Investing in Canmore (Part 1) - A Smart Bet for Short-Term Rental Investments

PART 1 - Investing in Canmore: 

Why Our Little Mountain Town Is a Smart Bet for Short-Term Rentals 

Canmore is no longer a well-kept secret. 

Tucked just outside the gates of Banff National Park, our once-sleepy and quiet mountain town has become one of the most attractive destinations for short-term rental (STR) investors in North America. With stunning year-round scenery, world class hiking and skiing, an upscale tourism base, limited land availability, and favorable regulations (unlike Banff), Canmore checks nearly every box for savvy real estate buyers looking for both lifestyle and return. 

At Hydeaway Stay, we’ve seen firsthand how the Canmore market has evolved — and why it continues to offer exceptional opportunities for investors. In this first part of our three-part series, we’ll break down what makes Canmore so compelling, what’s driving demand, and why supply will remain structurally constrained for years to come. Please make sure to look at our other blog series for an in-depth look at the activities, scenery and beauty of our home town! 

In Part 2 we’ll dig into the #s: how many STRs are there, what’s occupancy look like, what have real estate prices done, seasonality, what are Canmore’s ADRs like, are STRs good inflation hedges, current cap rates and lots more of the fun stuff! 

1. Year-Round Demand from a Global Audience 

Unlike many mountain towns that rely on a single season, Canmore draws visitors 12 months a year: 

Thanks to the global tourism pull of Banff, more than 4 million annual visitors pass through the region — many of whom stay in Canmore due to limited accommodations, higher prices and stricter accommodation rules in Banff proper. 

✈️ Easy Access: 75 Minutes from a World-Class Airport 

Canmore’s accessibility is a key part of its appeal. The town sits just a 75-minute drive from Calgary International Airport (YYC) — Canada’s fourth-busiest airport, with direct flights to 100+ destinations across 20 countries. 

In 2024, YYC welcomed a record 18.9 million passengers, connecting visitors from the U.S., Europe, and Asia directly to the Rockies. For STR owners, that means consistent demand from a global audience — with fewer transportation hurdles. And oh by the way there is an airport to Canmore and Banff high speed rail line proposed... stay tuned on that! Or call us to get the inside scoop - the stuff you wont find in the press! 

2. Limited Supply — and Growing Barriers to Entry 

While demand continues to rise, supply is tightly constrained by both nature and regulation, think of Canmore as an island within the Rocky Mountains: 

This dynamic — strong demand, limited supply — helps ensure high occupancy and strong Average Daily Rates (“ADRs”) for short-term rental owners. 

📈 Macro Tailwinds: Alberta’s Growth Is Just Getting Started 

Canmore also benefits from Alberta’s strong demographic tailwinds. The province’s population is expected to grow by more than 1.4% annually, reaching over 6.4 million people by 2046. Calgary on the other hand could double over the next decade from ~1.5mm people to almost 3mm according to some estimates. Most of this growth will come from international and inter-Canadian migration — boosting tourism, labor force, and long-term housing demand across the region. 

Canmore sits at the intersection of this growth and desirability — a scenic, high-demand destination riding on a strong economic and large population base. So not only does Canmore benefit from global visitors just starting to notice the Canadian Rockies but the local demand seems incredibly well positioned to continue to increase.  

3. Favorable Regulations for Investors 

Compared to neighboring destinations, Canmore takes a balanced and investor-friendly approach to legally zoned short-term rentals: 

That means investors in Canmore can operate with more clarity, more confidence, and better long-term value. 

4. A Resilient Economy That Goes Beyond Tourism 

Canmore isn’t just a destination — it’s a thriving community: 

This blend of lifestyle and tourism makes the town more resilient — and makes STR investments more sustainable across economic cycles. 

5. The Bottom Line: A Market Built to Last 

Whether you're seeking pure rental income, a lifestyle property, or a hybrid investment, Canmore offers a rare combination of: 

In Part 2 of this series, we’ll dive into the financial side — including real-world return scenarios, cap rates, U.S based demand and why it could surge, as well as how Canmore stacks up against other premier mountain destinations across North America (Hint: Still very cheap relative to most US mountain towns!).   

Considering an investment in Canmore? 

Hydeaway Stay helps owners make the most of their short-term rental — with local knowledge, full-service management, and a boutique, luxury-focused approach. Our team of experts can provide far more detail than our blogs ever could!  Plus we'll tell you why and where were buying ourselves! 

So what are you waiting for, the opportunity Canmore provides won't last forever! 

👉 Contact us today to learn more. 

Canmore's Proximity to World Class Destinations!