A recent study by Zoocasa, owned by eXp Realty, examines whether parents should rent or buy a condominium for their post-secondary-bound children. The analysis compares the average cost of renting in 14 major Canadian markets over three years against a 20 percent down payment on an average-priced condo apartment.
Calgary: Renting Saves Over $6,000
In Calgary, renting proves cheaper than buying. The average monthly rent is $1,869, leading to a three-year total of $67,284. In contrast, a 20 percent down payment on the average condo priced at $367,442 amounts to $73,488. This means renting saves parents just over $6,000 over three years.
“In Calgary, even though renting technically saves you just above $6,000, we’re looking at that expense compared with larger markets,” says Brittany Kostov, Zoocasa’s industry relations officer. “Calgary is attractive in comparison to Toronto, where renting actually saves you closer to $36,000, and Vancouver, where renting saves $45,000.”
Toronto and Vancouver: High Costs Favor Renting
Vancouver and Toronto rank as the least affordable for both renting and buying. In Toronto, average monthly rent is $2,504, totaling $90,144 over three years, versus a down payment of $127,131 for a condo averaging $635,653. Vancouver sees monthly rent at $2,679—the highest in the study—amounting to $96,444 over three years, compared to a down payment of $140,600 on an average condo priced at $703,000.
Calgary’s Appeal Beyond Affordability
Calgary realtor Robert Lamb with eXp Realty highlights the city’s attractiveness for post-secondary education and real estate. “Excellent post-secondary institutions,” such as the University of Calgary, Bow Valley College, St. Mary’s University, Mount Royal University, and SAIT, draw students. Affordability is a key factor, but Lamb notes, “the opportunity in Calgary is not just that housing is cheaper than Toronto or Vancouver. It’s that our market still allows people to buy assets that have multiple uses.” A healthy job market enables owners to rent properties to both students and professionals.
However, Lamb acknowledges the study’s relevance may be limited for Calgary parents whose children attend local institutions and live at home.
