Are you deciding between a brand-new home and a resale property in Calgary? The city’s real estate market has many options. It’s important to look at the good and bad of each choice. You’ll find everything from the latest in new homes to the cozy feel of resale homes.
New homes in Calgary are pricey because they use modern materials and have top-notch features1. But, they offer the chance to be the first family there, with new amenities, and often come with warranties2. Calgary’s builders are skilled at making homes that fit today’s lifestyle3.
Resale homes in Calgary are bigger and cheaper than new ones1. They’re in neighborhoods with trees, parks, and good infrastructure1. Choosing an older home means you don’t have to start from zero with the yard. You also get to pick from many designs and layouts2.
Choosing between a new or resale home in Calgary depends on what you want. This includes your budget, how fast you need to move, and your lifestyle1. Knowing the good and bad of each choice helps buyers pick the right home for them in Calgary’s busy market.
Key Takeaways
- New homes in Calgary offer modern features and warranties but come at a premium price.
- Resale homes provide more square footage for a lower cost and are located in established neighborhoods.
- Buyers must consider their budget, timeline, and lifestyle when choosing between new and resale homes.
- Calgary’s real estate market offers diverse options across various neighborhoods and price points.
- Working with experienced real estate professionals can help navigate the pros and cons of each choice.
Understanding the Calgary Real Estate Market
When exploring the Calgary real estate market, knowing the trends is key. Over five years, the city’s home prices have jumped by 38%, from $414,800 to $572,3004. This makes Calgary a top choice for real estate in Canada, says the Royal Bank of Canada4.
In June 2024, Calgary saw a drop in home sales by 13% from last year, with 2,738 homes sold5. Yet, the average home price went up by 8.5% to $608,0005. The average price for a home in Calgary reached $623,2455.
Looking at Calgary housing options, different types of homes show different price trends. Detached homes saw a 13.6% increase, reaching $829,000. Semi-detached homes went up by 6% to $666,0005. Townhouses and condos saw even bigger jumps, by 17.1% and 18.4% respectively5.
The Calgary real estate market is competitive, with a sales-to-new listings ratio of 72% in June 20245. This means it’s a seller’s market, pushing some buyers to offer more than the asking price4.
| Property Type | Average Price (June 2024) | Year-over-Year Change |
|---|---|---|
| Detached Homes | $829,000 | 13.6% |
| Semi-Detached Homes | $666,000 | 6% |
| Townhouses | $479,000 | 17.1% |
| Condo Apartments | $357,000 | 18.4% |
For Calgary home buyer advice, consider both new construction homes and existing homes. There are about 4,025 homes for sale in Calgary, priced from $2.00 to $35,000,000.006. Even though average sold prices fell by 3% last month, they’re still up 7% from last year, and home prices keep going up6.
Understanding the Calgary real estate market is key to making smart choices. Whether you want new construction homes or existing homes, a skilled real estate agent can guide you. They can help you find the perfect home that fits your needs and tastes.
Advantages of Buying a New Home in Calgary
Buying a new home in Calgary has many benefits that make living there better. You can make your space your own and enjoy the peace of mind that comes with modern features and saving on energy. Let’s look at the main reasons to buy a new home in Calgary.
Customization and Modern Features
One big plus of buying a new home in Calgary is the chance to customize it. You can make your home fit your style and needs better than older homes. With new homes, you get to pick everything from the layout to the finishes, making it truly yours7.
New homes also come with the latest in smart home tech. Think smart thermostats and smoke detectors, making life easier and safer8. Plus, you can choose the quality of materials and workmanship, ensuring your home is top-notch7.
Energy Efficiency and Lower Maintenance Costs
New homes in Calgary focus on saving energy. They use materials and systems that help you use less power and water. This means lower bills for you7. Plus, they’re built to last, saving you money on repairs and upkeep9.
These homes also mean less maintenance for you. They’re newer, so they need fewer repairs, saving you time and money98. And if something big breaks, like the furnace, it’s cheaper to fix because it’s new8.
Builder Incentives and Warranties
Buying a new home in Calgary might also get you special deals from builders. These can be things like free upgrades or help with closing costs. But remember, some upgrades might cost more than you think9.
And, new homes come with warranties. This means parts of your home, like the structure and appliances, are covered if they have problems early on8.
“Buying a new home in Calgary offers a unique opportunity to create a living space that truly reflects your personal style and meets your family’s needs. With modern features, energy efficiency, and the potential for builder incentives, a new home can provide both comfort and value for years to come.”
| Advantage | Description |
|---|---|
| Customization | Tailor your living space to your preferences and lifestyle |
| Modern Features | Enjoy smart home technology and high-quality finishes |
| Energy Efficiency | Benefit from sustainable materials and energy-efficient systems |
| Lower Maintenance Costs | Experience fewer repairs and lower maintenance expenses |
| Builder Incentives | Take advantage of upgrades, closing cost assistance, or other incentives |
| Warranties | Enjoy peace of mind with coverage for structural components, systems, and appliances |
Disadvantages of New Homes in Calgary
New homes in Calgary have many benefits, but they also have some downsides. One big issue is the high upfront costs and price premiums. New homes can be up to 20% pricier than older ones, studies show10. They usually cost more than older homes, which might be cheaper11.
Another problem is waiting too long to move in. New homes take longer to be ready than older ones, which you can move into right away11. Delays in construction are common, especially when there are shortages of workers or materials, like during the pandemic12. If construction is delayed, buyers might end up with higher mortgage rates10.
Higher Initial Costs and Price Premiums
New homes in Calgary cost more upfront than resale homes. But, they can save money over time with lower maintenance and energy costs11. Besides the higher price, new home buyers might also spend more on landscaping and finishes.
Longer Wait Times for Move-In
Buying a new home in Calgary means waiting longer to move in. It can take months or even over a year to finish building. This can be a big problem for buyers who need to move fast or have a tight schedule.
Additional Expenses for Landscaping and Finishes
Buying a new home in Calgary means extra costs beyond the sale price. You might need to pay for landscaping since new homes often have young or unfinished yards. Also, you might have to buy appliances, window coverings, and other finishes that resale homes usually come with.
| Disadvantage | New Homes | Resale Homes |
|---|---|---|
| Initial Costs | Higher purchase price, up to 20% more than resale homes10 | Lower purchase price compared to new homes11 |
| Wait Times | Longer wait times, several months to over a year11 | Typically available immediately11 |
| Landscaping | New and immature landscaping11 | Mature and established landscaping11 |
| Additional Expenses | May require purchasing appliances, window coverings, and finishes | Often includes appliances, window coverings, and finishes |
Benefits of Purchasing a Resale Home in Calgary
Buying a resale home in Calgary comes with many benefits. These homes are often cheaper and have more space. They also sit in neighborhoods with mature trees and established communities.
Lower Prices and More Square Footage
Resale homes in Calgary can be cheaper than new ones. They give you more space for your money. This is great for families or those who want room for hobbies or a home office13.
Established Neighborhoods and Mature Landscaping
Resale homes are often in neighborhoods with a strong community feel. These areas have beautiful trees, greenery, and well-developed streets. The landscaping adds beauty, shade, and privacy to your home13.
Immediate Availability and Faster Move-In
For those who want to move fast, resale homes are a good choice. They’re ready to move into quickly, usually within 30 to 60 days13. This is great for people moving for work or who need a new home quickly.
| Resale Home Benefits | Description |
|---|---|
| Lower Prices | More affordable compared to new builds |
| More Square Footage | Larger living spaces for the same budget |
| Established Neighborhoods | Well-developed communities with a strong sense of belonging |
| Mature Landscaping | Lush greenery, shade, and privacy |
| Immediate Availability | Ready for move-in within 30 to 60 days |
| Faster Move-In | No lengthy wait times compared to new construction |
When deciding between new and resale homes in Calgary, think about what matters most to you. New homes offer modern touches and the chance to customize. But resale homes bring great value with their affordability, size, and community feel.
Drawbacks of Resale Homes in Calgary
Resale homes in Calgary have many benefits like lower prices and established areas. However, they also have some downsides. One big issue is the need for more maintenance and upgrades14. Older homes often need repairs or updates, which can increase costs.
Another problem is that resale homes might not be as energy efficient as new ones. They often lack modern energy-saving features, leading to higher bills and a bigger environmental impact. This is a big concern for those who value energy efficiency and sustainability15.
Also, resale homes don’t offer much chance to customize without big renovations. Unlike new homes, where buyers can pick their style, resale homes have designs that might not match what buyers like15. Changing a resale home can be expensive and time-consuming.
Supply chain issues and rising costs of materials have impacted both new home construction and renovation projects in Calgary14.
Resale homes might also have hidden problems that aren’t seen at first glance. These could be anything from structural issues to old electrical or plumbing systems, leading to extra costs later. Home inspections can spot some problems, but they might not catch all of them. This can leave buyers with unexpected expenses.
| Drawback | Description |
|---|---|
| Maintenance and Upgrades | Older homes may require repairs, replacements, or updates to various components |
| Less Energy Efficient | Older homes often lack the latest energy-saving features and technologies |
| Limited Customization | Resale homes come with pre-existing design elements that may not align with the buyer’s taste or style |
| Hidden Issues | Resale homes may have structural defects or outdated systems that can lead to unexpected expenses |
New homes, on the other hand, usually have warranties for parts of their build, like a one-year warranty on work and materials16. This gives homeowners peace of mind, knowing they’re covered for defects or issues early on.
Choosing between a new home and a resale in Calgary depends on what you want and your budget. By looking at the downsides and benefits, buyers can make a choice that fits their life and needs.
Financial Considerations: New Homes vs Resale Homes in Calgary
Choosing between a new home and a resale property in Calgary means looking at the costs. Remember, new homes come with a 5% GST, which can increase the price. But, you might get rebates if the home costs less than a certain amount.
Resale homes have their own costs to think about. You’ll need to plan for renovations right away. Even though they’re cheaper than new homes, you’ll have to pay for any fixes or updates needed for your taste and family needs17.
GST on New Homes and Potential Rebates
Buying a new home in Calgary means paying an extra 5% GST. But, you might get rebates if your home is priced right. It’s smart to look into these rebates and see how they can help with your budget when buying new18.
Budgeting for Renovations in Resale Homes
Resale homes might cost less upfront, but don’t forget to plan for renovations. The U.S. Census Bureau says homeowners spend 1-4% of their home’s value each year on upkeep and repairs17. Older homes might need more work, so know the costs before you buy.
35% of homebuyers buy new homes because they need renovations (National Association of Realtors)17.
Long-Term Appreciation and Resale Value
Think about the long-term value of new versus resale homes. Calgary’s growth makes new homes a good investment18. But, older homes lose about 2% of their value each year, and those in poor condition lose 3%17.
| Financial Factor | New Homes | Resale Homes |
|---|---|---|
| GST | Additional 5% on purchase price, with potential rebates available | Not applicable |
| Renovation Costs | Minimal, as the home is move-in ready | Budget 1-4% of home’s value annually for maintenance and repairs |
| Long-Term Appreciation | Likely to appreciate due to city growth and development | Older homes depreciate by 2-3% per year |
Choosing between a new and resale home in Calgary depends on your finances, goals, and if you’re okay with renovations. Think about these factors and get advice from real estate experts. This way, you can pick the best option for your budget and lifestyle19.
Lifestyle Preferences and Personal Priorities
When looking to buy a home in Calgary, think about what you really want and need. Calgary has many neighborhoods, each with its own vibe and features20. Whether you like the city life or prefer the suburbs, knowing what you want in a home is key.
Defining Your Must-Haves in a Home
Start by listing what you must have in a home20. A study found that most Canadians want single-family homes, and many prefer the suburbs21. Think about how many bedrooms and bathrooms you need, outdoor areas, and specific features like hardwood floors, which many buyers love21.
Also, consider how close you want to be to work, schools, and other important places when picking a home in Calgary20. Choosing features that many people like can make your home more valuable and easier to sell20.
Considering Maintenance and Renovation Time
Think about how much time you’re ready to spend on upkeep or fixing things up. If you want a home that’s ready to go with little work, a new or recently updated home might be best. But if you’re okay with renovations and have the time and money, an older home could be a good choice.
Features like new kitchens, energy-saving upgrades, and nice landscaping can make your home more valuable in Calgary20. These things can make living there more comfortable and also help you make a good investment.
Evaluating Your Timeline for Moving
How quickly you need to move is important when deciding between a new and an older home. If you can wait for a new home to be built, you might be able to customize it. But if you need to move fast, an older home that’s ready now could be better.
Interestingly, many Canadians spend a year or more looking at homes before they start house hunting21. By thinking about when you need to move and the current market, you can choose the right home for your needs and preferences.
Ultimately, finding the perfect home in Calgary means knowing what you need and want. By thinking about your must-haves, maintenance needs, and when you need to move, you can find a great home in this lively city.
Exploring Calgary’s Diverse Neighborhoods
Looking for the perfect home in Calgary means checking out what each area offers. Calgary has grown a lot, becoming a city full of life and diversity22. Experts say it will keep growing, making now a great time to look at different areas22.
For families, places like Aspen Woods, West Springs, and Lake Bonavista are great. They have good schools, parks, and a friendly feel22. These areas mix space, privacy, and being close to things, perfect for single-family homes23.
Young professionals might like Downtown Calgary and areas like Beltline and East Village22. These spots are close to work and have lots of culture and fun, ideal for condo living23.
For luxury, try Mount Royal, Aspen Woods, and Elbow Park22. These places are all about luxury and high-end living23.
Looking for something more affordable? Check out Coventry Hills, Taradale, and Falconridge22. They offer quality homes without breaking the bank, great for first-time buyers or those on a budget.
Calgary welcomed new communities in 2023 like Alpine Park, Belvedere, and others, offering more choices24.
Sunnyside and Ramsay are great for those wanting something different22. They mix old charm with new comforts, making them stand out in Calgary.
Areas like East Village and the Beltline are up and coming, offering good investment chances22. As Calgary grows, these spots could become more valuable, making them a smart choice for investors24.
| Neighborhood Type | Examples | Key Features |
|---|---|---|
| Family-Friendly | Aspen Woods, West Springs, Lake Bonavista | Excellent schools, parks, recreational facilities |
| Urban Living | Downtown Calgary, Beltline, East Village | Proximity to employment, cultural and nightlife options |
| Luxury | Mount Royal, Aspen Woods, Elbow Park | Exclusive properties, prestigious communities, high-end amenities |
| Affordable | Coventry Hills, Taradale, Falconridge | Quality housing options without compromising amenities |
| Unique Character | Sunnyside, Ramsay | Historic charm, modern conveniences, distinctive atmosphere |
When looking at Calgary’s housing, think about what’s important to you. Things like parks, schools, and shops can make a big difference22. By looking at what each area offers, you can find the perfect place to live.
Working with Real Estate Professionals in Calgary
When looking to buy a home in Calgary, whether it’s new or resale, getting help from real estate professionals in Calgary is key. They know the local market well and can give you real estate tips for Calgary buyers.
Insights on New Construction and Resale Markets
Calgary’s real estate pros know the new and resale markets inside out. In Calgary, you must have your realtor with you when you first visit a builder’s showroom25. Having your own agent when buying new is smart, as they look out for your interests26. They’ll tell you about prices, what the area offers, and how much your home might be worth later, helping you decide wisely.
Guidance in Making an Informed Decision
Buying a new home is complex, with many contracts to sign and things to consider. A real estate agent can guide you through it all26. They’ll weigh the pros and cons of new vs resale homes based on what you need. They’ll also explain the costs, like the GST on new homes and rebates, and help you plan for any updates you might want.
Navigating the Competitive Calgary Market
The Calgary market is tough, with homes selling fast and new ones offering great deals. Realtors can negotiate for you to get the best price from builders26. They know about the different types of homes in Calgary, like old homes, suburban houses, and high-rise condos27.
When comparing homes in Calgary, it’s smart to talk to a real estate pro who gets what you’re looking for and your budget. They can help you figure out what you really need, think about upkeep and updates, and plan your move. Since July 2014, agreements between buyers and realtors are a must, making things clear and professional25.
“Choosing a realtor for new construction in Calgary means you’re in good hands and can relax, knowing they’re an expert in the process.”26
To start your Calgary home buying adventure, reach out to Josh at (403) 305-9167 for the newest homes and expert advice. They’ll help you navigate the market, ensure fair treatment, and make a choice that fits your dreams and budget.
Conclusion
Choosing between a new home and a resale one in Calgary is a big decision. You need to think about what matters most to you, your budget, and your lifestyle. New homes have modern features, can be customized, and save energy. But, they cost more and might take longer to build28.
Resale homes offer the charm of established areas, beautiful trees, and can be cheaper. They might need some work or updates2928.
When looking at calgary property investment, think about the long-term costs. New homes might start with lower upkeep costs, but resale homes often gain value over time28. Also, new homes can have higher closing costs because of builder fees28. This calgary home buying guide helps you see the good and bad of new vs used homes calgary. It’s to help you choose what’s best for you.
Working with real estate experts who know the Calgary market well can be very helpful. They can give you important advice and insights. By looking at the pros and cons of new and resale homes, you can pick the best one. This choice should fit your needs and goals, making your life in Calgary better.
FAQ
What are the main differences between buying a new home and a resale home in Calgary?
New homes in Calgary come with modern features and energy efficiency. They also let you customize your space. However, they are pricier and take longer to get.
Resale homes offer more space for the money and are in established areas. They’re ready for you right away. But, they might need more upkeep and updates.
What are the advantages of buying a new home in Calgary?
New homes let you tailor your living space and enjoy the latest in design and efficiency. They come with builder perks and warranties. Plus, they’re cheaper to maintain in the early years.
What are the disadvantages of buying a new home in Calgary?
New homes in Calgary are more expensive upfront and have higher price tags than resale homes. They also take longer to move into. You’ll pay extra for things like landscaping and appliances.
What are the benefits of purchasing a resale home in Calgary?
Resale homes in Calgary give you more room for your money. They’re in areas with mature trees and are ready when you are. This means you can move in faster.
What financial considerations should I keep in mind when choosing between a new home and a resale home in Calgary?
Buying a new home in Calgary means adding GST to the price, but you might get rebates for certain prices. For resale homes, plan for possible updates. Think about the property’s future value too.
How can a real estate professional help me navigate the Calgary housing market?
A real estate pro in Calgary knows the market well. They can offer insights on new and resale homes. They’ll help you decide based on what you want and guide you through the competitive market.
What should I consider when deciding between a new home and a resale home in Calgary?
Think about what you want from a home and your lifestyle. Consider how much time you’re okay with on upkeep or fixes. Also, think about when you need to move.
Source Links
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- The pros and cons of buying a new build or an existing home – https://torontosun.com/news/real-estate/first-time-homebuyers/the-pros-and-cons-of-buying-a-new-build-or-an-existing-home
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