Airdrie homeowners can expect a bump in their property valuations this year.
The City of Airdrie mailed out assessment notices for 2022 on Jan. 20. According to assessment coordinator Mike Boyd, this year’s assessments indicate a 9.32 per cent increase for single-family residential property values compared to 2021, as well as a 7.9 per cent increase for duplexes, and a 0.93 per cent increase for apartments.
Boyd said the assessed value of a property is an estimate of its market value, based on market conditions as of July 1 the previous year and the physical conditions of the property as of Dec. 31.
“The goal is to accurately reflect a reasonable estimate of the market value on your home, and we do that for every property, which is then used to calculate what the tax would be,” he said.
Increased property valuations in Airdrie can largely be attributed to the city’s heightened demand for real estate, according to Boyd. He said Airdrie’s residential housing market has seen sales prices increase in the last year, while days-on-the-market for homes have gone down.
The higher demand is reflected in average housing prices. According to the Calgary Real Estate Board (CREB), strong sales in Airdrie have caused inventory levels to drop to the lowest total since 2005.
In addition, Airdrie's average 2021 resale price was $407,009, according to CIR Realtor Gary Lock – an increase of 7.7 per cent compared to the year prior. CREB stats show single-family detached homes are up 54 per cent in Airdrie compared to this time last year.
“That indicates there’s an increased demand for houses in Airdrie,” Boyd said. “Homes are selling for more, so property values are going up, which means assessed values are also going up.”
There are multiple reasons for why Airdrie’s market has been so hot this year, but Boyd said a main driver is the COVID-19 pandemic. The societal shift brought on by the pandemic has caused many people to seek out larger square-footage homes, taking advantage of lower interest rates.
“People are spending more time at home, especially those who are working from home,” he said. “We saw a bit of movement toward the larger dwelling types, as well as detached types. People in apartments moved to townhouses or duplexes, and people from those markets were moving into single-family homes.
“I think that’s the main trend we’ve seen – the desirability of larger square-footage homes, and having more independent living.”
According to Boyd, the full picture of Airdrie’s assessment values will not be known for a few more months, after the tax rate is set and the provincial government has announced its annual budget.
“Thirty-five per cent of your tax bill goes to the province, so there’s a combination of impacts there,” he said. “Each resident will see slightly different changes to their tax bill, depending on how their assessment changed as well.”
While residential property values are increasing, the same cannot be said for the non-residential market, according to the City, which has remained stable.
As the assessment notices were mailed out on Jan. 20, Boyd said most homeowners in Airdrie should already have received theirs. If not, he said homeowners should receive them no later than Jan. 31.
“Obviously, if you live out of province or country, you might expect more of a delay,” Boyd said.
“But for anyone living in Airdrie who receives their notice in Airdrie, they should have it by the end of this week.”
Boyd noted those who have signed up for e-notices through MyAirdrie can also see their assessment notices online.
If people have not received their notice by the end of the month, Boyd encourages reaching out to the City’s assessment department at 403-948.8855. If people want more info about their assessment, he encourages them to go to the assessment web page on the City’s website, which shows comparable community data as well.
