Thinking of Buying a Home in Calgary or Airdrie? Here’s What You Can Actually Get for $500K

If you're house hunting in Alberta with a $500,000 budget, you might be wondering:

Do I stay in Calgary—or could I get more by moving to Airdrie?

As a REALTOR® who helps clients buy in both cities, I can tell you firsthand:

That $500K can look very different depending on where you spend it.

Let’s break it down.

🏙️ What $500K Gets You in Calgary

In Calgary, $500,000 is a solid budget—but you’re likely looking at a condo or townhome.

Here’s what you might get:

• 2–3 bedrooms, 1.5–2 bathrooms

• 900–1,200 sq. ft.

• Underground parking or small attached garage

• Likely in outer suburbs or older infill communities

• Limited yard space

While you’ll benefit from Calgary’s urban amenities, public transit, and proximity to work or school, you’ll likely sacrifice space, privacy, and outdoor access—especially in high-demand neighbourhoods.

🏡 What $500K Gets You in Airdrie

Drive just 30 minutes north, and your $500,000 can go a lot further.

In Airdrie, you could afford:

• A detached home

• 3–4 bedrooms, 2.5 bathrooms

• ~1,400–1,700+ sq. ft.

• Double attached garage

• Private yard space

• Quiet residential neighbourhoods, often with walking paths, playgrounds, and schools nearby

Airdrie has seen major growth in the past decade, but it still offers excellent value for buyers looking for more space, newer homes, and a family-friendly vibe—all within a short commute to Calgary.

📍 Calgary vs Airdrie: Key Differences

🏁 So, Which One’s Right for You?

That depends on your lifestyle:

• Calgary might be right for you if you prioritize proximity to work, public transit, inner-city culture, or walkability.

• Airdrie is ideal if you’re looking for more house, more space, and a family-friendly community—without blowing your budget.

🏡 Ready to Compare Real Listings?

As a Calgary-based REALTOR® who also serves Airdrie, I’d love to show you what’s currently available in both cities—tailored to your budget and wish list.

📩 DM me the word “COMPARE” or reach out here and I’ll send you a personalized list of homes under $500K in Calgary and Airdrie.

Figuring out how much house you can afford can be challenging, but it is one of the most important steps when planning to buy a home. Understanding your budget ensures you do not become "house poor"—a term used for individuals who buy a home beyond their financial reach and struggle to cover other living expenses. This guide will help you make informed decisions and balance buying a home with maintaining a healthy budget.

Understand Your Financial Picture

Before you start browsing listings, getting clear on your financial situation is crucial. Here’s how you can begin:

1. Calculate Your Income
   Add up all sources of income, including salary, bonuses, rental income, and any other earnings. This gives you an idea of what you have to work with every month.

2. Review Your Expenses
   Look at all your regular expenses, such as groceries, transportation, entertainment, and savings contributions. Understanding these will help you identify how much you can spare for a mortgage payment.

3. Check Your Credit Score
   Your credit score impacts the mortgage rate you can secure. A higher score can lead to a lower interest rate, saving you thousands over the loan's life.

The Importance of the Down Payment

A down payment is the lump sum you pay upfront when buying a home. It affects your loan amount and whether you'll need mortgage insurance. Here's what to know:

• Homes Up to $500,000:
  A 5% down payment is required. This means saving $25,000 for a $500,000 home.

• Homes $500,000 to $999,999:
  You need 5% of the first $500,000 and 10% of any amount over that. For instance, a $750,000 home requires $25,000 on the first $500,000 and $25,000 on the remaining $250,000, totaling a $50,000 down payment.

• Homes $1 Million or More:
  A 20% down payment is standard. This equals $200,000 for a $1,000,000 home.

First-time buyers might not have a large down payment. However, they should remember that putting down less than 20% requires mortgage loan insurance.

Budgeting Beyond the Purchase Price

Buying a home involves more than just paying the sale price. Budget for extra costs:

1. Closing Costs:
   These include lawyer fees, land transfer taxes, and other administrative charges, typically ranging from 1.5% to 4% of the purchase price.

2. Moving and Setup Expenses:
   Consider costs like hiring movers, utility setup fees, and initial purchases such as furniture or appliances.

3. Emergency Fund:
   Set aside funds for unexpected repairs or costs that may arise after moving in.

Choose the Right Mortgage

Securing the best possible mortgage is vital. Here's how:

1. Shop Around:
   Compare rates from different lenders to find the best deal. Even a small difference in interest rates can greatly affect the total amount you pay over time.

2. Consider Different Types:
   Look into fixed-rate and variable-rate options. Understand how each works and their pros and cons based on your financial outlook.

3. Get Pre-Approved:
   A pre-approval gives you a better idea of what a lender might offer and shows sellers you're serious, making your bid more attractive.

Assess What You Can Comfortably Afford

When deciding what you can afford, think about your daily life, not just the mortgage payment.

1. Use the 28/36 Rule:
   Experts suggest that your housing costs should not exceed 28% of your gross monthly income. Additionally, your total debt payments should not surpass 36% of your income.

2. Prioritize Needs Over Wants:
   Understand the difference between essential features (like number of bedrooms) and nice-to-haves (like a pool). Focus on what adds real value to your family life.

Location Matters

Knowing where you want to buy is as important as what you want to buy.

1. Neighbourhood Insights:
   Research the best neighbourhoods for safety, schools, and convenience. Location can impact property value and growth potential.

2. Property Types:
   Decide what suits you best—a single-family home, condo, or townhouse. Each has unique costs tied to its property type, like HOA fees for condos.

Utilize Professional Guidance

Working with a real estate expert can significantly ease the home-buying process. Here’s what they offer:

1. Buyers Agent Expertise:
   They provide access to listings, honest advice, and negotiation experience ensuring stress-free transactions.

2. Financing Connections:
   Agents often know mortgage brokers who can offer guidance suited to your needs.

3. Market Knowledge:
   Agents familiar with your area can offer insights that save you money and help you find a home that fits well with your life goals.

Take Advantage of First-Time Buyer Programs

For starters, there are government programs that aim to make this journey easier.

1. First Home Savings Account (FHSA):
   This account lets you save specifically for a down payment, with some tax advantages that can make it faster to reach your goal.

2. Tax Rebates:
   Look into available tax rebates for first-time buyers that can add extra savings when buying your home.

Conclusion

Knowing how much home you can afford involves thoughtful planning and budgeting. By following these steps, you can find a home that meets your needs and remains within your financial reach. With the right information and support, the path to homeownership can be a rewarding journey. Always remember, being prepared and informed is the best way to enjoy your new home with peace of mind.