In recent months, the Alberta government has launched a campaign to attract people from other parts of the country to seek employment and move to the province.
The Alberta is Calling campaign has one key thrust.
When it comes to housing, much has been written in the media about how much cheaper homes in Calgary are compared to other major cities in Canada like Toronto and Vancouver.
But affordability is also a big factor when it comes to the rental market.
Prices for everything these days have gone up and of course Calgary is not immune to that harsh reality.
According to the Rentals.ca and Bullpen Research & Consulting latest National Rent Report, Calgary average rents increased in September more than 24 per cent annually for condo rentals, apartments. Average rents rose 29 per cent for a one-bedroom and were up 22 per cent for a two-bedroom year-over-year.
But here’s the good news.
Calgary finished 24th on the list of 35 cities for average monthly rent in September for a one-bedroom home at $1,629 and 27th for average monthly rent for a two-bedroom at $1,895.
In contrast, Vancouver tops the list of 35 cities for average monthly rent. In September, average monthly rent in the city for a one-bedroom home was $2,590, and average monthly rent for a two-bedroom was $3,707.
Toronto is second in the country with average monthly rent of $2,474 for a one-bedroom and $3,361 for a two bed-room.
These are meaningful numbers for Calgary and residential property landlords in the city who have invested in the rental market.
As home prices remain at elevated levels and interest rates push home affordability to a more unappealing level, the rental market is becoming the housing option of choice for more and more Canadians.
And markets in Alberta, such as Calgary, are reaping the benefits of that economic scenario.
Alberta is Calling and there’s no doubt Canadians from other parts of the country are listening.
According to ATB Financial’s economic update The Owl, almost 10,000 more people moved into Alberta from other parts of Canada in the second quarter of 2022 than vice versa.
“This was the largest net gain since the second quarter of 2014 and the fourth quarter in a row in which Alberta’s population grew as a result of interprovincial migration,” said the report. “Alberta posted the largest gain from interprovincial migration in the country with six provinces on the positive side of the ledger and four on the negative side.
“Ontario lost the most residents to other parts of Canada with a net outflow of 21,008 residents in the second quarter. Ontario was also the main contributor to Alberta’s net gain with 6,281 more people moving from Ontario to Alberta than the other way around.
“With Alberta’s economy continuing to grow faster than most of the other provinces, positive net interprovincial migration is likely to continue over the second half of the year and into 2023.”
Chris Chornohos has a passion for real estate and helping his clients reach their business goals by providing Real Estate Investors and Owners with the first class valuation and advisory services to close more deals. Chris is also an investor, builder and developer. Reach out to Chris today to help with your Real Estate needs.
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