Purchasing A Rental Property in Airdrie

Siding - Batten

Airdrie has grown in recent years for a good reason. It’s a bedroom community north of Calgary yet retains its small-town charm. During the pandemic, many families sold their urban homes and opted for a quieter life in the suburbs like Airdrie.

In one of my earlier posts, 6 Of The Best Neighborhoods To Live In Airdrie, I mentioned that this city is a spectacular place to live and raise a family. Also, several cornerstones make it a unique and safe place to settle down.

Airdrie could be an excellent location for purchasing rental property. It has family-friendly communities, convenient amenities, and a growing economy. I’ll help you decide whether it’s right for you as an investment or permanent home. In this article, let’s explore the pros and cons of owning rental property in this thriving city.

Why Purchase A Rental Property?

For rent sign in window of home.

For renters, rental properties have multiple benefits over detached homes. Let’s discuss three of them.

Price

Many people choose to rent a house, condo, or apartment since they don’t have to worry about mortgages. The current average prices for detached homes in Airdrie are $450,000 for February 2023.

The monthly rent for a one-bedroom apartment sits around $1,185 as of August 2022, a 4% increase from the previous year. To put that into perspective, a tenant would end up paying around $13,200 annually. And this includes:

  • utilities
  • parking spots
  • community recreation
  • other amenities depending on the landlord

Commitment

Purchasing a home involves long-term commitment due to several factors like your lifestyle, career, or family. Renters, on the other hand, sign a rental agreement for a year or other agreed-upon timeframes. After, they can decide to renew the contract (again depending on the landlord) or move to a new area.

Maintenance

When a tenant face issues with the home, the landlord or condo association has to fix it. Broken heaters, cracked fixtures, whatever it is, the expenses come out of the landlord’s pocket. And this reduces the tenant’s yearly expenses. Having a property manager take care of the problems also gives people more time to focus on other things, and it becomes one less thing to worry about.

For landlords, purchasing a home and turning it into a rental property is a great investment. The tenant’s monthly rent becomes extra cash flow. If anything needs repairs, it also helps cover the costs. In the long term, it builds up equity.

To take a look at the selection of homes available in Airdrie for purchase, check out our Airdrie Homes for Sale page.

Rental Features You Should Keep An Eye Out For

Renters and future landlords may have different goals. But when it comes to choosing the right rental property, these are features they should look out for:

Location

If you’re renting, you want to choose a location that is close to everything you need. Landlords need a location that fits people’s lifestyles and with high demand so the house doesn’t sit vacantly and lose income. Location is the priority for tenants and landlords alike.

In a study by Apartment Guide, 62% of renters said location takes precedence over the unit itself. 74% said they prefer a location that feels familiar to them.

Some considerations that factor into location are:

  • work
  • restaurants
  • access to amenities
  • clinics
  • public schools
  • groceries
  • entertainment
  • coffee shops
  • safety

Neighbourhoods

Carefully inspect several neighbourhoods. This is because they all have varying vacancy rates and attract different kinds of people.

High vacancy rates can reveal issues with the neighbourhood, such as slow development, distance, or crime. Low vacancy rates reveal properties in that area are highly desirable because of convenience and other features.

In the same study, 31% of renters wished they toured more places before signing their leases. The same group of renters also wished they knew more about their neighbourhoods. When touring neighbourhoods, it’s best to visit them several times a week at different times. This way, you can get a good sense of the neighbourhood and its residents.

Condition

Moving in feels like a fresh start, so the look is just as important. When it comes to rental properties, tenants will ask questions about the age and condition of the home. A newly built home requires less maintenance in the future. This means that you won’t be receiving calls from your tenants or property manager every other week to ask why the heater isn’t working for the third time.

Amenities

Tenants prefer properties that are close to entertainment, transportation, restaurants, and other facilities. If the apartment or condo has community amenities like a fitness centre or recreational space, even better. Landlords should also consider this if they want to make their listings more attractive.

Affordability

Tenants want affordable rent and landlords want income. Only 15% of renters said they are willing to compromise on price. So, if it’s out of their budget, 85% are going to look elsewhere. While landlords want to run a lucrative business, it’s important to keep monthly rent within a reasonable range. The price shouldn’t drive tenants away but enough to cover your mortgage, taxes, and other expenses.

Is An Airdrie Property Right for Me?

Vehicles stuck in an Airdrie traffic jam.

Airdrie is a growing town with the potential for immense growth. Renting a property here means you’ll have more choices before demand increases and listings grow shorter. Airdrie is also perfect for people who prefer a quiet unit. If you love vibrant energy, the population mainly consists of people in their 20s to 40s.

Airdrie real estate has affordable pricing compared to urban cities like Calgary and Edmonton. The low cost of living means most of your income doesn’t go towards your home, and you save more.

You can also find all the amenities you need within a convenient distance. For example, Calgary is only a 15-minute drive for more shops and entertainment. You’re also close to the Calgary airport and the QE2 highway to Edmonton.

There are a lot of great things about Airdrie, but if you choose to rent a property here, you also need to consider traffic and healthcare. In a 2018 Citizen Satisfaction Survey, 33% of residents were not happy with infrastructure. This includes traffic, roads, train tracks, and construction. Also, people who work in Calgary travel around 40km and spend an average of one hour in rush hour traffic.

In the same survey, 12% said healthcare was a primary concern as Airdrie doesn’t have a hospital. The closest hospital to Airdrie is the Peter Lougheed Centre in Calgary. However, the commute to the hospital would take 20-25 minutes without traffic. And this is a major concern for many residents, especially the elderly and anyone at high risk.

Final thoughts

Family of three moving in to their new home.

There are over a dozen features to consider when looking for homes for rent to buy. The main ones are location, price, neighbourhood, condition, and amenities. Each one plays an important role in how happy your tenants will be.

Renting a property or investing in a rental property in Airdrie is a great decision as more people continue to move here. Airdrie is working hard to expand and meet demands, with more amenities and housing in the future.

Airdrie is a safe town to start a life. If you’re interested in what Airdrie has to offer but aren’t sure where to start, take my quiz Which Airdrie Community Suits You Best?

If you’re looking to buy a home in Airdrie, why not let us look for you? Just tell us your criteria and we’ll build out a customized portal with all Airdrie real estate properties that match.

Click here to get started!

Derek Timmons

Derek Timmons

Derek is a top performing REALTOR® in Airdrie, Alberta, Canada. Aside from knowing the market, he uses his knowledge and experience in construction to help clients understand exactly what they’re in for when buying and selling real estate.

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