July 10, 2025 • 33 mins
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EPISODE DESCRIPTION
In this episode, Sarah is joined by James Torrens. James is a licensed Realtor® from Red Deer, Alberta, proudly serving the Central Alberta Region. He has resided in Central Alberta for more than 20 years, while being a Realtor® for the past 4, and also holding an investment property for the past several years. James happily raises his family in Central Alberta and has loved watching the communities continue to grow.
James is here to discuss:
→ Current market trends and rental/investment opportunities in Central Alberta, the increased affordability of Central Alberta compared to other major provincial areas, and the common "boom & bust" misconception of Alberta real estate.
→ The opportunities for inter-provincial migrators to Alberta, the benefits of no rent-control or provincial sales tax in Alberta, and the continued rise of Alberta property values.
→ The turning point in James' career, 3 steps to start real estate investing, and advice for new real estate agents.
James Torrens' Website: www.torrensrealestate.com
James Torrens' Instagram: @jim_therealtor
James Torrens' Facebook: @JustSoldByJames
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📸 Sarah Hainsworth's Instagram: @emeraldmortgages
👥 Sarah Hainsworth's Facebook: @SarahHainsworth
📋 Sarah Hainsworth's LinkedIn: @SarahHainsworth
🔗 Emerald Mortgages Website: www.emeraldmortgages.ca
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:00):
Welcome to the Alberta Boundpodcast.
(00:01):
I'm your host, Sarah Hainsworth,mortgage broker and your guide to
building wealth through realestate in Alberta.
Today, we have the pleasure ofspeaking to James Torrens, a
successful realtor who's killingit in central Alberta.
In this episode, we talk aboutcurrent market trends in central
Alberta and what sets centralAlberta apart from other provinces
(00:22):
when it comes to purchasinginvestment properties.
Okay, welcome to the Alberta Boundpodcast.
I'm your host, Sarah Hainsworth,mortgage broker and your guide for
building wealth through realestate in Alberta.
Today, we have the pleasure ofspeaking with James Torrens, a
successful realtor who is killingit in central Alberta.
(00:44):
I can speak to this because I'veworked with him many times.
Hey, James, how's it going?I'm great, Sarah.
Thanks for having me on and thanksfor the introduction.
Yeah, absolutely.
OK, let's do an icebreaker.
James, why don't you tell me onething, big or small, that made you
smile this week?Oh, you know what?
It seems small, but they can bebig.
(01:05):
I've had three times this weekI've gotten either referral text
messages or, hey, this guy's goingto be calling you before 10 a .m.
It's just super uplifting.
It's the beginning of it's very
small node.
Maybe some of these deals will be
eight months into the future, butit's really good.
Yeah.
Last night I had a client send me
(01:25):
an email and she just said howwonderful it was to work with me
and my team.
And it's like, you know, you spend
your time in the weeds with theseclients doing these things.
And when they send something likethat, it actually like it makes a
difference.
So let's dive into the central
Alberta real estate market.
You know better than I do what's
going on on the ground.
I'm kind of in the back end in the
(01:47):
finance thing, so I see what'shappening.
But what do you see right now inyour area?
Really?Oh, that's a good question.
Just because we tend to get a lotof, I feel like static from
outside of just our focal point.
So this would be speaking to
people within Red Deer CentralAlberta primarily, but the market
is still super active.
We're still seeing a fairly steady
influx of inter -provincialmigration.
Keeping in mind, those are likewell thought out plans.
(02:09):
So people have gone throughselling their home in Ontario.
They're going to follow throughand move to Alberta type of thing.
So still noticing like a fair bitof pressure, mainly in single
detached, like familial type homesbetween that four and six hundred
thousand dollar range.
If they're priced right and they
show well, they're still goinginto multiple offers occasionally
(02:31):
or they're getting a strong offerwithin the first few days.
So what I'm saying is you stillneed to be on your toes and ready
to go.
So like here in Edmonton, that's
where I live.
We have seen so much population
growth.
I know that red deer, similar
situation.
Is that right?
Are you seeing like the populationjust in general is growing?
Yeah, you can tell just drivingaround the city that there's more
(02:53):
people.
Yeah, actually.
I can just even tell by the amountof people at bus stops.
And I've been in red deer for 20plus years now.
So definitely when it was.
you know much smaller city still a
great community and all that stuffbut growth is part of the game and
(03:14):
you can definitely tell in thelast three to five years we've had
flux it's busy everywhere that i'mgoing is like busier and busier
one thing that i have noticed isthat there's a lot of people
coming from other provinces andyou know they're not buying right
away so they're coming here andthey're looking for rental
properties they want to rent theywant to figure out hey okay so it
(03:36):
is affordable here we're moreaffordable than where i'm coming
from but i don't have a job herelike i might have some money in
the bank but i need to figure outbusy everywhere that i'm going is
like busier and busier one thingthat i have noticed is that
there's a lot of people comingfrom other provinces and you know
they're not buying right away sothey're coming here and they're
looking for rental properties theywant to rent they want to figure
(03:58):
out hey okay so it is affordablehere we're more affordable than
where i'm coming from but i don'thave a job here like i might have
some money in the bank but i needto figure out my footing before I
purchase a home.
Do you know anything about what's
going on in the rental side ofthings?
The rental market again with likea scarcity of properties and I
would imagine just kind of tailingright off of what you had
discussed is people are comingwith a plan in place.
They plan to rent so I have acouple clients right now that move
from out of province.
Their lease is up in September.
They wanted to be here for as youmentioned about a year get their
footing.
get your kids in school, figure
out what the best areas within thecity are, as opposed to being told
what they are maybe, or just kindof ending somewhere.
And maybe it's a nice sunny dayand it feels like paradise.
(04:21):
And it was a bit of an oversight.
So still fairly strong.
And again, just tailbacking offwhat you mentioned, and you have
those people that are, it's a wellthought out plan for them.
Now it's, they will be purchasinga home.
by the fall time here, but they'vereally given themselves the
opportunity to ground themselves.
Yeah, I think it makes such a
difference, like actually.
Being in the town that you're
(04:44):
going to purchase in or the citythat you're going to buy in,
because you're right, like in thedaytime, it might look great and
everything is wonderful.
And then, I don't know, eight o
'clock rolls around and maybethings start changing and the
atmosphere is different.
And yeah, I think it's important
to be able to experience the placewhere you're going to purchase if
(05:05):
that's what you decide to do.
Now, on the other side of things,
there's the investment side.
We've kind of created this perfect
storm where if you're looking topurchase an investment property,
you're not going to.
have trouble filling it with
renters right correct yeah thereseems to be a fairly steady demand
for rental properties of all typesyou put pressure on single
detached housing then people willlook to duplex and condo type
properties and so again we'venoticed a steady pressure on
(05:27):
rental properties and forinvestors it's because typically
in red deer central alberta areayeah there seems to be a fairly
steady demand for rentalproperties of all types you put
pressure on single detachedhousing then people will look to
duplex and condo type propertiesand so again we've noticed a
steady pressure on rentalproperties and for investors it's
because typically in red deercentral alberta area Definitely.
(05:47):
I'd say our prices are suppressedfrom Edmonton, Calgary.
I sent you the MLSs.
Yes, yes.
With a similar property, you'reable to deduce like, oh, in
Edmonton, this would be, you know,550 and in Red Deer, it's 475.
So again, in the last couple ofyears, like keep getting reps and
the more experience I have, I'vehad now a couple investor clients
reach out from Edmonton, Calgaryareas because the cap rates are
higher.
They know that the risk is still
quite low because we're not havingissues with people finding work,
etc. So they're attractiveinvestments that way when they
know that it's less risk in termsof capital output and it's less
(06:10):
risk in terms of finding goodtenants, etc. With a little more
runway for that property toappreciate, which any investor
appreciates, I'm sure.
Yeah, well, and too, I mean, like
you're comparing just in Albertafrom Edmonton to Red Deer or
Calgary to Edmonton, like acomparable property in BC or
Ontario, like the price is justlike it's a lot more, right?
(06:30):
Yeah, I would agree.
It's very prohibitive.
And what you see when you dealwith clientele coming from BC and
Ontario, we have a way of...
trying to dumb it down i think for
our brains to make sense of it andwe go oh those people are you know
who are these people well i dealwith them on a one -on -one basis
(06:52):
and their families like you haveor i have and they have children
and maybe they're bothprofessionals they've done all the
right things they've saved thedown payment and you just start to
look at what are we going to getin ontario what are we going to
get you know cam loops and whatcould we get in A place like Olds
or Innisfail, like it just reallyopens the horizon for them.
(07:13):
I think too.
And I mean, obviously I have my
own political stance, but I thinkwith the election that happened,
there were a lot of people puttingtheir feelers out and saying, hey,
you know what?This politically doesn't fit with
my family.
And I'm thinking Alberta might be
a better option.
Is that something that you've
seen?Yeah, I mean, to a point, I try
not to, you know, definitely whenyou're with clients, I don't try
(07:34):
to bring the conversation toanything political.
And if it does, I really try tolean centrist.
Yes.
I grew up with brothers and I, no
matter what, I like to ride thepine a little bit.
I would argue I feel people justwant maybe even to get away from
that.
Alberta does on a day to day
basis.
I don't.
(07:55):
typically think about the politicsof life and whatnot.
You can almost feel like peoplewant to release from that.
I'm not sure if it's just themfeeling free in Alberta because
there's so much space.
What we talk about through
population growth, just visitingthe greater Toronto area is
overwhelming almost.
I would imagine a little bit I
feel these people wanting to takea breath.
What is Alberta?I view it as definitely a free...
(08:16):
do your own thing kind of placeand you wouldn't say it's redneck
like that's just like out of ourvocabulary right depends where
you're going so there's somepeople and you know some towns and
i visit a lot of little smallcities and towns within central
albert and those people mightconsider them redneck in the
greatest way yes they're reallylike heartfelt hard working too
wouldn't say it's redneck likethat's just like out of our
(08:37):
vocabulary right where you'regoing so there's some people and
you know some towns and i visit alot of little small cities and
towns within central albert andthose people might consider them
redneck in the greatest way yesthey're really like heartfelt hard
working too Working people, right?It takes a bunch to keep those
places going.
So it seems like they'll come
together and make sure that, youknow, It takes know, just...
(09:00):
Areas of the town are upkept.
You can just tell.
Drive around some towns in centralAlberta, all of Alberta for that
matter.
People take pride in the province.
Yeah, okay.
So I guess we can go back to the
investment side of things inAlberta.
One thing that differs here thanin other provinces is our rent
control.
So if somebody is looking to
purchase an investment propertyhere, we don't have to abide by
the government limits that areset.
in other provinces.
So we can kind of follow what the
market is doing, which is superbeneficial in my mind.
Do you agree?Oh, I would agree 100%.
Having number one, experienced it.
(09:22):
I have one door, just one rental
property myself that I take careof.
And I've lived through the ebb andflows.
COVID times, I had tenants leave.
I held the property vacant for a
little bit.
And then when I found tenants to
put in place, Alberta hadn'treally ran yet at that time.
We just had a fair rentalagreement.
I was on a variable mortgage rate,or still am.
(09:42):
We'll get into that later.
As far as that goes, the reason I
feel that that's beneficial is Ilook at a place like Ontario that
does have rent controls and whathappens.
The rent still steadily climbedbecause whatever the rent control
is.
That's what's tapped on every time
it can be.
And it just creates more and more
(10:04):
pressure.
Again, myself as a landlord, I
liked having the ability to, youknow, keep in mind there's more
pressure in the market.
So yes, I can ask more for my
rental.
I feel that it's still always a
fair price.
but it's got to make sense for
investors as well.
I just feel like it gives you some
(10:24):
flexibility, whether you have agood tenant and you want to work
with them.
Or you have a bad tenant and you
want to raise the rent.
That's right.
And you want to make itprohibitive for them to want to
stay.
And not every landlord out there
is BlackRock that owns 2 ,700doors.
I have one door, a problem tenantin place.
have one Yeah, you bet.
I want to be able to have the
freedom to do what is necessary tomake my property less attractive
(10:48):
to that particular tenant.
And I would argue everybody wants
that little bit of freedom whenit's yours.
That's just my little tiny pieceof the monopoly board.
And I pay for it.
I should have some say in how it's
taken care of.
And I believe rent controls really
prohibit that.
And what you start to see is they
turn into a kind of bureaucraticalnightmare.
And if you look at Toronto andOntario area, just my you look at
(11:10):
Toronto and Ontario area, it'sjust as soon as they input them,
rents stay where they are.
Nothing gets cheaper.
No. It steadily rises.
So I see that's beneficial for
investors.
Everybody wants to control their
destiny.
Oh, yeah.
So, okay, so we have friendlierpolicies, we don't have rent
control, and we also don't haveprovincial sales tax.
So... I don't know.
I feel like whenever I talk about
(11:32):
Alberta in that capacity, like itmakes sense.
And there has been the argumentthat our property values are just
not there.
And I mean, granted, getting into
the market is a lot easier, butour property values are steadily
climbing right now.
Again, is that something that
you're seeing on your side ofthings?
You bet.
Yeah.
(11:52):
Within the last, I think I made apost would have been last week or
so.
So I did a little bit of research.
From 2023 to 2024, there was anaverage 19 % rise in property
values that had sold within RedDeer.
Sometimes I feel like we asAlbertans, we get a little just
myopic focus and we're onlylooking straight ahead.
And we're not understanding thatthere's a populace outside of
(12:14):
Alberta that can continue.
in flowing i feel like it makes
the average consumer not aware ofhow much runway our properties
have which is a good or bad thinglike i have children that will
need to buy into this market oneday as well so i respect and
understand where buyers are comingfrom and we need to build enough
(12:35):
prime we do we do need to buildenough properties to keep up with
the demand yeah and also representsellers that have purchased their
properties and have done well andwhether that's through maintaining
them or renovating them or justsimple compounding appreciation.
My job is to help them.
Yeah.
Okay.
So I have a couple of questions I
just want to ask you.
So can you share a memorable
moment or turning point in yourreal estate journey that taught
(12:58):
you something valuable?either about the market or about
yourself?Oh, that's a good question.
So turning point for me was, yeah,really understanding that it's a
dog eat dog world out there.
You eventually have to just take
it by the collar and see where,where you can.
move the needle.
I had the realization I spent a
(13:19):
decade in the car industry,starting with a brokerage, and I
didn't interview a bunch ofbrokerages.
I think in the beginning, I justknew I needed to gain enough
experience and see where the roadtook me.
So I was happy to jump on boardwith the first brokerage I talked
to.
But about a year through that, I
realized that it was just time togo on my own.
So my one thing would be, yeah,jumping out on my own, becoming a
(13:44):
fully independent agent.
Jumping onto a real broker, which
allowed me just as a designatedbrokerage to fire up my own name
under their wing and just chase itand really see that it is just the
effort you put forth every day.
That's not a quick payout.
No, it's not.
But I think that you do a good job
(14:06):
with clients and they obviouslylike you're leaving a lasting
impression because they're comingback and they're referring you to
their friends.
And even on my side of the
transaction, like it's a pleasureto work with you.
So like you're doing somethingright.
And I think you're doing great.
I do.
I really appreciate that.
And, you know, you see the little
(14:27):
stats.
I'm not sure exactly what they
are, but they talk about like a 90percent turnover rate, you know,
the average age in the first threeto five years.
So I'm at year four.
I got things on the go at all
given times.
I'm 90 percent sure I'll survive.
You just got to swallow the pillsometimes and just.
keep on keeping on.
Well, Well, I think it's just
(14:47):
showing up every day, right?Like, it's not easy.
We don't have like jobs that areeasy.
But when we have clients that aregood, and they're thankful, and
we're really making a differenceout there, I think it helps,
right?Okay, so I have another question
for you.
So looking back, is there a piece
of advice you wish you'd receivewhen you started in real estate?
(15:09):
Yeah, I really wish I had myselfeither been provided the advice or
had the foresight to interviewwith different brokerages and see
what see what offer just becausewhere I started it was a very one
-size -fits -all approach so theydo a lead generation they want
it's cold calling people it's veryyeah to me I found it to be
unpersonable even though Igenerate leads myself and I cold
call them I would argue it's awarm call because at that time
(15:31):
they've signed up on my websiteI'm just putting a voice to the
that time just putting a voice tothe pictures or you know listing
emails that they're going toreceive I literally almost walked
away because I felt like oh ifthis is what real estate is like
yeah thank you I'm out yeah butthen that experience going through
it and just saying okay you triedthis you want to go to one of
(15:51):
these guys it just taught me totrust my own process and I really
like informing my buyers and mysellers about the pros and cons of
whatever situation they're in Andletting them feel the power, I
call it.
But you do, because I feel like
they're all responsible people.
You've got to where they are based
on the decisions they've made.
If you're just kind of smoke and
mirrors, people, they're going tocatch on to it seven, eight times
(16:13):
down the road.
And I don't want to be any part of
that.
don't don't want to be any part of
that.
Yeah.
So, okay.
So that kind of leads into this
next question.
So what's a common misconception
that you see among buyers orinvestors?
in central Alberta?I don't know if it would be like a
misconception, but it's almostlike a sentiment that people have.
(16:34):
The local population, becausewe're used to, in Alberta, boom
and bust cycles, there's a littlebit of us wanting to attach to
like, well, it's been running fora little bit, so there should be a
bust.
Prices are going to come down.
My concern for those clients wouldbe the missed opportunities
because they have local knowledge.
of how nice an area like
Sunnybrook or Waska Sioux in RedDeer is, whereas people from
(16:55):
outside of Red Deer, centralAlberta area, don't have that
knowledge.
I still feel like, again, that's
the myopic focus that's narrow,and they think, well, we'll have a
bust, and then I'll buy.
Yes.
And I really feel like we're goingto feel a sustained pressure from
interprovincial and realmigration.
they interprovincial and realmigration.
for quite a few years here, evenstemmed immigration.
(17:15):
That's not to get political,but...
No, we don't get political here.
Yeah, I'm sorry I have the
opinion.
You know, it's true.
It's just something toacknowledge.
So it's a misconception.
I feel like they feel like, oh,
well, when it busts and pricescome down, then I'll secure this.
And I feel like they don't havethe understanding of how much
runway... our properties havebecause from 2012 to 2020 i had my
rental that whole time sarah and iwas asking the same dollar amount
(17:38):
for eight years that place barelyserviced itself yeah now things
are different but place Thatshould give insight to how
property values have increased.
should give Well, I think we're so
used to the oil and gas, right?It is boom and bust.
It's busy, busy, busy.
And then it's not.
And I think people think thatthat's how it is in real estate,
(18:00):
especially right now.
It's not like that.
Like things are pretty busy allthe time right now.
I'm finding on my side anyways.
No, you bet.
You're 100 % right.
And I would argue if you go back,
and this is like not to open upthis can of worms, but if you go
(18:20):
back to 2008, the housing crisisin the States, what we're seeing
now is from that, even though it's2025, builders are not going to
build and hold.
The maximum amount of properties
like they used to.
The servicing costs are much
higher than they used to be.
The cost of materials and product
is higher than it used to be.
(18:42):
What builders have learned, and
it's a protection thing, it's nota we want the monopoly type thing.
It's just that should we have abust cycle, a builder only wants X
amount of houses.
that they just need to sell off
and one, two, three, four, five.
Now they're not losing any money.
Yeah.
If you have 20 and you're
(19:05):
servicing those loans, let's berealistic.
So they won't put themselves inand that's creating more of a
scarcity issue in the singledetached area.
What I find is when I see a lotgetting dug out, the home is
built.
There's not a ton of show homes.
It's got to play in there.
And that's from that, I believe.
Well, and I think too with.
developers and having to jump
(19:26):
through all the hoops in thehousing market as far as the
government goes I know we are notgetting political here but I think
that they put the pause on thattoo right like they're not able to
move as quickly in building I meanthe demand is here right now but
they're not able to get the housesbuilt they've got to jump through
all the hoops to get thepermitting and all that done I
would argue that I mean wouldargue that I mean Obviously, a
(19:51):
single detached home is easier toget started and done, but it's at
the point where and even theprograms and things available for
builders and developers are morein a multifamily or type building.
There's not a ton of incentive forthem to be building and allocating
all their services to singledetached properties.
type building and allocating alltheir services to single detached
(20:12):
properties.
And that's business for them.
You know, that part,unfortunately, and that does start
to affect the average.
because all the properties
available are duplexes, condos,and the demand people are really
pushing for single detached homes.
Now when you sell your home in
Ontario for $800 ,000 and onlycarrying a $250 ,000 mortgage, you
do the math.
Well, let's talk about that for a
(20:33):
second.
There is opportunity for somebody
who is selling a property in BC orOntario to sell that property,
take the equity.
purchase an owner occupied, and
then maybe on top of it, they'reable to get an investment property
at the same time.
Like there is such a big
difference.
You could sell one and buy two.
Very common.
Yeah.
And those are the parts, you know,go back to that common
misconception we talked about.
(20:54):
The average person in Alberta
likely hasn't seen that type ofappreciation.
So it's almost unfathomable to us.
like a fantasy land.
Yeah.
Trust me.
I'm jealous.
I need these people.
So he's, you bought it for, soldit for, again, on one part, I need
these on one part, Hey, it'sgreat.
It's my job to represent thatclient, you know, let them know
how their gun is loaded so we cango out and point and shoot.
But I'd be remiss if I didn'tthink about it.
(21:14):
Like, Oh man.
Oh man.
But ours are going up.
Like, I know that they are going
up more than ever right now.
And so I think getting into the
market is the first step, at leasthere in Alberta.
And then, I mean, we don't havethe opportunity to sell one and
buy two.
However, some people in Canada do,
and I would love to help them ifthey need help with that.
(21:36):
Oh, yeah.
The key in investment is to let it
compound, right?So just through the passage of
time.
Again, we talk about this
population influx, and it mightnot always be at record highs, but
it surely but steadily does go up.
And just as property values, you
know, I can't tell you when it'sgoing to be a boom or a bust
(22:01):
cycle, but property values, Ithink, since the 1970s have gone
up 1 ,800%.
That's throughout North America.
Well, they have those memes outthere where it's like the older
generation, the boomers, andthey're dancing around because,
you know, they've just sold theirhome they paid 30 bucks for and
they're selling it for 3 million,right?
And a bucket of raspberries theybought.
So yes, like there's still so muchuntapped opportunity within
(22:24):
Alberta.
Knowing what I know now, you know,
four years ago, you're talking toa guy who spent a decade in the
car industry, five plus years inthe finance office.
So I had a pretty goodunderstanding of credit, et
cetera.
And, you know, loan to valid debt
servicing of the average.
(22:45):
You pull enough credit.
I remember thinking, because I'mthe kind of person that would just
sit.
I just buy my house.
I just sit.
And not understanding how much
opportunity really... is outthere.
And now that it's my job,profession, to find opportunities
for people, depending on theirposition in life, what they
consider an opportunity, andthat's just opened my eyes that
Alberta is really an untappedresource with a ton of runway.
If you even go to the oil and gassector, even though that is a boom
(23:06):
and bust cycle, it can have them.
Alberta has all the infrastructure
built.
We're humming right along, even if
it slows down.
we're the quickest to come back
and tail as old as time.
a Yeah.
Okay.
So I have some rapid fire
questions that I've got togetherfor you.
I'm going to ask them andhopefully, hopefully you can
answer them.
Okay.
So this is a true or falsequestion.
(23:28):
So central Alberta has some of thelowest average home prices among
major regions in the province.
I believe it's true.
It is.
So cities like Red Deer and
Lacombe offer more affordableprices compared to Calgary or
Edmonton.
Okay, so number two, the rental
vacancy rate in central Alberta iscurrently below 2%.
That's close.
close.
I'd say...
I'd say false, but it's got to be
(23:48):
close.
It's true.
true.
And so many central Alberta
communities are experiencing tightrental markets with vacancy rates
often under 2%.
So if you're thinking about buying
an investment property, like gowhere the people are, go where the
need is.
And I think it's definitely
something that's happening whereyou are.
Oh, a million percent.
Just from having my rental
property, I'm part of a landlordgroup on Facebook and I just keep
(24:11):
an eye on things.
And someone mentions that they put
up a listing, was reading aconversation and the lady put up a
listing.
She had 58 inquiries in the first
24 hours.
Oh, my gosh.
Wow.
That's my little litmus test.
And I was like, OK, well, it'squite easy.
So I should have said 100%.
I thought maybe like 2 .9 or
(24:32):
something.
And I was like, OK, well, it's
quite Here's another question.
So true or false, you can find
everything from lakeside cottagesto city condos in central
Alberta's real estate market.
That is true.
You can find it.
find it.
And I think specifically, I mean,they're talking about Sylvan Lake.
Sylvan Lake is one of the mostbeautiful lakes that I've ever
(24:53):
been to.
And the properties...
They're there.
They're not as affordable as,
let's say, in Red Deer, but theystill are comparable.
And Sylvan Lake is beautiful.
Sylvan is, so again, I'll touch on
my time in the car industry.
I spent a decade working at a
dealership in Sylvan Lake.
And I found it initially, first
few years, to be very much asummertime.
In the last 10 years, it's reallytaken off and become quite
(25:16):
desirable.
Yeah, a lot of Edmonton, Calgary
traffic on the weekend.
People love to go there.
It's a quick little getaway thatyou still have cell service.
You still have all the amenitiesyou come to expect, but still kind
of a small town, nice feel.
I feel like they've done a great
(25:37):
job with Lakeshore, despite somepeople might feel like it's like,
hey.
You've got to build for people to
come.
And people do come.
It is busy and it is beautiful andit's spring fed.
So you're never going to get thatblue algae, which is also
something that in Albertasometimes can happen.
So it's our favorite place.
(25:57):
We actually were out there all the
time in the summer.
Oh yeah.
yeah.
Shout out to the big move.
Yes.
Okay, so last question.
So Lacombe was once named one ofCanada's prettiest towns.
and boasts a thriving heritagedistrict.
That's true.
Yes, it is.
Yeah, it's a local treasure and itis, it's beautiful.
They definitely have some olderbuildings.
I've been down there a couple oftimes and it's very cute, I guess
(26:20):
you could say, but it's likeheartwarming.
Like they definitely have history,which is nice.
Oh yeah, Lacombe definitely hasdone a great job handling growth
and maintaining that small townfeel.
Their main street is justbeautiful.
If you turn off Highway 2 andEddie.
through Lacombe and you just drovethrough if you were a random
stranger I've never had a clientthat I've driven through there
(26:40):
that doesn't you know mention ornotice yeah there's some Victorian
style houses the trees overhangthe streets it just gives you that
Alan Parrish young Jumanji vibe Ilove it you that Yeah, no, it is.
It's a beautiful place.
Okay, so let me ask you, what is
your advice for listeners lookingto get into the market in the
investment side of things, in theinvestment market in Central
(27:01):
Alberta?On the investment side of things,
yeah.
I mean, your standard steps one
through three.
In the background, work on your
mortgage approval.
Make sure you...
Yes, sure you...
Yes, get pre -approved.
Sorry, guys, I'll beat the drumall the time.
that and i just dealt with it witha really good client i like and he
was just sorting it out and myfear always when people don't have
(27:21):
a pre -approval in place themurphy's law you find the perfect
place you're not ready you canpoint your gun but you can't shoot
yeah and somebody else comes andscoops it along and then it feels
like a loss yeah so my step oneget pre -approved step two is
start paying attention to the rentrolls and the prices so my so my
step one get pre -approved steptwo is start paying attention to
(27:45):
the rent rolls and the prices inthroughout the area and just start
to study the city.
And then step three is really
boots on the ground.
You need to have that pre
-approved place.
pre Know what cap rate you're
comfortable dealing with.
Keeping in mind, the higher the
(28:06):
cap rate, the higher the risk,typically.
And that's just going to go fromall things to area and, you know,
the types of tenants you'll belooking to occupy your premises.
So is there a time of year that isbest?
For this, like, do you guys see itslow down a little bit over there
or is it kind of constant?So in the last, just as we
(28:27):
mentioned during question timethere, there's less than 2 %
vacancy here.
So right now, this was the
steadiest winter I had in realestate.
And whether or not that's from,you know, three plus years at that
time of banging the drum, justgetting busier throughout winter,
I would argue it's a mixture ofboth.
And there's a steady influx ofpeople and demand for properties.
We're not seeing that typicalseasonal ebb and flow.
(28:50):
So and flow.
Yeah.
You know, your mom and pop sellersthat have lived at their property
for 12, 15, 25 years, they'regoing to wait out spring when
their property shows the back.
But in terms of investment and
potential, these things remaintrue.
But sometimes somebody's sellingin December.
might be more motivated to sell,but there's multiple buyers out
(29:12):
there ready to scoop that up.
If you could leave our listeners
with one golden nugget, eitherabout home, life, or real estate,
what would it be?Oh, home, life, or real estate.
I know, know, very broad spectrumthere.
For myself, like I said, as anindependent agent, I just really
love beating that drum.
It's really opened up like this
responsibility in life that is howmuch you are driving the bus, so
(29:32):
to speak.
And so my advice to anybody is if
you're working with someone, likemake sure you're confident in it.
Make sure they're confident inyou.
I would say go for it.
I would say have the gusto to put
yourself out there.
Put yourself in a position.
There's risk involved ineverything.
So whether it's purchasing aproperty or it's finding a new
career path in life, which I wasable to.
Just do it.
Yeah.
I think that's Nike slogan, butjust do it.
For myself, it is because in someway, like there's opportunities
(29:53):
and insights on the way that youdon't get to see unless you start
taking that path.
So even if it's about purchasing a
property, like you just, you gotto reach out to someone, you got
to talk to them because we tend tohave too much of a narrow focus
and we want confirmation bias inour brains.
So we want to tell us our thoughtsare already right.
(30:14):
And man, conversations with otherpeople or going a different
direction can really open upopportunities.
Yeah.
Yeah.
Opportunities or sides of life.
perceptions that you may have been
unaware of that are veryrefreshing as the Monday to Friday
grind gets at you.
are very the Monday to Friday
grind gets at you.
It's a nice pressure.
So if you're thinking aboutsomething, do something.
(30:34):
you're thinking about something,do something.
Yes, I like it.
Thank you, James, for coming to
Alberta Bound.
How can clients find you if they
are looking to purchase aninvestment property or just get
their foot in the door in centralAlberta?
You can reach me anytime, canreach me anytime, obviously on my
cell phone.
kind of lives on my hip, 403 -877
(30:56):
-1868.
And via just my email address,
jtorrensrealestate at gmail .com.
And then of course on socials,
Facebook, James Torrens RealEstate and Instagram, Jim the
Realtor.
People started calling me Jim and
I like it.
Yeah, I like it too.
It sounds great.
Okay.
And I am Sarah Hainsworth withEmerald Mortgages and you can find
(31:16):
me at emeraldmortgages .ca.
Welcome to the Alberta Boundpodcast.
(00:01):
I'm your host, Sarah Hainsworth,mortgage broker and your guide to
building wealth through realestate in Alberta.
Today, we have the pleasure ofspeaking to James Torrens, a
successful realtor who's killingit in central Alberta.
In this episode, we talk aboutcurrent market trends in central
Alberta and what sets centralAlberta apart from other provinces
(00:22):
when it comes to purchasinginvestment properties.
Okay, welcome to the Alberta Boundpodcast.
I'm your host, Sarah Hainsworth,mortgage broker and your guide for
building wealth through realestate in Alberta.
Today, we have the pleasure ofspeaking with James Torrens, a
successful realtor who is killingit in central Alberta.
(00:44):
I can speak to this because I'veworked with him many times.
Hey, James, how's it going?I'm great, Sarah.
Thanks for having me on and thanksfor the introduction.
Yeah, absolutely.
OK, let's do an icebreaker.
James, why don't you tell me onething, big or small, that made you
smile this week?Oh, you know what?
It seems small, but they can bebig.
(01:05):
I've had three times this weekI've gotten either referral text
messages or, hey, this guy's goingto be calling you before 10 a .m.
It's just super uplifting.
It's the beginning of it's very
small node.
Maybe some of these deals will be
eight months into the future, butit's really good.
Yeah.
Last night I had a client send me
(01:25):
an email and she just said howwonderful it was to work with me
and my team.
And it's like, you know, you spend
your time in the weeds with theseclients doing these things.
And when they send something likethat, it actually like it makes a
difference.
So let's dive into the central
Alberta real estate market.
You know better than I do what's
going on on the ground.
I'm kind of in the back end in the
(01:47):
finance thing, so I see what'shappening.
But what do you see right now inyour area?
Really?Oh, that's a good question.
Just because we tend to get a lotof, I feel like static from
outside of just our focal point.
So this would be speaking to
people within Red Deer CentralAlberta primarily, but the market
is still super active.
We're still seeing a fairly steady
influx of inter -provincialmigration.
Keeping in mind, those are likewell thought out plans.
(02:09):
So people have gone throughselling their home in Ontario.
They're going to follow throughand move to Alberta type of thing.
So still noticing like a fair bitof pressure, mainly in single
detached, like familial type homesbetween that four and six hundred
thousand dollar range.
If they're priced right and they
show well, they're still goinginto multiple offers occasionally
(02:31):
or they're getting a strong offerwithin the first few days.
So what I'm saying is you stillneed to be on your toes and ready
to go.
So like here in Edmonton, that's
where I live.
We have seen so much population
growth.
I know that red deer, similar
situation.
Is that right?
Are you seeing like the populationjust in general is growing?
Yeah, you can tell just drivingaround the city that there's more
(02:53):
people.
Yeah, actually.
I can just even tell by the amountof people at bus stops.
And I've been in red deer for 20plus years now.
So definitely when it was.
you know much smaller city still a
great community and all that stuffbut growth is part of the game and
(03:14):
you can definitely tell in thelast three to five years we've had
flux it's busy everywhere that i'mgoing is like busier and busier
one thing that i have noticed isthat there's a lot of people
coming from other provinces andyou know they're not buying right
away so they're coming here andthey're looking for rental
properties they want to rent theywant to figure out hey okay so it
(03:36):
is affordable here we're moreaffordable than where i'm coming
from but i don't have a job herelike i might have some money in
the bank but i need to figure outbusy everywhere that i'm going is
like busier and busier one thingthat i have noticed is that
there's a lot of people comingfrom other provinces and you know
they're not buying right away sothey're coming here and they're
looking for rental properties theywant to rent they want to figure
(03:58):
out hey okay so it is affordablehere we're more affordable than
where i'm coming from but i don'thave a job here like i might have
some money in the bank but i needto figure out my footing before I
purchase a home.
Do you know anything about what's
going on in the rental side ofthings?
The rental market again with likea scarcity of properties and I
would imagine just kind of tailingright off of what you had
discussed is people are comingwith a plan in place.
They plan to rent so I have acouple clients right now that move
from out of province.
Their lease is up in September.
They wanted to be here for as youmentioned about a year get their
footing.
get your kids in school, figure
out what the best areas within thecity are, as opposed to being told
what they are maybe, or just kindof ending somewhere.
And maybe it's a nice sunny dayand it feels like paradise.
(04:21):
And it was a bit of an oversight.
So still fairly strong.
And again, just tailbacking offwhat you mentioned, and you have
those people that are, it's a wellthought out plan for them.
Now it's, they will be purchasinga home.
by the fall time here, but they'vereally given themselves the
opportunity to ground themselves.
Yeah, I think it makes such a
difference, like actually.
Being in the town that you're
(04:44):
going to purchase in or the citythat you're going to buy in,
because you're right, like in thedaytime, it might look great and
everything is wonderful.
And then, I don't know, eight o
'clock rolls around and maybethings start changing and the
atmosphere is different.
And yeah, I think it's important
to be able to experience the placewhere you're going to purchase if
(05:05):
that's what you decide to do.
Now, on the other side of things,
there's the investment side.
We've kind of created this perfect
storm where if you're looking topurchase an investment property,
you're not going to.
have trouble filling it with
renters right correct yeah thereseems to be a fairly steady demand
for rental properties of all typesyou put pressure on single
detached housing then people willlook to duplex and condo type
properties and so again we'venoticed a steady pressure on
(05:27):
rental properties and forinvestors it's because typically
in red deer central alberta areayeah there seems to be a fairly
steady demand for rentalproperties of all types you put
pressure on single detachedhousing then people will look to
duplex and condo type propertiesand so again we've noticed a
steady pressure on rentalproperties and for investors it's
because typically in red deercentral alberta area Definitely.
(05:47):
I'd say our prices are suppressedfrom Edmonton, Calgary.
I sent you the MLSs.
Yes, yes.
With a similar property, you'reable to deduce like, oh, in
Edmonton, this would be, you know,550 and in Red Deer, it's 475.
So again, in the last couple ofyears, like keep getting reps and
the more experience I have, I'vehad now a couple investor clients
reach out from Edmonton, Calgaryareas because the cap rates are
higher.
They know that the risk is still
quite low because we're not havingissues with people finding work,
etc. So they're attractiveinvestments that way when they
know that it's less risk in termsof capital output and it's less
(06:10):
risk in terms of finding goodtenants, etc. With a little more
runway for that property toappreciate, which any investor
appreciates, I'm sure.
Yeah, well, and too, I mean, like
you're comparing just in Albertafrom Edmonton to Red Deer or
Calgary to Edmonton, like acomparable property in BC or
Ontario, like the price is justlike it's a lot more, right?
(06:30):
Yeah, I would agree.
It's very prohibitive.
And what you see when you dealwith clientele coming from BC and
Ontario, we have a way of...
trying to dumb it down i think for
our brains to make sense of it andwe go oh those people are you know
who are these people well i dealwith them on a one -on -one basis
(06:52):
and their families like you haveor i have and they have children
and maybe they're bothprofessionals they've done all the
right things they've saved thedown payment and you just start to
look at what are we going to getin ontario what are we going to
get you know cam loops and whatcould we get in A place like Olds
or Innisfail, like it just reallyopens the horizon for them.
(07:13):
I think too.
And I mean, obviously I have my
own political stance, but I thinkwith the election that happened,
there were a lot of people puttingtheir feelers out and saying, hey,
you know what?This politically doesn't fit with
my family.
And I'm thinking Alberta might be
a better option.
Is that something that you've
seen?Yeah, I mean, to a point, I try
not to, you know, definitely whenyou're with clients, I don't try
(07:34):
to bring the conversation toanything political.
And if it does, I really try tolean centrist.
Yes.
I grew up with brothers and I, no
matter what, I like to ride thepine a little bit.
I would argue I feel people justwant maybe even to get away from
that.
Alberta does on a day to day
basis.
I don't.
(07:55):
typically think about the politicsof life and whatnot.
You can almost feel like peoplewant to release from that.
I'm not sure if it's just themfeeling free in Alberta because
there's so much space.
What we talk about through
population growth, just visitingthe greater Toronto area is
overwhelming almost.
I would imagine a little bit I
feel these people wanting to takea breath.
What is Alberta?I view it as definitely a free...
(08:16):
do your own thing kind of placeand you wouldn't say it's redneck
like that's just like out of ourvocabulary right depends where
you're going so there's somepeople and you know some towns and
i visit a lot of little smallcities and towns within central
albert and those people mightconsider them redneck in the
greatest way yes they're reallylike heartfelt hard working too
wouldn't say it's redneck likethat's just like out of our
(08:37):
vocabulary right where you'regoing so there's some people and
you know some towns and i visit alot of little small cities and
towns within central albert andthose people might consider them
redneck in the greatest way yesthey're really like heartfelt hard
working too Working people, right?It takes a bunch to keep those
places going.
So it seems like they'll come
together and make sure that, youknow, It takes know, just...
(09:00):
Areas of the town are upkept.
You can just tell.
Drive around some towns in centralAlberta, all of Alberta for that
matter.
People take pride in the province.
Yeah, okay.
So I guess we can go back to the
investment side of things inAlberta.
One thing that differs here thanin other provinces is our rent
control.
So if somebody is looking to
purchase an investment propertyhere, we don't have to abide by
the government limits that areset.
in other provinces.
So we can kind of follow what the
market is doing, which is superbeneficial in my mind.
Do you agree?Oh, I would agree 100%.
Having number one, experienced it.
(09:22):
I have one door, just one rental
property myself that I take careof.
And I've lived through the ebb andflows.
COVID times, I had tenants leave.
I held the property vacant for a
little bit.
And then when I found tenants to
put in place, Alberta hadn'treally ran yet at that time.
We just had a fair rentalagreement.
I was on a variable mortgage rate,or still am.
(09:42):
We'll get into that later.
As far as that goes, the reason I
feel that that's beneficial is Ilook at a place like Ontario that
does have rent controls and whathappens.
The rent still steadily climbedbecause whatever the rent control
is.
That's what's tapped on every time
it can be.
And it just creates more and more
(10:04):
pressure.
Again, myself as a landlord, I
liked having the ability to, youknow, keep in mind there's more
pressure in the market.
So yes, I can ask more for my
rental.
I feel that it's still always a
fair price.
but it's got to make sense for
investors as well.
I just feel like it gives you some
(10:24):
flexibility, whether you have agood tenant and you want to work
with them.
Or you have a bad tenant and you
want to raise the rent.
That's right.
And you want to make itprohibitive for them to want to
stay.
And not every landlord out there
is BlackRock that owns 2 ,700doors.
I have one door, a problem tenantin place.
have one Yeah, you bet.
I want to be able to have the
freedom to do what is necessary tomake my property less attractive
(10:48):
to that particular tenant.
And I would argue everybody wants
that little bit of freedom whenit's yours.
That's just my little tiny pieceof the monopoly board.
And I pay for it.
I should have some say in how it's
taken care of.
And I believe rent controls really
prohibit that.
And what you start to see is they
turn into a kind of bureaucraticalnightmare.
And if you look at Toronto andOntario area, just my you look at
(11:10):
Toronto and Ontario area, it'sjust as soon as they input them,
rents stay where they are.
Nothing gets cheaper.
No. It steadily rises.
So I see that's beneficial for
investors.
Everybody wants to control their
destiny.
Oh, yeah.
So, okay, so we have friendlierpolicies, we don't have rent
control, and we also don't haveprovincial sales tax.
So... I don't know.
I feel like whenever I talk about
(11:32):
Alberta in that capacity, like itmakes sense.
And there has been the argumentthat our property values are just
not there.
And I mean, granted, getting into
the market is a lot easier, butour property values are steadily
climbing right now.
Again, is that something that
you're seeing on your side ofthings?
You bet.
Yeah.
(11:52):
Within the last, I think I made apost would have been last week or
so.
So I did a little bit of research.
From 2023 to 2024, there was anaverage 19 % rise in property
values that had sold within RedDeer.
Sometimes I feel like we asAlbertans, we get a little just
myopic focus and we're onlylooking straight ahead.
And we're not understanding thatthere's a populace outside of
(12:14):
Alberta that can continue.
in flowing i feel like it makes
the average consumer not aware ofhow much runway our properties
have which is a good or bad thinglike i have children that will
need to buy into this market oneday as well so i respect and
understand where buyers are comingfrom and we need to build enough
(12:35):
prime we do we do need to buildenough properties to keep up with
the demand yeah and also representsellers that have purchased their
properties and have done well andwhether that's through maintaining
them or renovating them or justsimple compounding appreciation.
My job is to help them.
Yeah.
Okay.
So I have a couple of questions I
just want to ask you.
So can you share a memorable
moment or turning point in yourreal estate journey that taught
(12:58):
you something valuable?either about the market or about
yourself?Oh, that's a good question.
So turning point for me was, yeah,really understanding that it's a
dog eat dog world out there.
You eventually have to just take
it by the collar and see where,where you can.
move the needle.
I had the realization I spent a
(13:19):
decade in the car industry,starting with a brokerage, and I
didn't interview a bunch ofbrokerages.
I think in the beginning, I justknew I needed to gain enough
experience and see where the roadtook me.
So I was happy to jump on boardwith the first brokerage I talked
to.
But about a year through that, I
realized that it was just time togo on my own.
So my one thing would be, yeah,jumping out on my own, becoming a
(13:44):
fully independent agent.
Jumping onto a real broker, which
allowed me just as a designatedbrokerage to fire up my own name
under their wing and just chase itand really see that it is just the
effort you put forth every day.
That's not a quick payout.
No, it's not.
But I think that you do a good job
(14:06):
with clients and they obviouslylike you're leaving a lasting
impression because they're comingback and they're referring you to
their friends.
And even on my side of the
transaction, like it's a pleasureto work with you.
So like you're doing somethingright.
And I think you're doing great.
I do.
I really appreciate that.
And, you know, you see the little
(14:27):
stats.
I'm not sure exactly what they
are, but they talk about like a 90percent turnover rate, you know,
the average age in the first threeto five years.
So I'm at year four.
I got things on the go at all
given times.
I'm 90 percent sure I'll survive.
You just got to swallow the pillsometimes and just.
keep on keeping on.
Well, Well, I think it's just
(14:47):
showing up every day, right?Like, it's not easy.
We don't have like jobs that areeasy.
But when we have clients that aregood, and they're thankful, and
we're really making a differenceout there, I think it helps,
right?Okay, so I have another question
for you.
So looking back, is there a piece
of advice you wish you'd receivewhen you started in real estate?
(15:09):
Yeah, I really wish I had myselfeither been provided the advice or
had the foresight to interviewwith different brokerages and see
what see what offer just becausewhere I started it was a very one
-size -fits -all approach so theydo a lead generation they want
it's cold calling people it's veryyeah to me I found it to be
unpersonable even though Igenerate leads myself and I cold
call them I would argue it's awarm call because at that time
(15:31):
they've signed up on my websiteI'm just putting a voice to the
that time just putting a voice tothe pictures or you know listing
emails that they're going toreceive I literally almost walked
away because I felt like oh ifthis is what real estate is like
yeah thank you I'm out yeah butthen that experience going through
it and just saying okay you triedthis you want to go to one of
(15:51):
these guys it just taught me totrust my own process and I really
like informing my buyers and mysellers about the pros and cons of
whatever situation they're in Andletting them feel the power, I
call it.
But you do, because I feel like
they're all responsible people.
You've got to where they are based
on the decisions they've made.
If you're just kind of smoke and
mirrors, people, they're going tocatch on to it seven, eight times
(16:13):
down the road.
And I don't want to be any part of
that.
don't don't want to be any part of
that.
Yeah.
So, okay.
So that kind of leads into this
next question.
So what's a common misconception
that you see among buyers orinvestors?
in central Alberta?I don't know if it would be like a
misconception, but it's almostlike a sentiment that people have.
(16:34):
The local population, becausewe're used to, in Alberta, boom
and bust cycles, there's a littlebit of us wanting to attach to
like, well, it's been running fora little bit, so there should be a
bust.
Prices are going to come down.
My concern for those clients wouldbe the missed opportunities
because they have local knowledge.
of how nice an area like
Sunnybrook or Waska Sioux in RedDeer is, whereas people from
(16:55):
outside of Red Deer, centralAlberta area, don't have that
knowledge.
I still feel like, again, that's
the myopic focus that's narrow,and they think, well, we'll have a
bust, and then I'll buy.
Yes.
And I really feel like we're goingto feel a sustained pressure from
interprovincial and realmigration.
they interprovincial and realmigration.
for quite a few years here, evenstemmed immigration.
(17:15):
That's not to get political,but...
No, we don't get political here.
Yeah, I'm sorry I have the
opinion.
You know, it's true.
It's just something toacknowledge.
So it's a misconception.
I feel like they feel like, oh,
well, when it busts and pricescome down, then I'll secure this.
And I feel like they don't havethe understanding of how much
runway... our properties havebecause from 2012 to 2020 i had my
rental that whole time sarah and iwas asking the same dollar amount
(17:38):
for eight years that place barelyserviced itself yeah now things
are different but place Thatshould give insight to how
property values have increased.
should give Well, I think we're so
used to the oil and gas, right?It is boom and bust.
It's busy, busy, busy.
And then it's not.
And I think people think thatthat's how it is in real estate,
(18:00):
especially right now.
It's not like that.
Like things are pretty busy allthe time right now.
I'm finding on my side anyways.
No, you bet.
You're 100 % right.
And I would argue if you go back,
and this is like not to open upthis can of worms, but if you go
(18:20):
back to 2008, the housing crisisin the States, what we're seeing
now is from that, even though it's2025, builders are not going to
build and hold.
The maximum amount of properties
like they used to.
The servicing costs are much
higher than they used to be.
The cost of materials and product
is higher than it used to be.
(18:42):
What builders have learned, and
it's a protection thing, it's nota we want the monopoly type thing.
It's just that should we have abust cycle, a builder only wants X
amount of houses.
that they just need to sell off
and one, two, three, four, five.
Now they're not losing any money.
Yeah.
If you have 20 and you're
(19:05):
servicing those loans, let's berealistic.
So they won't put themselves inand that's creating more of a
scarcity issue in the singledetached area.
What I find is when I see a lotgetting dug out, the home is
built.
There's not a ton of show homes.
It's got to play in there.
And that's from that, I believe.
Well, and I think too with.
developers and having to jump
(19:26):
through all the hoops in thehousing market as far as the
government goes I know we are notgetting political here but I think
that they put the pause on thattoo right like they're not able to
move as quickly in building I meanthe demand is here right now but
they're not able to get the housesbuilt they've got to jump through
all the hoops to get thepermitting and all that done I
would argue that I mean wouldargue that I mean Obviously, a
(19:51):
single detached home is easier toget started and done, but it's at
the point where and even theprograms and things available for
builders and developers are morein a multifamily or type building.
There's not a ton of incentive forthem to be building and allocating
all their services to singledetached properties.
type building and allocating alltheir services to single detached
(20:12):
properties.
And that's business for them.
You know, that part,unfortunately, and that does start
to affect the average.
because all the properties
available are duplexes, condos,and the demand people are really
pushing for single detached homes.
Now when you sell your home in
Ontario for $800 ,000 and onlycarrying a $250 ,000 mortgage, you
do the math.
Well, let's talk about that for a
(20:33):
second.
There is opportunity for somebody
who is selling a property in BC orOntario to sell that property,
take the equity.
purchase an owner occupied, and
then maybe on top of it, they'reable to get an investment property
at the same time.
Like there is such a big
difference.
You could sell one and buy two.
Very common.
Yeah.
And those are the parts, you know,go back to that common
misconception we talked about.
(20:54):
The average person in Alberta
likely hasn't seen that type ofappreciation.
So it's almost unfathomable to us.
like a fantasy land.
Yeah.
Trust me.
I'm jealous.
I need these people.
So he's, you bought it for, soldit for, again, on one part, I need
these on one part, Hey, it'sgreat.
It's my job to represent thatclient, you know, let them know
how their gun is loaded so we cango out and point and shoot.
But I'd be remiss if I didn'tthink about it.
(21:14):
Like, Oh man.
Oh man.
But ours are going up.
Like, I know that they are going
up more than ever right now.
And so I think getting into the
market is the first step, at leasthere in Alberta.
And then, I mean, we don't havethe opportunity to sell one and
buy two.
However, some people in Canada do,
and I would love to help them ifthey need help with that.
(21:36):
Oh, yeah.
The key in investment is to let it
compound, right?So just through the passage of
time.
Again, we talk about this
population influx, and it mightnot always be at record highs, but
it surely but steadily does go up.
And just as property values, you
know, I can't tell you when it'sgoing to be a boom or a bust
(22:01):
cycle, but property values, Ithink, since the 1970s have gone
up 1 ,800%.
That's throughout North America.
Well, they have those memes outthere where it's like the older
generation, the boomers, andthey're dancing around because,
you know, they've just sold theirhome they paid 30 bucks for and
they're selling it for 3 million,right?
And a bucket of raspberries theybought.
So yes, like there's still so muchuntapped opportunity within
(22:24):
Alberta.
Knowing what I know now, you know,
four years ago, you're talking toa guy who spent a decade in the
car industry, five plus years inthe finance office.
So I had a pretty goodunderstanding of credit, et
cetera.
And, you know, loan to valid debt
servicing of the average.
(22:45):
You pull enough credit.
I remember thinking, because I'mthe kind of person that would just
sit.
I just buy my house.
I just sit.
And not understanding how much
opportunity really... is outthere.
And now that it's my job,profession, to find opportunities
for people, depending on theirposition in life, what they
consider an opportunity, andthat's just opened my eyes that
Alberta is really an untappedresource with a ton of runway.
If you even go to the oil and gassector, even though that is a boom
(23:06):
and bust cycle, it can have them.
Alberta has all the infrastructure
built.
We're humming right along, even if
it slows down.
we're the quickest to come back
and tail as old as time.
a Yeah.
Okay.
So I have some rapid fire
questions that I've got togetherfor you.
I'm going to ask them andhopefully, hopefully you can
answer them.
Okay.
So this is a true or falsequestion.
(23:28):
So central Alberta has some of thelowest average home prices among
major regions in the province.
I believe it's true.
It is.
So cities like Red Deer and
Lacombe offer more affordableprices compared to Calgary or
Edmonton.
Okay, so number two, the rental
vacancy rate in central Alberta iscurrently below 2%.
That's close.
close.
I'd say...
I'd say false, but it's got to be
(23:48):
close.
It's true.
true.
And so many central Alberta
communities are experiencing tightrental markets with vacancy rates
often under 2%.
So if you're thinking about buying
an investment property, like gowhere the people are, go where the
need is.
And I think it's definitely
something that's happening whereyou are.
Oh, a million percent.
Just from having my rental
property, I'm part of a landlordgroup on Facebook and I just keep
(24:11):
an eye on things.
And someone mentions that they put
up a listing, was reading aconversation and the lady put up a
listing.
She had 58 inquiries in the first
24 hours.
Oh, my gosh.
Wow.
That's my little litmus test.
And I was like, OK, well, it'squite easy.
So I should have said 100%.
I thought maybe like 2 .9 or
(24:32):
something.
And I was like, OK, well, it's
quite Here's another question.
So true or false, you can find
everything from lakeside cottagesto city condos in central
Alberta's real estate market.
That is true.
You can find it.
find it.
And I think specifically, I mean,they're talking about Sylvan Lake.
Sylvan Lake is one of the mostbeautiful lakes that I've ever
(24:53):
been to.
And the properties...
They're there.
They're not as affordable as,
let's say, in Red Deer, but theystill are comparable.
And Sylvan Lake is beautiful.
Sylvan is, so again, I'll touch on
my time in the car industry.
I spent a decade working at a
dealership in Sylvan Lake.
And I found it initially, first
few years, to be very much asummertime.
In the last 10 years, it's reallytaken off and become quite
(25:16):
desirable.
Yeah, a lot of Edmonton, Calgary
traffic on the weekend.
People love to go there.
It's a quick little getaway thatyou still have cell service.
You still have all the amenitiesyou come to expect, but still kind
of a small town, nice feel.
I feel like they've done a great
(25:37):
job with Lakeshore, despite somepeople might feel like it's like,
hey.
You've got to build for people to
come.
And people do come.
It is busy and it is beautiful andit's spring fed.
So you're never going to get thatblue algae, which is also
something that in Albertasometimes can happen.
So it's our favorite place.
(25:57):
We actually were out there all the
time in the summer.
Oh yeah.
yeah.
Shout out to the big move.
Yes.
Okay, so last question.
So Lacombe was once named one ofCanada's prettiest towns.
and boasts a thriving heritagedistrict.
That's true.
Yes, it is.
Yeah, it's a local treasure and itis, it's beautiful.
They definitely have some olderbuildings.
I've been down there a couple oftimes and it's very cute, I guess
(26:20):
you could say, but it's likeheartwarming.
Like they definitely have history,which is nice.
Oh yeah, Lacombe definitely hasdone a great job handling growth
and maintaining that small townfeel.
Their main street is justbeautiful.
If you turn off Highway 2 andEddie.
through Lacombe and you just drovethrough if you were a random
stranger I've never had a clientthat I've driven through there
(26:40):
that doesn't you know mention ornotice yeah there's some Victorian
style houses the trees overhangthe streets it just gives you that
Alan Parrish young Jumanji vibe Ilove it you that Yeah, no, it is.
It's a beautiful place.
Okay, so let me ask you, what is
your advice for listeners lookingto get into the market in the
investment side of things, in theinvestment market in Central
(27:01):
Alberta?On the investment side of things,
yeah.
I mean, your standard steps one
through three.
In the background, work on your
mortgage approval.
Make sure you...
Yes, sure you...
Yes, get pre -approved.
Sorry, guys, I'll beat the drumall the time.
that and i just dealt with it witha really good client i like and he
was just sorting it out and myfear always when people don't have
(27:21):
a pre -approval in place themurphy's law you find the perfect
place you're not ready you canpoint your gun but you can't shoot
yeah and somebody else comes andscoops it along and then it feels
like a loss yeah so my step oneget pre -approved step two is
start paying attention to the rentrolls and the prices so my so my
step one get pre -approved steptwo is start paying attention to
(27:45):
the rent rolls and the prices inthroughout the area and just start
to study the city.
And then step three is really
boots on the ground.
You need to have that pre
-approved place.
pre Know what cap rate you're
comfortable dealing with.
Keeping in mind, the higher the
(28:06):
cap rate, the higher the risk,typically.
And that's just going to go fromall things to area and, you know,
the types of tenants you'll belooking to occupy your premises.
So is there a time of year that isbest?
For this, like, do you guys see itslow down a little bit over there
or is it kind of constant?So in the last, just as we
(28:27):
mentioned during question timethere, there's less than 2 %
vacancy here.
So right now, this was the
steadiest winter I had in realestate.
And whether or not that's from,you know, three plus years at that
time of banging the drum, justgetting busier throughout winter,
I would argue it's a mixture ofboth.
And there's a steady influx ofpeople and demand for properties.
We're not seeing that typicalseasonal ebb and flow.
(28:50):
So and flow.
Yeah.
You know, your mom and pop sellersthat have lived at their property
for 12, 15, 25 years, they'regoing to wait out spring when
their property shows the back.
But in terms of investment and
potential, these things remaintrue.
But sometimes somebody's sellingin December.
might be more motivated to sell,but there's multiple buyers out
(29:12):
there ready to scoop that up.
If you could leave our listeners
with one golden nugget, eitherabout home, life, or real estate,
what would it be?Oh, home, life, or real estate.
I know, know, very broad spectrumthere.
For myself, like I said, as anindependent agent, I just really
love beating that drum.
It's really opened up like this
responsibility in life that is howmuch you are driving the bus, so
(29:32):
to speak.
And so my advice to anybody is if
you're working with someone, likemake sure you're confident in it.
Make sure they're confident inyou.
I would say go for it.
I would say have the gusto to put
yourself out there.
Put yourself in a position.
There's risk involved ineverything.
So whether it's purchasing aproperty or it's finding a new
career path in life, which I wasable to.
Just do it.
Yeah.
I think that's Nike slogan, butjust do it.
For myself, it is because in someway, like there's opportunities
(29:53):
and insights on the way that youdon't get to see unless you start
taking that path.
So even if it's about purchasing a
property, like you just, you gotto reach out to someone, you got
to talk to them because we tend tohave too much of a narrow focus
and we want confirmation bias inour brains.
So we want to tell us our thoughtsare already right.
(30:14):
And man, conversations with otherpeople or going a different
direction can really open upopportunities.
Yeah.
Yeah.
Opportunities or sides of life.
perceptions that you may have been
unaware of that are veryrefreshing as the Monday to Friday
grind gets at you.
are very the Monday to Friday
grind gets at you.
It's a nice pressure.
So if you're thinking aboutsomething, do something.
(30:34):
you're thinking about something,do something.
Yes, I like it.
Thank you, James, for coming to
Alberta Bound.
How can clients find you if they
are looking to purchase aninvestment property or just get
their foot in the door in centralAlberta?
You can reach me anytime, canreach me anytime, obviously on my
cell phone.
kind of lives on my hip, 403 -877
(30:56):
-1868.
And via just my email address,
jtorrensrealestate at gmail .com.
And then of course on socials,
Facebook, James Torrens RealEstate and Instagram, Jim the
Realtor.
People started calling me Jim and
I like it.
Yeah, I like it too.
It sounds great.
Okay.
And I am Sarah Hainsworth withEmerald Mortgages and you can find
(31:16):
me at emeraldmortgages .ca.
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