Edmonton Real Estate: How high has it increased?

[Matt Frey]

Hi Everybody,

Just this weekend I went and viewed 6 properties. 2 Properties were desirable as investment purchases, but we had set our focus onto one property in particular.

It's currently listed for $389.9K in a neighbourhood not far from Whyte Ave, and the Downtown area. The demographic is older in this region and many of the newer builds going up in the area are modern duplexes and triplexes. On the listing the current owner, also an investor, states that the basement can rent for 1300/mth and the main for 1400/mth. the house is an older house, built in 1951, but seems structurally sound.

The odd part, for us, was that when we looked at the purchase history of the property it went for $299K in 2009 and $282K in 2012. Is it possible for the market value to have risen that much in this neighbourhood and in Edmonton? Are there any investors here that have any sources or links that I could use to investigate this further?

I appreciate any advice.

Best,

Matt

[Shaheed Crier]

Hi Matt just looking at some stats in the Ereb site you can see that there was some gains to real estate in the last 5 years. Single family houses showing around a 6% increase based on selling prices over the 5 year period.

I am not a professional but you can check out the ereb site yourself and look at the numbers.

With the rental numbers stated by the investor. I would do my research with rent as it is a renters market now in Edmonton and there are lots of vacancy. Check out the CMHC website to get an overview for current vacancy stats plus do some Kijiji searches to see how much rent goes for in the area and the quality of the rental properties for the prices.

Good luck on your investment.