Experts predict that there is a coming real estate boom in Edmonton and the time to buy or sell a home in Edmonton or is right now.
The Capital city of the Province of Alberta, Edmonton has a population estimated at 710,000 people but, when you include the greater Edmonton area, that population is closer to 1,040,000. Edmonton incorporated as a city in 1904 with a population of about 8,000 and became the capital of Alberta a year later. Edmonton is known as the Gateway to the North and it is the main land route to the Yukon.
Edmonton is the closest major city to the lucrative oil sands projects in northern Alberta. The projects have attracted almost $140 billion in revenue and new growth to the province, and people are flocking to the area in search of jobs. With unemployment at approximately 3 percent, Edmonton has redefined the concept of “full employment”; job opportunities far outnumber potential workers.
In the current US real-estate market a housing demand that outstrips supply is almost unheard of but conditions are radically different in Alberta, which is facing a housing shortage and rapid price acceleration, much to the delight of property owners, who haven’t seen values increase by this much since 2006/7. The population influx has also driven rental vacancy rates to less than 1 percent in Edmonton and the surrounding areas.
The reason for the boom is very simple; the oil sands in Northern Alberta. Almost 70% of these oil-rich areas still remain open for lease and exploration, and the need for skilled workers keep rising. Add to that the fact that the United States would rather import their oil from Canada and you can see why Alberta has been the largest oil supplier and gas supplier to the US for 6 years in a row.
Adding to the Edmonton real-estate boom is the fact that the city has a thriving post-secondary education sector and also has a large technology sector that employs thousands of people including General Electric, Dell, IBM and Intuit to name a few.
The corridor between Edmonton and Calgary has always been the most important real estate area in the province, and since the oil boom of 1947 started in Leduc the growth has been unstoppable. Traditionally Edmonton real estate has not been as volatile as Calgary, and has not seen their sky-high prices. The oil sands and the 21st Century energy boom may change all that.