Mortgage Blog

Buying in Edmonton vs. St. Albert: Mortgage Differences That Matter

July 1, 2025 | Posted by: Jeff Chin

If you're planning to buy a home in Alberta, two locations often come to mind: Edmonton and St. Albert. While both offer strong real estate markets and great livability, there are key differences in the mortgage landscape, home pricing, and qualification factors that buyers should understand before making a decision.

Whether you're a first-time buyer, upsizing your family home, or considering a long-term investment, this article breaks down the most important mortgage differences between buying in Edmonton and St. Albert.

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Edmonton vs. St. Albert: A Quick Overview

Edmonton is Alberta’s capital city with a wide mix of neighborhoods, housing types, and price points. It is especially attractive for first-time home buyers and those looking for variety and value.

St. Albert is a more suburban, family-oriented community just northwest of Edmonton. Known for its schools, green spaces, and newer developments, St. Albert typically attracts buyers who want a quieter lifestyle with higher-end housing options.

Both cities have strong appeal, but from a mortgage perspective, there are some important distinctions that could impact your affordability and borrowing strategy.

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Home Prices and Affordability

Edmonton offers a lower average price point, with detached homes often starting in the high $300,000s to low $400,000s. The city also provides a wide range of options for townhomes, condos, and infill properties.

St. Albert, on the other hand, tends to have higher average home prices. Detached homes commonly start in the low $500,000s, and the inventory often includes newer homes and larger lots.

Mortgage Tip: If you are buying in St. Albert, you may need to qualify for a larger mortgage, which means demonstrating higher income, having a stronger credit score, or making a larger down payment.

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Property Taxes and Monthly Payments

While property taxes are similar across both regions, they still impact your overall monthly housing cost and mortgage approval calculations.

Edmonton has a property tax rate of approximately 0.94 percent, while St. Albert’s is slightly higher at around 1.05 percent. Because home values are also generally higher in St. Albert, the total tax bill is often larger.

Why this matters: Lenders factor in your property taxes when calculating your Total Debt Service Ratio (TDS), which affects how much mortgage you qualify for.

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Mortgage Qualification and Stress Test Impact

Both Edmonton and St. Albert homebuyers must pass Canada’s mortgage stress test. However, the higher average home prices in St. Albert can make qualification more challenging.

To qualify for a mortgage in St. Albert, you may need:

• A higher gross household income

• A larger down payment to keep your mortgage under the CMHC insurance limit

• A stronger overall credit profile

In contrast, Edmonton offers more affordability and flexibility, which makes qualifying easier for first-time buyers or households with moderate incomes.

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Lender Options and Rate Competitiveness

Lenders tend to be more aggressive in Edmonton due to the larger transaction volume and more competitive real estate market. This can work in your favor when shopping for the best mortgage rates.

In St. Albert, some lenders may view the market as more stable and lower-risk, but the smaller volume of transactions may mean fewer competitive discounts unless you are working with a mortgage broker who can shop across lenders.

This makes choosing the right broker more important when buying in either city.

To learn how to secure better mortgage rates regardless of where you live, check out:
How to Get a Better Rate When Renewing Your Mortgage in Edmonton

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Pre-Approval Strategy Based on Location

Your ideal home location plays a big role in how much home you can afford. Buying in St. Albert might push your budget to the limit, which can affect your pre-approval amount or require compromises on other financial goals.

Consider the following:

• Edmonton allows for more flexibility in housing type, price point, and neighborhood diversity

• St. Albert may require a more aggressive savings or income strategy to secure a higher mortgage

If your goal is to stay within a specific monthly budget, Edmonton may provide more breathing room without stretching your finances.

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Closing Costs and Other Considerations

Most closing costs are similar whether you buy in Edmonton or St. Albert. Expect to budget for legal fees, home inspections, property tax adjustments, and land title fees.

However, buyers in St. Albert may encounter slightly higher utility hookup fees, landscaping deposits for new builds, or warranty costs if purchasing a newly constructed home.

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Which City Is Better for You?

Your decision should come down to more than just home style or neighborhood. Consider how the location affects your mortgage strategy, long-term affordability, and financial flexibility.

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Talk to a Local Mortgage Expert Before You Buy

Whether you're leaning toward Edmonton or St. Albert, understanding the local mortgage landscape is essential to making the right purchase decision.

Steven Boodoo, an experienced Edmonton mortgage broker, can help you:

• Compare mortgage options for both cities

• Understand your true affordability

• Get pre-approved with the best possible rate

• Avoid overpaying for your home financing

Before you buy, make sure your mortgage is working for you.

Contact Steven Boodoo today and get personalized mortgage advice tailored to your budget, goals, and location.

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