3hrs away but my uncle has a vacation property there that I frequent. Theres big potential for str's like airB&B as well as house hacking or renting by the room. 

There is a ton of international tourism so I suspect appreciation rates will be stronger than the local Edmonton and Calgary markets. I highly suggest looking at tourists numbers for that area. They've continued to grow while the alberta economy has struggled.

I have been following single family homes in the 700k-1m range as well as less expensive townhouses. I'd love to hear what you're looking at and your analysis of the market.

Jake,

Hi @Munish Mehan ,

I know a few people that have rentals in Canmore with really great results, although there is definitely a few things to watch out for. Zoning - you need to make sure the property you're looking to purchase in is zoned for short term rentals. Some buildings won't allow you too rent out on Airbnb, but you can put your unit into the rental pool and the building/concierge will rent out your condo like a hotel room with profit sharing. Some buildings are strictly long term rentals which may have rent control to accommodate the seasonal staff and employees.

Financing - I've heard that it is tougher to put 20% down on properties in Canmore, and the banks ask for larger down payments.

Properties are also very expensive in Canmore. Tourism drives a lot of the businesses and housing market in Canmore, and although Alberta has been in a recession, the rest of the world has been experiencing expansion. If we see a global slowdown, Canmore's tourism may experience a slow down. Just something to consider as Canmore's market is driven by larger factors more-so than other markets in Alberta. There is also some new condo development that will add some supply. We were very interested in Canmore's market, but there were some hurdles and decided focus on lower hanging fruit. It would definitely be beneficial to have some local boots on the ground and local insight before you jump in. Good luck!

Hi everyone, I invest in Canmore through VRBO/AirBnB. It is profitable but takes alot of time to manage compared to my more long-term buy and hold properties in Calgary. There has also been excellent equity build up too! It's a great way to enjoy the use of the real estate in your portfolio when it is not rented. Good luck!