Real Estate Investment in Lethbridge, Alberta: Lethbridge, in southern Alberta, is currently one of the top cities in Alberta to buy real estate. According to the Canadian Real Estate Association (CREA), Lethbridge had historically strong home sales in December 2018, despite mortgage regulation rule changes and other economic variables.
However, Lethbridge is also great for real estate buyers as inventory numbers are still very high with new listings for all types of property.
At the end of 2018, 214 units were available, up 7.8 percent from December 2017. Further, residential listings stood at 190 new units in December 2018, up 8 percent over the previous year.
Of all the inventory available right now on the real estate market in Lethbridge, homes ranging from $250,000 to $300,000 are currently the fastest sellers; However, $200,000 homes sell out very quickly, regardless of their condition.
With so much inventory available in Lethbridge, it’s a strong buyers’ market, driving down overall prices on many listings and resulting in a nearly 2 percent drop in overall prices in 2018.
Lethbridge real estate prices aren’t the only thing that influences why it’s a top city for home buying. Lethbridge has a strong job market – one of the most stable in the province.
This is augmented by the fact that it is also a university/college town along with the University of Lethbridge, which brings in students, many of whom decide they enjoy the area and want to rent an apartment or have an apartment.
We want to have an apartment. We want to run the household expenses. choose to live. Over the years, many homes have either been built or renovated to incorporate a legal rental unit, which allows a homeowner to offset some of their mortgage costs with additional income.
So, if you can afford to leave the place, buying a home with a rental unit in Lethbridge can be a great opportunity for you.
Lethbridge also comes with great historical understanding, amazing vistas, and a whole host of events throughout the year to make the area a great place to buy a home for settlers. The city includes a vast urban park system with several nature areas, great for those who enjoy hiking, bird watching, or playing in the park with the family.
If you buy a home in Lethbridge, you will be only a few hours away from the picturesque Rocky Mountains. The Old Man River that runs through the city also provides a great waterway for various activities like canoeing, boating, fishing, etc. The annual Hop-Up Festival every August is a great event for everyone to enjoy, including a midway, exhibitions, and more.
This is one of the many events held throughout the year to keep you entertained and in the area.
With so much to offer, it’s not hard to see why Lethbridge is one of the top cities in Alberta to buy real estate, especially for young families.
Rental Properties and Real Estate Investment in Lethbridge, Alberta: Location
First, you need to understand the strength and unique nature of our place. Lethbridge is located in Alberta, but we are not specifically tied to the oil and gas industries, as are some other markets. Lethbridge is a farming community, and we have a healthy and diverse economy. It helps investors find affordable and profitable properties, and it also increases the strength and quality of your tenant pool.
Where to Buy Property and do Real Estate Investment in Lethbridge, Alberta: Lethbridge Geography
Lethbridge has three main areas; Towards the north, towards the south, and the west. This is where the Industrial Park is located. Downtown businesses are located on the south side.
This is where you’ll find your shopping malls and restaurants, and there are many multi-family rentals available as well. However, the area we want to focus on in terms of investments is on the west side of Lethbridge.
Property Management Lethbridge: West Side
This part of Lethbridge houses a university as well as a new leisure center. This will be a strong area in which to invest. More than 10,000 students are currently enrolled in the university, and many of them need accommodation. There are also plans for a $180 million expansion for the university.
Hence, we can expect more development and more students in the school. Now houses are being built in the area. Many new multi-family units are growing so that people can be closer to these desirable activities.
Lethbridge property tax
The estate tax is a tax based on the assessed value of a property. If you have any property or parcel of land, you will have to pay property tax. It is used to pay for police, fire departments, and public transport as well as for urban services such as primary and secondary education.
The property tax has two main parts:
- A municipal tax that depends on the municipality of the area
- An education tax that can change from municipality to municipality
Some cities may add additional taxes.
Common major categories are residential, multi-residential, commercial, industrial, and agricultural land. Almost all houses will be applicable under residential property tax rates.
The appraised value of the property
Properties in Alberta are assessed each year by municipalities by guidelines by the Ministry of Municipal Affairs and the Alberta Assessment and Property Tax Policy Unit.
This differs from BC and Ontario where property valuations are carried out by a provincial entity. Most properties are valued using a market value-based approach. There are three methods municipalities can use to determine the market value of a property:
1. Sales Comparison Approach
Most properties are appraised under this approach. It compares the sales of similar properties in the assessment year to determine the valuation of the property. The determined value may not be equal to the actual market value or sale price of an asset.
2. Cost Approach
Under this approach, new assets are given importance. It uses the cost of the property if one were to rebuild it to determine the property’s valuation. This includes the cost of the land plus the cost of all improvements on top of it. While it takes into account the market value of the land, it does not consider the market value of the property as a whole.
3. Income Approach
For properties dedicated to generating income, such as a rental property or office, the income-based approach is used. In these cases, it may not be possible to trace recent sales of comparable properties.
If you planning about Real Estate Investment in Lethbridge, Alberta and know about City Government in Lethbridge, then visit at: https://www.lethbridge.ca/