Calgary Real Estate Market - 2021 and beyond

brmst1 wrote: ↑ Average snowfall in Calgary = 128cm per year
Average snowfall in Toronto = 121cm per year

I’m from Ontario but find Ontarians to be smug about our mediocre weather lol.

Average snowfall in Kitchener is 156 cm and in London, Ontario is 195 cm. In general, I think that a universal belief that Calgary has an extremely bad weather compared to SW Ontario is not grounded on facts. Some people would prefer Calgary to SW Ontario because of milder summers, more sun, lack of humidity, not so much wind.

brmst1 wrote: ↑ What sort of investment property are you looking at? I’m following listings of freeholds with legal secondary suites or illegal suites that can be made legal. Went through the legalizing process last year and it was pretty easy. Now that the amnesty is extended another two years I’d do it again. Seeing hardly anything of interest right now though with how low the inventory is.

Wait amnesty scheme has been extended?

masarwar wrote: ↑ Wait amnesty scheme has been extended?

Yup, city council approved a 2 year extension last month right before the amnesty was about to end. If you look on the city website about legalizing existing suites it now says December 31, 2023.

brmst1 wrote: ↑ Yup, city council approved a 2 year extension last month right before the amnesty was about to end. If you look on the city website about legalizing existing suites it now says December 31, 2023.

This is seriously amazing. i was going to apply for amnesty scheme for two of my properties.

EllieD wrote: ↑I see what you are saying, but carbon capture nor petrochemical projects correlate with oil/gas prices. Also, how is clean energy not considered "tech"? From my understanding, clean energy falls into the tech space. Also, even though CPG is able to maintain production and is flushing with cash, it does not add a bunch of new jobs. Clean tech also doesn't correlate to oil/gas prices. All of the largest players are BP/Shell/Exxon are no longer energy companies..they are going to be power cleantech companies. As these companies shift away from oil industry and become clean tech companies, and slow down dividends that will in turn not help AB's oil/gas sector.

However, Alberta is seeing record migration numbers. https://calgaryherald.com/opinion/colum ... ing-market

Yes, carbon capture projects and petrochemical projects do correlate with oil/gas prices in Alberta. High oil prices give producers the cash flow to build decarbonization projects. Natural gas and natural gas liquids provide the feedstock for petrochemical projects, so price and access to supply are critical considerations.

The oil and gas companies are the ones building the pipelines and infrastructure to enable carbon capture and are applying the technology to their operations. That doesn't make them tech companies, but it does mean they will be spending and supporting the economy for decades to come.

Also, most of the companies you listed are less relevant in Calgary - Exxon, BP and Shell have all sold most of their assets in Alberta. The companies that have the largest operations and employ the most people are CNRL, Cenovus, Imperial Oil, Enbridge, TC Energy and Suncor. They are all publicly traded Canadian companies and collectively employ somewhere in the ballpark of 30,000 office workers in Calgary. Their operations are largely in Canada so when they reinvest money it stays in the country.

brmst1 wrote: ↑ What sort of investment property are you looking at? I’m following listings of freeholds with legal secondary suites or illegal suites that can be made legal. Went through the legalizing process last year and it was pretty easy. Now that the amnesty is extended another two years I’d do it again. Seeing hardly anything of interest right now though with how low the inventory is.

What did you need to do to legalize the suites? How did you prove the suites where made before can't remember now what 2018? I think if it is before 2018 then you got to add secondary furnace and stuff?

I was reading the docs, I find it weird you have to have both smoke detectors in the house wired up to each other, so every time someone burns something everyone hears about it.

masarwar wrote: ↑ Had a house pop up today a block from my own (cornerstone). 2034 sqft for 640k newer build. Neighbour called the listing agent for a viewing. Was told it was sold the same day in the morning at asking with no conditions.

These same homes were sold for 520-550k a year ago.

I've heard two stories exactly the same as this in the last week. Literally exactly the same, sold within first 3 days, at full asking price, no conditions. January so far is looking to continue this trend of very low inventory and high sales. It can only go on for so long as detached inventory could drop below 800 soon.

xiaobao wrote: ↑ What did you need to do to legalize the suites? How did you prove the suites where made before can't remember now what 2018? I think if it is before 2018 then you got to add secondary furnace and stuff?

The main things are minimum size requirements on bedroom windows, hardwired and interconnected smoke detectors, and a sprinkler in the mechanical room if it’s not drywalled. There are some smaller requirements too.

If you’re unsure, I’ve heard the city will come do an initial inspection and give you a checklist of what needs to be done (but then they know about it so if the list is extensive and you change your mind, the city now knows you have an illegal suite).

As for proving it was from before 2018, I don’t know how you’d prove unless there were permits pulled to install the kitchen and stuff. I was never asked to prove it so I can’t really say.

If it’s from before 2018 you only need one heating source. If you’re building a new suite you do need separate furnaces.

xiaobao wrote: ↑ I was reading the docs, I find it weird you have to have both smoke detectors in the house wired up to each other, so every time someone burns something everyone hears about it.

Yeah that would be very annoying if your upstairs or downstairs neighbour sets their alarms off from cooking and yours go off too. At least you don’t need detectors directly in the kitchen.

adamtheman wrote: ↑ I've heard two stories exactly the same as this in the last week. Literally exactly the same, sold within first 3 days, at full asking price, no conditions. January so far is looking to continue this trend of very low inventory and high sales. It can only go on for so long as detached inventory could drop below 800 soon.

this does seems exciting but to me this is scary. this is pretty much pricing out anyone making a normal living in calgary (two couple making combined 90k are screwed.

masarwar wrote: ↑ this does seems exciting but to me this is scary. this is pretty much pricing out anyone making a normal living in calgary (two couple making combined 90k are screwed.

90k combined income in Calgary is pretty average, or even below average... and a 2,000 square foot new build is above average. I wouldn't expect a 90k income to be able to afford a 2,000 square foot new build. That type of income would probably be geared towards a 400k townhouse, of which there are plenty to choose from and equally nice.

But I agree, it is scary for anyone who is wanting to buy.

adamtheman wrote: ↑ 90k combined income in Calgary is pretty average, or even below average... and a 2,000 square foot new build is above average. I wouldn't expect a 90k income to be able to afford a 2,000 square foot new build. That type of income would probably be geared towards a 400k townhouse, of which there are plenty to choose from and equally nice.

But I agree, it is scary for anyone who is wanting to buy.

given the current market i do agree. but roughly just two years back a detached 1900-2000 sqft could be had for around 500k, easily affordable, also townhouses were around 250-300k mark. But yes we need to adjust our expectation, or move to a small town like strathmore or crossfield or carstairs.

there are some distressed real-estate still available around in Alberta. This property has been on the market for 4 months, the mortgage payments on this would be less than what i pay for taxes in calgary.

https://www.realtor.ca/real-estate/2360 ... hree-hills

brmst1 wrote: ↑ The main things are minimum size requirements on bedroom windows, hardwired and interconnected smoke detectors, and a sprinkler in the mechanical room if it’s not drywalled. There are some smaller requirements too.

If you’re unsure, I’ve heard the city will come do an initial inspection and give you a checklist of what needs to be done (but then they know about it so if the list is extensive and you change your mind, the city now knows you have an illegal suite).

As for proving it was from before 2018, I don’t know how you’d prove unless there were permits pulled to install the kitchen and stuff. I was never asked to prove it so I can’t really say.

If it’s from before 2018 you only need one heating source. If you’re building a new suite you do need separate furnaces.
Yeah that would be very annoying if your upstairs or downstairs neighbour sets their alarms off from cooking and yours go off too. At least you don’t need detectors directly in the kitchen.

yeah, I guess if you can place it where you want then maybe it is ok, I know in my old townhouse it was placed close to the kitchen and everytime I opened the oven door up to check my food it would go off (which would set of the top level one).

What is the reasoning they are forcing people to have two furnaces and stuff?

xiaobao wrote: ↑ yeah, I guess if you can place it where you want then maybe it is ok, I know in my old townhouse it was placed close to the kitchen and everytime I opened the oven door up to check my food it would go off (which would set of the top level one).

What is the reasoning they are forcing people to have two furnaces and stuff?

Separate heating for suites (two furnace may have a higher startup cost, was quoted $5000 for separate furnace and duct work, but long term the bills are cheaper) the other option is to have 240v baseboard heaters installed. i was quoted 1300 for install with the heater in my basement but the bills would be astronomical.

masarwar wrote: ↑ there are some distressed real-estate still available around in Alberta. This property has been on the market for 4 months, the mortgage payments on this would be less than what i pay for taxes in calgary.

https://www.realtor.ca/real-estate/2360 ... hree-hills

The Calgary market sure is different than Edmonton. Check out these numbers. I think the most shocking is under 300k. In Edmonton there's 161 homes under $300k, some of them are quite nice on large lots (although, older). In Calgary 300k basically gets you nothing.

---------------------------------------

Detached homes under 200k
Calgary = 0
Edmonton = 19

Detached homes under 250k
Calgary = 0
Edmonton = 61

Detached homes under 300k
Calgary = 11
Edmonton = 161

Detached homes under 350k
Calgary = 39
Edmonton = 338

Detached homes listed under 400k
Calgary = 106
Edmonton = 540

stanleyinfrared wrote: ↑ Average snowfall in Kitchener is 156 cm and in London, Ontario is 195 cm. In general, I think that a universal belief that Calgary has an extremely bad weather compared to SW Ontario is not grounded on facts. Some people would prefer Calgary to SW Ontario because of milder summers, more sun, lack of humidity, not so much wind.

Calgary does have so extreme shifts in the weather, where the painful cold waves are usually balanced by warming chinooks, that might seem unusual to other parts of the country. Though I'm not sure if I can believe the Environment Canada forecast for next week, that looks too nice.

SLee wrote: ↑ Calgary does have so extreme shifts in the weather, where the painful cold waves are usually balanced by warming chinooks, that might seem unusual to other parts of the country. Though I'm not sure if I can believe the Environment Canada forecast for next week, that looks too nice.

saw that too, environment canada is on crack. given the amount of snow we have there is no way it will go upto 12 c.

Speaking of crack, this post came up in our local forum. Selling duplexes for 650k. Projected rental income of 3400. This also is in belvedare which is where the Minto condo is.

A new duplex in cornerstone Is selling for 450k without suited basement and garage. They are asking 649,999 for a duplex with a suite? They will max rent for 2500-2600 if rented seperate. Can't believe the hype these agents are creating.

masarwar wrote: ↑ Speaking of crack, this post came up in our local forum. Selling duplexes for 650k. Projected rental income of 3400. This also is in belvedare which is where the Minto condo is.

A new duplex in cornerstone Is selling for 450k without suited basement and garage. They are asking 649,999 for a duplex with a suite? They will max rent for 2500-2600 if rented seperate. Can't believe the hype these agents are creating.

Saw that too another project that will be pushed hard to GTA investors who they hope have never checked market rents, resale prices, other new projects in better areas, or what Forest Lawn is lol.

masarwar wrote: ↑
Separate heating for suites (two furnace may have a higher startup cost, was quoted $5000 for separate furnace and duct work, but long term the bills are cheaper) the other option is to have 240v baseboard heaters installed. i was quoted 1300 for install with the heater in my basement but the bills would be astronomical.

Yeah, but why can't the suites just have shared heating? Why did they decide each need their own?

How much was the quote per month if you did baseboards?