Advantages of investing in multi-family real estate in Red Deer, Alberta  

You’re here because you are probably a first-time investor in Red Deer Alberta and want to get into the commercial real estate business.   

After all, why not? Real estate shields you from the volatility of the stock market. Red Deer commercial real estate is easier to get into plus it has so much more advantages.   

Want to dig deeper into this topic? Keep reading below.   

Why Multi-Family Property?  

First of all, there are many options on where to start building your commercial real estate portfolio. However, it is a common starting ground for most investors to start with a multi-family property.  

A multi-family property, or a residential property that has more than one housing unit, is easier to finance. It also is ideal for investors who are looking to build a large portfolio.   

It also provides more cash flow which is a top factor to consider when investing. More units rented means more cash, which in turn allows you to reinvest and build more portfolios.   

So what are the advantages of investing in a multi-family property in Red Deer?  

A Growing Population  

Red Deer is a promising economy. It is regarded as the most affordable real estate market in the country, thus drawing more migrants.   

The population in the province of Alberta is growing. The same is true with Red Deer. Global News reports that Alberta saw the largest wave of interprovincial migration since 2014.   

According to Candy Collins, who recently moved to Red Deer from Saint John, New Brunswick, as reported by Storeys.com,  moving to Red Deer is the best decision they ever made.   

Collins testified, “the rent is cheaper, the gas is cheaper, groceries are the same or cheaper, and income has doubled.”   

Collin's testimony is only proof that the economy of the province is alive, thus drawing more people to move into the province.   

For those who aren’t into large-city living, their top choice would be Red Deer, which is located almost in the middle of Alberta’s two biggest cities – Calgary and Edmonton.   

This growing population will only create more demand for multi-family residentials to cater to everyone.   

With this strong demand, you can only imagine the stable cash flow that will come from investing in a multi-family property.   

Multiple Income Streams  

Imagine having multiple income streams from investing in a single property. That’s another advantage investing in a multi-family property offers.   

If you ask any multi-family investors what is their favourite part about owning a multi-family property, for sure they will answer having to manage only one property while earning multiple incomes. This type of property is generally easier to manage than multiple single-family properties scattered across different areas in the city.  

High Demand for Housing  

While the rest of the country is in economic turmoil, Red Deer Advocate reports that Alberta has a unique situation that doesn’t reflect the nationwide statistic.   

“For example... Alberta has not seen the slowdown many other Canadian markets have because its energy sector is much stronger than it was in the past,” the report said.   

The thriving gas and oil economy in Alberta creates more job opportunities, thus generating a high housing demand.   

To meet these demands, there will be an increased need to build multifamily properties.   

What comes with high rental demand is the increase in rental prices, which will bring more cash flow to real estate investors.   

Ready to begin investing?  

If you are looking for a sign to begin investing in commercial real estate in Red Deer, this is it. Continue with your research and talk to seasoned commercial real estate agents who can help you get started in the world of commercial real estate investment.