 Okotoks ranks high - Nov. 12, 2003 Okotoks ranks high on provincial
real estate investment study
Nov. 12, 2003
Pamela Roth
Staff reporter Okotoks Western Wheel
According to a new province-wide study, Okotoks has consistently ranked in the top 10 for the last six years as the best towns or cities in Alberta to invest in residential real estate.
The findings come as no surprise to one local realtor in town, who has watched the real estate market steadily grow for the past five years.
“The engine that drives the real estate industry is the new homes sector, and Okotoks obviously has a lot of stuff going on,” said John Fraser of Team Realty. “New homes have, typically, been going up in value as well, so that drives up the rest of the market too.”
This year Okotoks tied with Red Deer to rank fifth on the list among 31 towns and cities for residential real estate investments, and was ranked fourth in the past two years. Edmonton, Devon, Sylvan Lake and Calgary all rounded out the top four.
Several factors contribute to Okotoks’ high ranking, including the extension of Deerfoot Trail linking it to Calgary, the scenic location, growing employment base, and it’s welcoming small-town atmosphere.
Once the Deerfoot extension is finally completed, commuting distance will be measured in time rather than kilometers, and the town’s growth is expected to skyrocket.
“Calgary is a major centre that has a lot of stuff going on these days,” said Fraser. “Fortunately, all these things that create Calgary as such a strong real estate market spill over onto us and soon we will be joined at the hip with the city.”
The average family income in Okotoks is a whopping $70,000 — much higher than the provincial average, and, in turn, creates endless opportunities for those wishing to invest.
“It really appeals to the smaller investor,” said Fraser. “They can buy a house with a relatively smaller down payment and just rent it out, but you really have to be careful you are buying the right thing.”
Currently, the demand for rentals in Okotoks is very strong with a vacancy rate hovering at less than 1.3 per cent from 157 registered rental units.
The average rent of a two-bedroom suite has been increasing faster than the provincial average to sit at $731, while the average price of real estate has remained consistent at $226,281.
Okotoks is currently ranked as the second-fastest growing community in Canada, and is expected to reach 13,000 by the end of the year.
The study was conducted by the Real Estate Investment Network (REIN) in Calgary.
Posted November 12, 2003 |
