All properties within Banff National Park are leasehold properties. This means you do not actually own the land you’re purchasing, rather you’re the tenant of Banff National Park. Leaseholds are typically cheaper in price, but extremely difficult to get financing for. Banks primarily consider land value when determining how much to finance your home, but in the case of leaseholds, you do NOT own the land so they cannot evaluate it properly.
Freehold property is the most common property type. It is very likely the house you live in is classified as a freehold property. It simply means the owner of the house also owns the land and it is not being rented from the government, any native tribes or private corporations.
Why does this matter?
When deciding to purchase an investment property it is very important to know the land classification. If you’re purchasing a piece of property for long-term appreciation then freehold is likely the best option because history shows that land value increases. If you’re seeking a strictly cash flow opportunity then maybe a leasehold will be a perfect match for you.
Most investors are seeking freehold opportunities and that is exactly what Canmore offers. Since Banff National Park is federally owned land you cannot and will never be allowed to own the land in Banff. Canmore is the closest tourist town to Banff National Park and it offers primarily freehold property.