Avenuer
Senior Member
The City doesn’t own Civida, it’s a separate corporation. The City is the sole shareholder of HomeEd, but even then it doesn’t control it.
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Edmonton Real Estate Market
- Thread starter Daveography
- Start date
occidentalcapital
Senior Member
Okay, so let's replace the word "city" in my original post with "city-owned housing corporation".... point still stands. Condos are incredibly cheap right now. So cheap, that there are many units for sale today at less than half the cost of a new build affordable housing unit, whether it is operated by HomeEd or someone else (i.e. rented out by them). As another poster said, well below replacement costs.
Avenuer
Senior Member
HomeEd has already been purchasing existing condo buildings (not just units) and renting them at 80% of the average market rental rate, so that is already happening (I'm not sure how much they are paying per unit though).
David A
Senior Member
If they could buy a large block of units at that price in the same building or several adjacent buildings that would make sense, but if the units were scattered all over in different buildings all over with different rules it would become an administrative nightmare. Also, that low cost might be for units in older buildings that need significant maintenance or upgrades. So you might save on the initial purchase but have high condo fees or large special assessments.
Kosy123
Active Member
Edmonton's condos called a top investment opportunity
The average price for a condominium in Alberta's capital is attractive, especially for out-of-province investors.
edmontonjournal.com
Guy 1
Active Member
the only people calling edmonton's condos a "top investment opportunity" are those with zero understanding of the local context.
Barnaby
Active Member
My best purchases have been when extreme pessimism surrounds an asset class. There is very little desirable condo stock in Edmonton, and some of the warehouse loft conversions are priced incredibly low per square foot.
This doesn't mean there will be a supply of presales in this city, because purpose built rentals are the way to go when you run the numbers.
Condo towers aren't really great, but I could see better sales with something like a Seattle single staircase style concrete condo. I'd buy that.
IanO
Senior Member
Speaks volumes.
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Indeed, the report reflects this with Edmonton ranking among the most affordable markets for investors seeking to purchase a condo and rent it with an average price of about $193,000. That’s the third lowest average price among the 21 municipalities analysed, trailing only Lethbridge (about $182,000) and Grande Prairie (about $154,000).
That said, Calgary also fared well in the report as an investment market... while the average price of condominium was $309,100.
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Indeed, the report reflects this with Edmonton ranking among the most affordable markets for investors seeking to purchase a condo and rent it with an average price of about $193,000. That’s the third lowest average price among the 21 municipalities analysed, trailing only Lethbridge (about $182,000) and Grande Prairie (about $154,000).
That said, Calgary also fared well in the report as an investment market... while the average price of condominium was $309,100.
IanO
Senior Member
Kosy123
Active Member
Anecdotally, I'm starting to see more and more Edmonton real estate TikToks on my TikTok fyp. Last year, I almost entirely saw Calgary ones so not too sure if that's an indication of anything, but interesting to see nonetheless.
Tacom8
New Member
Was doing some google tourism in the city and had a question. Are there mechanisms to show interest or invest with a builder if there is a particular style of infill house (say a row house, maybe a skinny, etc...) that you would be interested in? like could a group of like minded folks interested in a particular area and building style invest with a builder to locate a property and get it built? It seems like the only route is the builder builds on spec and sells infill through a listing agent, but why not get the ball rolling earlier? is that a thing? Would builders be more keen to invest if they knew they had a few buyers lined up early on or interested in a particular area?
David A
Senior Member
Gronk!
Senior Member
Condo sales are falling but Edmonton and Calgary are bucking the trend.
www.ctvnews.ca
Canadian condo sales falling amid concerns over interest rate hikes
Amid consistent interest rate hikes and wavering markets, Canadian condo sales are starting to fall in all but two markets in the nation, according to a new report from Re/Max.
IanO
Senior Member
'Condo sales in Calgary, Alta., grew to 22% in the first eight months of 2023, while in Edmonton, Alta., they grew 3% year-over-year.'
bodsbods9090
Active Member
We get it Ian. But they are growing, as you've posted.
Why do you always seem to knock anything Edmonton when someone mentions Calgary in a post?