Typical residential property value in Calgary jumps 12% in latest city assessment

The value of the typical Calgaryhomeis up sharply over last year, accordingto the latest calculations by the city's property assessmentdepartment.

The 2023 median single residential assessment is $555,000, compared with $485,000 in 2022.The median residential condominium assessment is $255,000 compared with $235,000 last year.

Overall, the typical residential property market value change was a 12 per cent increase over the previous year,while the typical non-residential market value change was two per cent.

The city's assessmentvalues are based on a market valuation on July 1, 2022, and theproperty's physical condition on Dec. 31.

Owners of single-family homes saw the greatest jumps in value, rising by 13 per cent from last year.

City assessorEddie Lee saidmost property owners will notice their property's value has increasedfrom last year, something he attributedto strong sales and market demand.

He said the resultsare a reflection of the"strength, resilienceand growth" in the real estate market,especially in the single residential, multi-residential, industrialand retail markets.

Residential condominiums had a seven-per-cent increase. The townhouse condominium market increased by nine per cent, while the apartment condominiums increased six per cent from last year.

"The rental apartment market experienced a typical increase of 13 per cent," the city said in a news release.

"Leading the increases were townhouses, with high-rise and low-rise properties close behind, and finally fourplexes increasing more modestly."

Location also made a difference in residential values, withCalgary's newer suburban communities experiencinggreater increasescompared with established inner-city communities, Lee said.

The typical non-residential market value, like those for office and retail buildings, increased two per cent.

'Not surprising' to see home values climb

The uptick in residential property values isn't surprising given the strength of the city's real estate market coming out of the pandemic, said Charles St-Arnaud.

"We've had a strong labour market, an improvement in the overall economy over the past year, especially with the strong appreciation in oil prices and very low unemployment rate," said St-Arnaud, chief economist with Alberta Central. "That provided some support on the residential side."

The non-residential side of the market faced greater headwinds, and increased just two per cent in value since last year.

Office properties, in particular, dipped in value by three per cent.

"There's still a lot of office towers that are still having high vacancy [rates], and that's kind of pushing their value lower," said St. Arnaud.

Retail and industrial properties fared better. The value of retail properties crept up by four per cent and industrial properties increased by five per cent, which the city credited in part to warehousing and Calgary's position as an attractive Western Canada distribution hub.

"We're seeing strong demand on that sector that's been going on since the pandemic," said St. Arnaud.

Property tax implications

The city's assessments play a key role in determining how much taxpayers will be expected to pay in municipal property taxes in the coming year.

"This year, single residential and multi-residential property ownersare expected to have their tax share increase due, in part, to the 2023 annual assessment," according to the city.

"This increased tax share combined with the city budgetary changes will result in an estimated increase of 5.5 per cent to the 2023 municipal property tax, based on the single median assessed home value increasing from $485,000 in 2022 to $555,000 in 2023."

Residential condo property owners are expected to have their tax share decrease due to the 2023 annual assessment.

However, property tax rates will not be set until after the release of the provincial budget, whichwilldetermine the provincial share of property tax, and council's approval of the property tax bylaw.

Deadline to complain

The city's websiteallows owners to review their residential property detailsand check their property against similar ones. Those who aren't happy with their assessment have until March 13 to file a complaint with the Assessment Review Board.

Top 10 highest-value, non-residential properties

• CF Chinook Centre, valued at$1,101,991,817
• YYC Calgary Airport, valued at$882,150,000
• The Bow, valued at$748,581,436
• Eighth Avenue Place, valued at$681,800,000
• Brookfield Place, valued at$552,704,551
• CF Market Mall, valued at$536,893,414
• Bankers Hall, valued at$509,842,000
• Suncor Energy Centre, valued at$498,199,800
• Centennial Place, valued at$424,517,855
• Calgary City Centre, valued at$331,001,200