The Bank of Canada recently announced its sixth consecutive rate cut—a move that should be great news for buyers and sellers alike. Lower interest rates typically translate to increased affordability and a more balanced housing market. However, that positive momentum was quickly overshadowed by news that the United States is considering a 25% tariff on goods imported from Canada.

So, what does this mean for our housing market? Let’s break it down.

Tariffs & the Housing Market: The Connection

Any time there is negative economic news, uncertainty follows. And in real estate, uncertainty often causes hesitation. Buyers and sellers who were considering a move may adopt a ‘wait and see’ approach, delaying major financial decisions until they have more confidence in the market.

Right now, people are feeling optimistic about rate cuts and increased inventory, which are making the market more balanced. However, if concerns about tariffs start affecting job security, we could see a slowdown in market activity.

Short-Term vs. Long-Term Impact

I think many Canadians, including Albertans, are worried. The full impact of these political actions are unknown at this time. While the full impact remains uncertain, here’s how things could play out:

• Assuming the tariffs are short-lived – The balanced market will likely continue, and growth is projected to be around the 3-5% mark for housing prices this year.

• If tariffs are imposed and if the trade wars go on for longer than 6 months – We may see a rise in unemployment rates and inflation, leading to more homes on the market but fewer buyers. This shift could push us toward a buyer’s market, ease pressure on the rental market, and result in higher vacancy rates.

The Silver Lining: A Buyer’s Advantage

Even if the market shifts in response to prolonged tariffs, there are still opportunities for buyers—especially with interest rates trending downward. Lower rates improve affordability, and in a buyer’s market, there is more selection and negotiating power.

For sellers, a changing market can feel stressful, but everything in real estate is relative. If you're buying and selling at the same time, you'll experience tighter conditions as a seller but greater flexibility as a buyer. If you’re only selling, preparation is key—working with an experienced listing agent can help you position your home strategically for success.

Even in shifting market conditions, many sellers are still seeing gains over pre-2020 values. While it may take a little more effort to sell now than it did in the past few years, Alberta’s real estate market remains strong.

A Message to First-Time Buyers

If you're a first-time homebuyer, keep your goals in mind and focus on the bigger picture. “Time in the market” is more important than timing the market—long-term homeownership remains one of the best ways to build wealth over time.

Final Thoughts: Stay Positive & Support Local

Despite the uncertainty, Canadians are resilient. This is an opportunity to support local businesses, make smart real estate decisions, and focus on what truly matters—finding the right home for your needs. Whether you're downsizing, upsizing, or rightsizing, it’s still a good time to make a move.

Stay informed, stay optimistic, and remember—we’ve got this, Canada!

Real estate is a time-tested way to build wealth and achieve financial freedom. Whether your goal is to create a steady stream of passive income, diversify your investments, or take advantage of significant tax benefits, real estate can be a lucrative and rewarding avenue. In fast-growing communities like Airdrie and Calgary, opportunities abound for investors willing to make informed decisions. But how do you identify the right properties and ensure success in your investments?

In this blog, we’ll explore the many advantages of real estate investing and share actionable strategies for finding and securing profitable properties in Airdrie and Calgary.

Why Real Estate Investing is a Smart Choice

Real estate has earned its reputation as a reliable wealth-building tool for several compelling reasons:

1. Generate Steady Cash Flow

Real estate investments, particularly rental properties, can provide consistent monthly income. In a market like Airdrie or Calgary, where rental demand remains strong, landlords can count on a reliable cash flow. Better yet, rents often increase over time, further boosting your income potential.

2. Build Long-Term Wealth Through Appreciation

The real estate market in Airdrie and Calgary has shown steady growth over the years. While the market may experience short-term fluctuations, properties tend to appreciate in value over the long term. This growth allows investors to build equity and realize substantial returns when they decide to sell.

3. Take Advantage of Tax Benefits

Owning real estate comes with significant tax perks. Investors can deduct expenses like property management fees, maintenance costs, mortgage interest, and even depreciation. These deductions can offset rental income, reducing your taxable income and improving your bottom line.

4. Protect Against Inflation

Real estate is widely regarded as an excellent hedge against inflation. As living costs rise, so do property values and rental income. This ensures that your investment maintains its purchasing power over time, providing both stability and growth.

5. Diversify Your Portfolio

Real estate behaves differently from traditional investments like stocks and bonds, making it an ideal way to diversify your portfolio. By investing in properties, you reduce your exposure to market volatility and create a balanced investment strategy.

How to Identify Profitable Properties in Airdrie and Calgary

Finding the right property is key to successful real estate investing. Here’s how to navigate the market and uncover opportunities:

1. Research Local Market Trends

Stay informed about Airdrie and Calgary’s real estate trends. Look for neighbourhoods with growing populations, increasing employment opportunities, and new infrastructure developments. Communities with upcoming amenities like schools, parks, and transit routes often see rising property values and strong rental demand.

2. Calculate Rental Yields

To ensure profitability, calculate the potential rental yield by dividing the annual rental income by the property’s purchase price. In Airdrie and Calgary, aiming for a rental yield of 5-10% is a solid benchmark for a worthwhile investment.

3. Assess the Property’s Condition

Fixer-uppers can offer incredible value but require careful evaluation. Consider the cost of renovations, the timeline for completing the work, and the property’s potential market value after improvements. Make sure the numbers align with your investment goals before committing.

4. Prioritize Location

The importance of location cannot be overstated. Properties near schools, shopping centers, parks, and public transit are highly desirable to both tenants and buyers. A great location can increase demand for your property and ensure it retains value over time.

5. Utilize Real Estate Tools and Technology

Take advantage of technology to analyze market data and evaluate properties. Websites like Realtor.ca and platforms like Zillow or Honest Door provide insights into local real estate trends, comparable sales, and property details.

6. Build a Network of Professionals

Surround yourself with experienced professionals, including real estate agents, property managers, and fellow investors. Networking events, local real estate meetups, and online groups can provide valuable insights and open the door to new opportunities.

7. Consult a Real Estate Agent

Partnering with a knowledgeable real estate agent in Airdrie or Calgary can make all the difference. A local expert can guide you through the market, identify high-potential properties, and negotiate the best deals.

8. Perform Thorough Due Diligence

Before finalizing any deal, conduct comprehensive due diligence. This includes property inspections, reviewing tenant histories (for rental properties), and understanding the neighbourhood dynamics. Taking the time to research thoroughly can help you avoid costly mistakes.

Hot Spots for Investment in Airdrie and Calgary

The Airdrie and Calgary regions offer numerous opportunities for savvy investors. Here are a few areas to keep on your radar:

• Calgary - SE - there are lots of new communities and new builds in this segment of the city such as the family friendly community of Mahogany. Other great options include Seton, RangeView, Hotchkiss, and there are some very attractive resale options in McKenzie Towne.

• In Airdrie - units in Chinook Gate and Bayview are attractive for investors as they are relatively new and offer low condo fees and very good rental rates. Also check out Lanark, Wild Flower and the exciting new NW community of Sawgrass Park.

• North Calgary has some great options too - Carrington, Livingston, Ambleton and Glacier Ridge are great options.

Take the First Step Toward Real Estate Wealth

Investing in real estate is a journey that requires patience, research, and strategy. However, the rewards can be life-changing. By focusing on the right markets, understanding local trends, and leveraging professional expertise, you can unlock the full potential of real estate investing.

Whether you’re a seasoned investor or just starting, the Airdrie and Calgary markets offer unique opportunities to build wealth, generate income, and achieve financial freedom. Ready to take the plunge? Reach out today to discuss your goals and explore your options in this exciting market!

The real estate market in Calgary and the surrounding region is set to experience significant shifts in 2025. With less pressure from migration, an increase in new home completions, and easing lending rates, the market is expected to move toward a more balanced state. Here's a detailed look at what lies ahead and how these factors could shape the housing landscape in the coming year.

Key Trends Shaping 2025

1. Balanced Market Conditions

• With slower international migration, record levels of new construction, and lower interest rates, the housing market is expected to stabilize. The added inventory should ease price pressures, creating a more balanced environment for buyers and sellers alike. While sales volumes are forecasted to remain steady, the types of properties in demand may shift, and price growth is expected to moderate to an annual increase of 3%.

2. Shifts in Market Distribution

• Higher housing completions and increased availability of rental properties are anticipated to ease rental rates, particularly in the condominium market. On the other hand, demand for detached homes is expected to remain robust, supported by interprovincial migration and improving affordability due to lower lending rates.

3. Increased Supply from New Construction

• The record-high construction starts of 2024 are poised to add substantial inventory in 2025. This surge in supply is expected to enhance the resale market, providing buyers with more options and reducing the intensity of bidding wars seen in recent years.

Market Segment Highlights

Detached Homes

Demand for detached homes is expected to remain strong, supported by favourable lending rates and a continued interprovincial migration. Although population growth is slowing, it remains robust enough to sustain sales above historical trends. Increased inventory in higher price ranges is expected to moderate price growth, with an overall increase of 3% anticipated citywide.

Condominiums

The condo market is expected to feel the impact of eased rental rates and increased supply from new developments. These factors may create more competitive pricing, especially in downtown areas where several new builds are hitting the market. This could provide opportunities for first-time buyers and investors looking for affordable options.

Semi-Detached and Row Housing

While limited inventory semi-detached sales in 2024, the improved supply in 2025 could drive greater activity in this area of the market. These homes, often appealing to those seeking a balance between space and affordability, may see steady demand as more units become available.

Rental Market Insights

The rental market is also undergoing a transformation. A surge in purpose-built rental units in 2024 has already begun to raise vacancy rates, especially in urban centers. With additional units set to be completed in 2025 and slower migration reducing demand, rental rates are likely to stabilize further, offering renters more options at competitive prices.

Risks and Opportunities

While the overall outlook for 2025 points toward stability, certain economic factors could influence the market:

• Economic Uncertainty: Potential tariffs imposed by our Southern Neighbour - Canada’s largest trading partner - could dampen consumer confidence, impacting housing demand. On the flip side, minimal or no tariffs could foster stronger economic growth, supporting more movement and housing activity.
  

• Easing Lending Rates: Lower lending rates could spark stronger-than-anticipated sales, potentially slowing the market’s transition to balanced conditions.
  

• Population Growth: Slower migration from record highs will reduce the pace of population growth, but Calgary is still expected to outpace the provincial average, sustaining a healthy demand for housing.

Looking Ahead to 2025

Calgary’s real estate market remains resilient. Sales levels are forecasted to remain above long-term trends highlighting Calgary’s continued appeal. Buyers can look forward to increased choices, particularly in new homes and rental properties, while sellers may face a more competitive landscape as supply grows.

The year ahead offers exciting opportunities for both buyers and sellers as we see a gradual return to balanced market conditions.

Staying informed and working with a knowledgeable real estate professional will be key to navigating these shifts successfully.

This blog post reflects current forecasts and market conditions as of early 2025. For personalized advice tailored to your real estate needs, don’t hesitate to reach out!