Parents of post-secondary students in Edmonton may find that buying a condominium is more economical than renting, according to a new study by Zoocasa. The report, which analyzed 14 major Canadian markets with prominent universities, compared the total cost of renting for three years against a 20% down payment on an average-priced condo. In Edmonton, renting for three years costs $57,708 based on an average monthly rent of $1,603, while a 20% down payment on an average condo priced at $225,842 is just $45,168 — a savings of $12,540.
Edmonton Leads in Affordability
“In Edmonton, you’re about $12,000 cheaper putting 20 per cent down than renting for three years,” says Brittany Kostov, industry relations officer for Zoocasa, owned by eXp Realty. The study assumed students rent for the first year of a four-year degree, then compared three years of rent with the down payment. Edmonton ranked first among the 14 cities, offering the greatest financial advantage for buyers.
Aligul Arslan, a realtor with eXp Realty in Edmonton, notes that even lower-priced condos are available. “There are quite a few condos to be found in the city for about $80,000 to $100,000,” he says, adding these units are often in good condition and suitable for students. Many apartments near transit hubs and institutions like the University of Alberta and MacEwan University are near the average price and often have two bedrooms, allowing students to rent out one room to help cover mortgage costs.
Other Markets Where Ownership Wins
Zoocasa’s study found that ownership was more advantageous than renting in five other cities. Saskatoon ranked second, with average monthly rent of $1,534 ($55,224 over three years) versus a down payment of $50,288 on an average condo of $251,442. Winnipeg placed third: rent of $1,662 per month ($59,832 total) compared to a down payment of $58,340 for a condo worth $291,699. London, Ont. (home to Western University) came fourth, Quebec City (Laval University) fifth, Kingston (Queen’s University) sixth, and Ottawa seventh.
In Quebec City, the average rent was the lowest in the study at $1,481 per month, making renting about $15,000 cheaper than a down payment over three years. However, Kostov points out that ownership offers long-term benefits, such as use after graduation or rental income. “Ownership can offer long-term use for a child after graduation or as an investment property generating rental income,” she says.
Considerations Beyond the Down Payment
While the down payment is a key factor, parents must also account for monthly mortgage payments, condominium fees, property taxes, and maintenance. Despite these costs, Arslan notes that buying in other markets can be complex, making local realtor expertise valuable. He is currently assisting an out-of-town family from Ontario whose child will attend NAIT. “I am meeting with a family based in Ontario whose kid is going to be attending NAIT, and they see great value in buying here,” he adds.
The report is particularly useful for out-of-town students and their parents, though Edmonton families with children studying elsewhere may also benefit by comparing costs in other cities. Overall, Edmonton’s affordable real estate market makes condo ownership a compelling option for student housing.
