Out-Of-Province Buyer Frenzy Takes Calgary Housing Market

Home-buying activity continues at a frenzied pace in the Calgary housing market, as affordable housing values and lower tax rates incentivize an increasing number of out-of-province buyers to move to Alberta, according to RE/MAX Canada’s 2024 Tax Report. In the first three quarters of 2023, the province welcomed just over 45,000 interprovincial residents, according to the Statistics Canada Quarterly Demographic Estimates: Provinces and Territories Interactive Dashboard. During the same period, net international migration rose by almost 100,000 people, including new immigrants, net emigration, and net non-permanent residents.

Buyers from Ontario and BC remain most active in the Calgary housing market, with the vast majority settling in the City of Calgary where the average price at year end 2023 hovered at $539,313, according to the Calgary Real Estate Board. Ownership can be attained for as low as $350,000, with the condominium apartment category seeing the highest year-over-year increase in sales in 2023. Younger buyers as well as retirees and investors are behind the push for housing. Tight market conditions persist throughout the city, however, with local buyers vying for prime properties with cash-rich purchasers from Ontario and British Columbia.

As a result, many seasoned local buyers have moved to the sidelines in the latter half of 2023, choosing not to participate in the frothy market. Entry-level buyers, representing approximately 20 to 30 per cent of the market, are driving activity between $350,000 to $650,000. Those first-time buyers that have scrimped and saved for a down payment are largely targeting two-bedroom, one bath condominium apartment properties priced between $350,000 to $400,000. First-time buyers are fortunate enough to have some help from the ‘bank of mom and dad’ are typically seeking single detached starter homes in the $500,000 to $650,000 price range.

Zero Residential Property Transfer Tax in Calgary Housing Market

Land transfer taxes are non-existent in the Alberta housing market, although most buyers pay a registration fee around $300. There are no provincial sales taxes. The combination of lower taxes, affordable housing, and greater job opportunities are expected to continue to draw purchasers from out-of-province, many of whom have been priced out by rapidly rising housing values and taxes in their own provinces.

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*Leger online survey of 1,517 Canadians aged 18+ was completed between July 21 and 23, 2023, using Leger’s online panel. Leger’s online panel has approximately 400,000 members nationally and has a retention rate of 90 per cent. A probability sample of the same size would yield a margin of error of +/- 2.5 per cent, 19 times out of 20. 

**This report includes data and insights about Canadian housing markets supplied by RE/MAX brokerages and sourced from the Canadian Real Estate Association and local real estate boards. RE/MAX brokers and agents are surveyed on market activity and local developments. Each RE/MAX office is independently owned and operated.

About the RE/MAX Network
As one of the leading global real estate franchisors, RE/MAX, LLC is a subsidiary of RE/MAX Holdings (NYSE: RMAX) with more than 140,000 agents in almost 9,000 offices with a presence in more than 110 countries and territories. RE/MAX Canada refers to RE/MAX of Western Canada (1998), LLC, RE/MAX Ontario-Atlantic Canada, Inc., and RE/MAX Promotions, Inc., each of which are affiliates of RE/MAX, LLC. Nobody in the world sells more real estate than RE/MAX, as measured by residential transaction sides.

RE/MAX was founded in 1973 by Dave and Gail Liniger, with an innovative, entrepreneurial culture affording its agents and franchisees the flexibility to operate their businesses with great independence. RE/MAX agents have lived, worked and served in their local communities for decades, raising millions of dollars every year for Children’s Miracle Network Hospitals® and other charities. To learn more about RE/MAX, to search home listings or find an agent in your community, please visit remax.ca. For the latest news from RE/MAX Canada, please visit blog.remax.ca.

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