Welcome to Alberta, investors from Ontario, British Columbia, or Manitoba who are feeling squeezed by prohibitively high prices, rent control, and stringent regulations. Alberta is a breath of fresh air for individuals seeking to generate substantial cash flow without compromising the quality of their properties. Unlike other provinces, Alberta has no rent control, lower acquisition costs, and a regulatory environment that still respects the landlord’s role. For out-of-province investors looking to grow a sustainable, high-yield real estate portfolio, Calgary and Edmonton deserve a spot at the top of your list.
Why is Alberta so enticing?
1. Flexibility increases without rent control. Rent control can limit your revenue potential in cities like Vancouver and Toronto. Alberta lets the market set the pace. While this doesn’t mean raising rents irresponsibly, it does give landlords more control to adjust in line with expenses or renovations.
2. Higher Cap Rates
In comparison to Ontario and British Columbia, where returns of less than 4% are not uncommon, cap rates in Alberta typically range from 5% to 6.5%. This indicates that you are receiving a higher return on each dollar invested, particularly in mid-sized multifamily properties.
3. Lower costs mean lower entry barriers. Where $1M might get you a one-bedroom condo in Toronto, in Calgary or Edmonton, it could net you an entire fourplex or a down payment on a 12-unit building.
4. Landlord-Friendly Regulations: Alberta’s Residential Tenancies Act is balanced but not overly tenant-heavy. Eviction processes are clearer, and dispute resolution doesn’t drag on forever.
How to Invest in Alberta Remotely
If you’re not local, that doesn’t mean you’re out of luck. Here’s a blueprint to make it work:
1. Build a Strong Local Team: Start with a dependable real estate agent, a reputable property manager like Green Casa in Calgary, and a reputable lawyer who is familiar with the real estate in Alberta.
2. Take a Trip to Do Your Research A trip that lasts three to four days to tour neighborhoods, meet your team, and walk properties can be very helpful. It helps you gain self-assurance and recognize problems early.
3. Understand the Purchase Process
Alberta uses a different structure than other provinces:
No tax on the sale of land. Property taxes are relatively lower
Frequently, offers are simpler. Final Thoughts: Alberta’s Economy Is Open Alberta isn’t just a place to park your money; it’s a place to grow it. With favorable laws, higher returns, and major urban development in both Calgary and Edmonton, it’s never been a better time to go west.
