Driving Western Canada Real Estate: First-Time and Interprovincial Homebuyers

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March 16, 2025

Western Canada’s real estate market is shifting, and two distinct buyer profiles are emerging in today’s evolving real estate landscape. The first buyer profile I am referring to are the First-time homebuyers who are finding themselves in one of the most favorable environments in recent history, with declining interest rates, eased mortgage qualification rules, and what’s looking more and more like a buyer’s market in many regions in the Vancouver condo space- finally providing that long awaited opportunity for some to finally step onto the property ladder. And then there’s the other buyer profile that I’m referring to, the interprovincial homebuyers—many from Ontario and British Columbia—are realizing a strategic “sell high, buy low” opportunity and making the choice to move to Alberta. Cities like Calgary and Edmonton offer the best of both worlds: the affordability that’s nearly unattainable in the GTA and GVA, combined with the amenities and career prospects of a major urban center. For many, it’s the perfect balance—homeownership that isn’t just a dream, but an achievable reality in a city that still feels big enough to offer opportunity without the financial strain.

So this is what I’m seeing come across my desk these days- first time home buyers and people who are contemplating a major move to another province (mainly Alberta). The pre-approval process for first time home buyers is generally a breeze, doesn’t take too long to complete (4-6 hours), but the interprovincial buyer is a bit more demanding when it comes to drafting a pre-approval as there are many moving parts and lots of what-if scenarios to consider. For more details regarding the mortgage qualification process when moving from one province to another, refer back to my earlier blog, “Qualifying for a mortgage while moving to Alberta”.

First Time Home Buyers

For first-time homebuyers, the current market conditions present a rare window of opportunity—one that (some think) may not last very long. With interest rates trending downward, borrowing power is increasing, making it easier for buyers to qualify for mortgages at higher amounts. On top of that, mortgage qualification rules are becoming more flexible, further boosting affordability. But perhaps the most significant advantage lies in the market itself: condos, the entry point for many first-time buyers (especially in Vancouver), are in abundant supply, particularly in major cities where demand has softened. This dynamic has shifted the balance of power firmly in favor of buyers, allowing them to negotiate more favorable terms, secure incentives from developers, and avoid the bidding wars that defined the market just a few years ago. For those who have been priced out or are hesitant to enter the market, the conditions are aligning in a way that makes ownership not just possible, but strategic.

For example, the average sold price of a condo in Vancouver decreased from $826,000 in February 2024 to $785,000 in February 2025. Additionally, the 5-year fixed mortgage rate dropped from 5.19% in February 2024 to 4.29% today (as of March 16, 2025). This translates to $41,000 in price reduction and an additional $42,000 in interest savings over a full 5-year fixed term—a total of $83,000 in savings.

And also, there’s the expansion of amortizations from 25 to 30 years, which allows first-time homebuyers to further increase their purchasing power by reducing their monthly mortgage payments. Last year, an $826,000 purchase with a minimum down payment of $57,600 resulted in a $4,575 monthly payment amortized over 25 years. In contrast, with today’s average sold price of $785,000, a minimum down payment of $53,500 would yield a $3,935 monthly payment over 25 years or even lower at $3,600/month over 30 years (with the implementation of Canada’s newly enacted 30 year amortization threshold for first time buyers). Once again, this translates to $41,000 in price reduction and an additional $42,000 in interest savings over a full 5-year fixed term—a total of $83,000 in savings, and a mortgage payment that is almost $1,000/m less today, then what it would have been last year.

The jury is still out on how condo prices will evolve moving forward, but for many, this could be an ideal time to enter the market and secure a stake in Vancouver real estate.

So if you’re a first time buyer, now is your time! For more details about exclusive First Time Home Buyer programs in Alberta and British Columbia, revert back to my previous blog, “Could now be the moment for First Time Home Buyers in Canada?“.

Interprovincial Buyers

For interprovincial buyers, the opportunity is even more compelling. Many homeowners in Ontario and British Columbia are cashing out of their high-cost markets and relocating to Alberta, where home prices remain significantly lower without sacrificing big-city amenities. This “sell high, buy low” strategy allows them to trade cramped condos or aging townhomes in the GTA and GVA for detached homes in Calgary or Edmonton—often with little, and in some instances, no mortgage at all.

The financial boost that comes with this move is substantial: no upfront property transfer taxes, and no provincial sales tax in Alberta. This all contributes to a stronger financial position. What makes this shift even more unique is that it’s not just established, repeat homebuyers looking to upgrade their property while reducing their mortgage payments—it also makes sense for first-time buyers in Toronto or Vancouver who are currently contemplating a 500-700 square foot condo (as this is the entry point in these markets)…but take that same buyer and their purchasing power and move them to Alberta where they can secure a single-family home for the price they would purchase the 500-700 square foot condo in Vancouver or Toronto…I know, crazy. Unlike in BC and Ontario, where detached homeownership is increasingly out of reach, Alberta offers an achievable path to space, stability, and long-term financial security.

For many, this isn’t just a real estate decision—it’s a lifestyle upgrade, offering homeownership without financial strain while still enjoying the perks of a major metropolitan area.

Looking to make a move?

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