Investment real estate is a property that is acquired to generate income instead of being used by the buyer as their residence or offices. Even though it is a subsection of real estate, Calgary real estate investment opportunities are enormous and consists of different types of properties. Investment real estate can be a building for income-generation or to flip for profit, REITs, or a parcel of land. To help you invest in cash flow properties in Calgary, here are the most common types of investment real estate:
1. Residential Investment Properties
Residential investment is the most common type of rental property. It includes homes, condos, apartments, townhouses, single-family units, and many more. This type of real estate property makes up about 80% of real estate properties in Calgary’s inner-city neighborhoods like the Bankview community. A large number of families, young professionals, and students in the neighborhoods of Calgary increase the demand for family homes, condos, and apartments. Also, Canadian rental agreement requirements are flexible and allow landlords in Calgary to rent out their properties for a day, week, month, year, or decade. You can buy a lakeside home in Arbour Lake to use for holidays and rent it out when you’re not using it.
2. Commercial Investment Properties
Commercial investment real estate refers to properties like offices and retail spaces that are acquired to lease or let to other businesses and organizations. Some 6plex for sale in Calgary are upgraded from residential to commercial properties because each province in Canada sets its own real estate regulations. Multi-family homes for sale in Calgary that fall under commercial investments are the best real estate properties to invest in for multigenerational income. A single commercial property in Calgary can provide a stable source of income for you, your children, grandchildren, and great-grandchildren.
3. REITs
A real estate investment trust (REIT) is a type of investment real estate that allows you to buy a stake in property used to generate income. It is perfect if you’re looking for a positive cash flow rental property with low risk and without the stress of managing real estate properties. If you invest in REITs in Calgary, the primary owner of the REIT will distribute your investment across their properties. It can reduce the rewards, which is why real estate investors in Calgary prefer to buy residential and commercial properties.
4. Flipped Property
If you have the time or energy needed to become a landlord, you can buy houses to sell in Calgary for a profit. Dilapidated homes for sale at a low price are perfect to fix and flip. You don’t even have to do the renovations yourself since there are many experienced contractors for hire in Calgary. You just find real estate properties for sale in Calgary that require attention, and then renovate and flip it for profit.
5. Vacant or Undeveloped Lands
William Nimmons comes to mind when it comes to buying and selling undeveloped land in Calgary. This type of investment real estate is the oldest and involves buying a plot of land then wait for the right time to sell it to developers for a profit. Buying vacant land to sell in the future is risky because zoning laws, environmental regulations, and natural disasters can devalue your land.
Even though there are different types of investment in real estate, investors prefer residential and commercial properties in Calgary. Why? Well, the ever-increasing demand for single-family homes, apartments, townhouses, and condos for renting in Calgary guarantee a stable income for landlords.
If you’re looking for cash flow property, you should consider investing in homes, condos, multi-family units, rowhouses, townhouses, or apartments for sale in Calgary. Top Calgary Real Estate is an experienced real estate investment agent with the expertise you need. Get in touch with our team to help you find highly profitable residential and commercial properties for sale in Calgary.