Real estate in Calgary - another bubble?

[Weitz]

Nm

[blankall]

Calgary is just a very hard market to time when buying a condo. Lots of land and very prone to booms and busts. Not only can demand suddenly drop off, but you pay a large premium during times with construction shortages.

For condo owners the good news is that condos are rising in price in Calgary.

[cam_wmh]

Originally Posted by blankall

Calgary is just a very hard market to time when buying a condo. Lots of land and very prone to booms and busts. Not only can demand suddenly drop off, but you pay a large premium during times with construction shortages.

For condo owners the good news is that condos are rising in price in Calgary.

Hopefully.

I have a rental property in Mission. I originally lived in it, and paid $300, 10 yrs ago. It’s down 20%

[Wormius]

Originally Posted by Cecil Terwilliger

So who you gonna rent from if no one owns them?

Not every apartment rental is a condo unit.

[#-3]

Originally Posted by Cecil Terwilliger

Geez sounds like a society where only the rich own property and the rest pay them to live in perpetual servitude. Are we trying to emulate medieval Europe?

Also sounds like a great way to massively drive up house prices due to “low supply”, when really the issue is that speculators are buying up all the houses to price out your average middle class family.

Well good thing we don’t have to worry about that. No problems like that here or in other countries with out of control real estate markets.

wasn't saying it was a good thing, just answering the question.

[Locke]

Originally Posted by Hemi-Cuda

I wish someone had told 24 year old me to not buy a condo. That decision delayed a house purchase when I had a family by several years, and ended up costing me a lot more over the years vs renting due to depreciation. I will make damn sure my kids don't make that same mistake

Its actually interesting.

I dont pretend to be an expert in Real Estate, it is not my jam.

But my sister moved out of our parents' house shortly before I did, she bought a Condo that my parents co-signed for.

Since they co-signed for her, they were financially unable to lend me the same assistance. So I moved out and got an apartment close to my work.

Fast forward a few years and she lost a lot of money on the sale of that Condo, I saved money, walked away from my apartment free and clear and purchased a house.

I think renting gets a bad rap, and, as a Condo owner now...you really have to do your due diligence.

[Johnny199r]

Originally Posted by Cecil Terwilliger

So who you gonna rent from if no one owns them?

Rent in a purpose built apartment building, not a condo. Never have to worry about the place you’re renting being sold.

[White Out 403]

Originally Posted by Cecil Terwilliger

Geez sounds like a society where only the rich own property and the rest pay them to live in perpetual servitude. Are we trying to emulate medieval Europe?

Also sounds like a great way to massively drive up house prices due to “low supply”, when really the issue is that speculators are buying up all the houses to price out your average middle class family.

Well good thing we don’t have to worry about that. No problems like that here or in other countries with out of control real estate markets.

I have no idea how my children will afford a house. There has to be regulation and laws put in place restricting foreign speculators making it impossible for Canadians to afford their own home.

[Matata]

The only people I know that made money off their townhouse or condo did it 10 years ago. The cruel reality is that these things live and die by the quality of the interior, which requires you to update it every 10 years, which is going to eat every bit of of money you were hoping to pull out of that thing as an investment.

[calumniate]

Dat backsplash tho

[I-Hate-Hulse]

Originally Posted by Johnny199r

Rent in a purpose built apartment building, not a condo. Never have to worry about the place you’re renting being sold.

Not quite true - if the price of condos increases - just like the last boom, developers will "convert" them to 'for sale units', and terminate / not renew leases.

Renters would then have to fall back to anything in either 1) the Condo Act of that province or ii) specific clauses in their lease agreement (with the former prevailing)

[The Fisher Account]

Selling my condo this year. Gonna take the tax loss and move on.

Holding onto this depreciating asset in the hopes that in another decade I may make $1 of profit on my investment is starting to seem foolish.

[The Big Chill]

The house we looked at over the weekend just sold for a hundred thousand over asking. People are doing crazy things right now.

[Sliver]

I had no idea people had taken such a s**t kicking on condo purchases until this thread. Ouch.

[Table 5]

Originally Posted by White Out 403

I have no idea how my children will afford a house. There has to be regulation and laws put in place restricting foreign speculators making it impossible for Canadians to afford their own home.

Chances are we'll see an increased scenario like in other parts of the world where 1) you have more multi-generation households, and 2) the way children "buy" homes will be through inheritance.

[keenan87]

Originally Posted by The Big Chill

The house we looked at over the weekend just sold for a hundred thousand over asking. People are doing crazy things right now.

This is the ridiculous part. Where is this money coming from? Where are the people who can't afford their own place going - certainly not the condo market - or are we close to seeing the condo market bubble up?

[kevman]

Originally Posted by Matata

The only people I know that made money off their townhouse or condo did it 10 years ago. The cruel reality is that these things live and die by the quality of the interior, which requires you to update it every 10 years, which is going to eat every bit of of money you were hoping to pull out of that thing as an investment.

This. Condo's in Calgary, a city with a fairly abundant supply of land, will always be a tough investment.

Physical homes (including Condos) ALWAYS depreciate. Land appreciates.

Nobody is lining up to pay more per sq. ft. for beige walls, earth tone granite counter tops and mahogany laminate.

[Calgary14]

I will never live in a condo again unless I physically can't live in a house anymore, and even then I'd probably go for a bungalow over any condo

[Sliver]

BTW, when we're talking condos, do we mean the buildings that are like apartments where everybody walks into a main entrance and then scampers off to their individual unit (kind of like a hotel)? Or are the attached buildings with their own individual entrances from outside directly into the owners' units also considered condos in this conversation? Have both types of properties lost value over the past 10 years?

[peter12]

I love living in a condo, but I live in a fairly dense neighbourhood with ton of services within easy walking distance. We are also fortunate to live in a nice building in a relatively large unit. Vancouver is a different ball game though.