Calgary homeowners are facing a mounting property tax crisis, according to a new analysis comparing major Canadian cities by The Aristotle Foundation.Between 2016 and 2021, Calgary saw the steepest increase in property taxes among the cities studied, with the average homeowner’s bill jumping 28% — from $2,736 to $3,496 — while average household incomes fell 13%. That combination pushed Calgary’s overall property tax burden up a staggering 47%, nearly double the rise in Saskatoon and more than three times the increase in Vancouver.The report, using Statistics Canada census data, examined population growth, home construction, household income, property values, and effective tax rates in major municipalities west of Atlantic Canada. Calgary led in population growth, adding 67,564 residents, and saw the largest percentage increase in housing units. Yet, despite the city’s growth, the average home lost 7.3% of its market value during the same period..Calgary’s effective property tax rate — the amount paid relative to actual home value — rose 37.9%, the highest of all cities analyzed. Saskatoon followed with a 27.3% increase, while Winnipeg and Vancouver saw moderate growth. In contrast, Toronto and Montreal experienced declining effective rates as home values soared.The report highlights a worrying trend for homeowners: as taxes climb and incomes stagnate, the financial strain on residents intensifies. .Across Canada, property tax burdens rose in all municipalities studied, from a low of 5% in Montreal to the extreme case of Calgary.Experts warn these trends could trigger a cycle of declining affordability and economic strain.As property values and incomes fall, cities face pressure to raise taxes further or cut budgets, potentially making them less attractive to new residents and investors.The analysis underscores the need for greater fiscal discipline in municipalities, particularly in Western Canada, to prevent housing affordability from deteriorating further.
