Sunday, April 24, 2016

Calgary Condo Market
Gives Harsh Lessons On Condo Investing
Article highlights how Alberta's downturn is negatively affecting the condo investment & rental income market .. increasingly, condo investor landlords are renting their units for less than their costs .. "There's kind of a myth about investing in condos about price appreciation. All of my research shows that the only thing that really goes up in value is the land value .. When you talk about condos, there's very little land involved." .. also the construction boom in Calgary is still continuing, despite a massive downturn in the region's economy tied to oil & gas .. "It's kind of a perfect storm. Too much supply, people leaving, and salaries declining .. All it takes is a downturn in the economy like we're getting now, a few vacancies here and there, and all of a sudden instead of a cash-flow positive investment, you've got a millstone around your neck ..."
LINK HERE to the article

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