Comparison

Condo or Garden Suite what is the right investment.

 

It may seem an easy choice to buy a condo but there are many things to consider and many risks often overlooked. 

  • The average condo sale price in Calgary in September was $350,000
  • Many 2 bedroom units exceeded $400,000 Plus monthly condo fees and risk of special assessments
  • The average condo fee in calgary was 600 dollars per month and that number is largely out of your control a condo board can increase that number on you.
  • As an investor it is harder to manage multiple units spread over multiple locations

Rental income is a significant opportunity that many have thought is only for the rich.  With a Bakgård Living garden suite this financial benefit is also within your reach. As per rentcanada.com  a good quality unit in a good location can rent for more usually in the 10-20% range

  • Average bachelor apartment is $1508
  • Average 1 bedroom rental in Calgary is $1811
  • Average 2 Bedroom rental in Calgary is $2251

With the 2 bedroom garden suite we provide you are looking at roughly 900 dollars per month in mortgage payments. When you add in property taxes and the other monthly costs you are looking at roughly 700-1000 dollars per month in positive cash flow.  There isn't a real estate investment opportunity in calgary that can generate positive cash flow. 

With the advent of the capital gains tax increase, consider increasing the rental income you can generate per lot as opposed to selling and getting hit with the significant tax on the gains you have had.

  • Our starting Price for a one bedroom is $195,000 (budgeted amount for site modifications included)
  • We take care of all the required permitting and site modifications like trenching servicing and a screw pile foundation.
  • Our standard specifications exceed new home construction standards 
  • The client has very little disruption at their home.  Our dwellings are substantially built off site and dropped on site when complete (roughly 50 days on site).

Other important statistics show that Millenials are having a more difficult time as each year goes by affording a home or getting started in life.  They need family support.  And with a Bakgård Living suite this support is significantly more cost effective than buying a condo.

  • In 2018 37 Percent of Millenials turned to their parents for help with a deposit on their first purchase
  • In 2018 the median price of a single detached home was $481,400
  • In 2024 the median price was $688,500  with many homes going for 700-800,000 in average suburban communities
  • Bakgård Living has a housing solution that increases the value of your current property and can help your children save for future housing and still having the independence they crave.

Another key area to consider is our aging parents.  the cost of assisted living is significant and having our parents move into a condo is often times a difficult process due to the loss of community and connection that they have felt over the decades of being int he same home.  With our product they can rent out a garden suite to help offset the retirement years.  Or if they need more support having your parents in your backyard is a significant cost savings that can even be invested back into on site nursing support and a better overall lifestyle.

  • Average cost of adult independent 2bdrm living in Calgary $4,500.00 per month

  • Average assisted living in Calgary $5,500.00 per month

  • Average monthly mortgage cost with a Bakgård Living suite in your back yard is $1,100.00 and under.  This allows for additional funds in the future to be dedicated to in home support and for your funds to be put towards an asset.
  • Having parents and grandparents closer to your home reduces the stress and impact of caring for an elderly parent.

Ultimately there is no comparison between a garden suite and a condo, if you have the space the garden suite will be the better investment and provide the most flexibility.