Business in Calgary with Drew Betts

The Fun and Relaxation Markets- Investing in the Great Outdoors

 

Drew recently interviewed with John Hardy about the real estate market in Canmore.  The April 2024 edition of business in Calgary contains the entire article. The write up starts by comparing the real estate markets between Calgary and the outlying more tourist based towns.  John notes that when comparing real estate markets it is important to take the environmental factors of the area into account. Real Estate market's have diverse influencing factors including floods, droughts, forest fires and public perception.

Canmore Market

Drew mentions that the poor air quality and interest rate hikes have not  impacted the market here in Canmore. ' To this the point, the fires and the smoke have not really had an affect' he says ' and mortgages don't really have much of an effect on second homes in recreation property markets. In fact the trend and numbers are positive'. 'Benchmark prices in all segments are up at  a minimum 40 per cent, while inventory is unfortunately still down about 60 per cent.

Bouncing back from Covid

Now that covid is far behind us, the sales numbers are returning to more traditional seasonal sales patterns. Unfortunately, overall inflation and the lack of recreational properties available has resulted in a slower market in most popular recreational areas.

Financing

Drew felt it important to mention that a majority of property transactions in Canmore are made without financing. In turn, the higher interest rates have not discouraged most homebuyers. Due to the same reasoning Canmore homeowners are less likely to rent out their home, not needed to offset other increased borrowing costs. Comparing to other popular recreational property areas, Canmore is definitely a high end anomaly.

Canmore market Favoring the Seller

Coming out of Covid, the current Canmore market conditions tend to favor the seller.  The a lack of inventory and a high demand for property leads to sellers being in a good position. The market appears to be slowing inching toward a more balanced market.

Zoning Laws

For the last few years Canmore's zoning laws have restricted short-term rentals to specific areas. It is why the area hasn't  faced the same supply challenges as other areas and provinces, with an influx of investor-owned properties.

This article is extremely informative and a recommended read for anyone who is interested in the Canmore market both in the past and into the future.

Full Article 

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