Should You Furnish Your Rental? Pros and Cons for Property Owners
If you’re a rental property owner in Calgary and Edmonton, one question tends to come up sooner or later: should I furnish my rental or keep it unfurnished? There’s no universal right answer, but there is a strategic one, depending on your goals, property type, and target tenants.
Deciding whether to furnish your rental property in Calgary and Edmonton is one of those "it depends" questions that can significantly impact your bottom line.
With the 2026 rental market seeing a steady influx of interprovincial migrants and tech professionals, the choice between a turnkey furnished suite and a traditional unfurnished home is more strategic than ever.
As a landlord, your goal is to maximize ROI while minimizing headaches. Here’s a breakdown of the pros and cons of furnished vs. unfurnished rentals in the current Calgary and Edmonton landscape.
Let’s break it down clearly, from tenant demand to rental premiums, maintenance realities, and what this means from a property rental management perspective.
Understanding the Edmonton Rental Market
Edmonton’s rental market is diverse. You’ll find:
Students and young professionals
Corporate relocations and contract workers
Families looking for long-term stability
New immigrants settling into their first Canadian home
Each group values different rental setups, which is why your furnishing decision should be intentional, not just based on convenience.
The Market at a Glance (2026)
According to recent 2026 data, the Calgary and Edmonton rental market has stabilized after years of rapid growth. While cities like Toronto and Vancouver are seeing rent corrections, Edmonton remains a hub for "move-up" renters and professionals.
Average Unfurnished 1-Bedroom: ~$1,354/month
Average Furnished 1-Bedroom: ~$1,526 - $1,570/month
The "Premium": On average, furnishing your unit in Edmonton allows you to charge $170 to $250 more per month.
Is it better to rent out a property furnished or unfurnished?
The answer depends on your location and financial goals. Furnished rentals earn higher monthly premiums and appeal to short-term professionals, while unfurnished units offer long-term stability and lower maintenance costs. Most property management companies in Calgary and Edmonton recommend choosing based on whether you prefer high-yield hospitality or steady, passive income.
What are the benefits of a furnished rental in Edmonton?
A furnished property allows you to tap into a niche market of high-earning tenants who value convenience. This is a powerful rental property strategy for owners near downtown or the university.
Premium Rental Rates: You can typically charge 15% to 30% more than the market average for an unfurnished unit.
Attract Corporate Tenants: Edmonton’s growing tech and AI sectors bring in consultants and contractors who need "move-in ready" homes.
Tax Advantages: In many cases, you can deduct or depreciate the cost of furniture and décor as a business expense.
Short Vacancy Periods: In high-demand areas like the Ice District, furnished units often find tenants within days of listing.
What are the drawbacks of furnishing a rental property?
The primary downsides are higher upfront costs and increased management intensity. You are responsible for every item inside the home, which complicates furnished rental management.
Increased Wear and Tear: Furniture breaks, fabrics stain, and appliances age, requiring a dedicated budget for replacements.
Higher Turnover: Furnished tenants usually stay for months rather than years, leading to more frequent cleaning and marketing cycles.
Storage Issues: If a great long-term tenant wants to bring their own bed, you’ll have to pay to store your furniture elsewhere.
Is an unfurnished rental better for long-term stability?
Yes, unfurnished rentals are the "gold standard" for landlords who want predictable, low-maintenance income. Because tenants bring their own belongings, they treat the space like a true home and stay significantly longer. This approach simplifies property rental management by reducing the number of move-in/move-out inspections.
How much does it cost to furnish a rental property?
In 2026, fully furnishing a standard two-bedroom condo in Edmonton costs between $10,000 and $18,000 depending on quality. To attract top-tier tenants, you must invest in "durable-but-stylish" pieces rather than the cheapest options available. You should expect to recover this investment through higher rent within 18 to 24 months.
Furnished Rentals: The Niche Strategy for Alberta Hubs
Furnished rentals are often referred to as "turnkey" properties. While they represent a smaller segment of the market, they can be successful in specific high-density urban corridors where professional mobility is high.
Where Furnished Works Best
In Calgary, this strategy is almost exclusively concentrated in the city center, specifically the Beltline, Mission, and Kensington, where corporate headquarters and lifestyle amenities converge. In Edmonton, the demand is highest in Downtown, Oliver, and Garneau (near the University of Alberta).
The Pros
Higher Rental Premiums: You can command a monthly "convenience premium." As of early 2026, furnished 1-bedroom units in Calgary average approximately $181/month more than unfurnished ones, while Edmonton sees a slightly higher gap of roughly $208/month. In high-demand pockets like Southeast Edmonton, specialized 2-bedroom furnished units have seen even sharper year-over-year increases.
Targeted Demographics: You appeal to high-value, professional tenants, including:
Corporate Relocations: Professionals moving for Calgary’s energy and financial sectors or Edmonton’s growing tech and government hubs.
Specialized Professionals: Medical residents at the Foothills (Calgary) or U of A (Edmonton) hospitals.
Contract Executives: Individuals who need a premium home base for a year-long project without the logistical burden of a moving truck.
Tax Advantages: In Canada, you can often depreciate the cost of furniture and appliances (Capital Cost Allowance) to reduce your taxable rental income.
The Cons
Selective Management: Because furnished rentals require significantly more oversight, Power Properties only manages these on a case-by-case basis. We prioritize properties in "A-Class" locations that can sustain long-term demand.
Strictly Long-Term: A common misconception is that furnished rentals mean short-term stays (3–6 months). At Power Properties, we do not handle short-term or vacation rentals. Even for furnished units, we require 12-month minimum leases to ensure owner stability and consistent cash flow.
Maintenance & Wear: Furniture isn't "buy-and-forget." You must budget for professional steam cleaning, furniture repairs, and a rigorous inventory check at every move-out. The "premium" rent is often offset by the rapid depreciation of these assets.
Management Intensity: Managing the "contents" of a home in addition to the structure involves extra labor. Consequently, management firms typically charge a higher fee (often 15% for furnished vs. our standard rates for unfurnished) to account for the increased administrative and maintenance coordination.
Unfurnished Rentals: The Stability Strategy
This is the "standard" approach, favored by landlords who value long-term peace of mind over month-to-month cash flow.
The Pros
Long-Term Tenancy: Tenants who bring their own furniture are "stickier." They are far more likely to sign 12-month (or longer) leases, providing predictable cash flow.
Lower Upfront Costs: You don’t need to drop $5,000–$10,000 on a sofa, bed, and dining set before your first tenant moves in.
Minimal Liability: You aren't responsible if a tenant’s own table breaks. Your maintenance list is limited to the building's "bones" and major appliances.
The Cons
Lower Monthly Income: You are leaving the "convenience premium" on the table.
Harder to Fill in Certain Areas: If your property is a small studio in the heart of Downtown, an unfurnished listing may struggle against the sea of turnkey options preferred by urban professionals.
Comparison: Which Strategy Fits Your Property?
| Property Type | Recommended Strategy | Target Tenant Demographic |
|---|---|---|
| Downtown Condo | Furnished | Corporate relocations & digital nomads |
| University Suite | Furnished/Semi | International students & visiting professors |
| Suburban House | Unfurnished | Families looking for 2+ year leases |
| Basement Suite | Unfurnished | Budget-conscious locals or young couples |
How to decide on a rental strategy for your property?
Analyze the Neighborhood: Look at nearby listings. Are there many "short-term stay" options? If not, there may be an untapped market.
Calculate the "Furniture Gap": Compare the average rent for furnished vs. unfurnished in your area. If the gap is less than $300/month, furnishing may not be worth the effort.
Assess Your Time: Are you prepared to manage frequent turnovers, or do you need a professional for rental property management to handle the logistics?
Review Insurance: Ensure your landlord insurance policy covers "contents" if you decide to go the furnished route.
The Verdict: Should You Furnish?
You should furnish if: Your property is a condo or apartment in a high-walkability, central area. If you are near the University of Alberta or the downtown business core, the demand for "ready-to-move-in" spaces is high enough to offset the extra maintenance.
You should stay unfurnished if: You own a single-family home or townhouse in suburban areas like Rutherford, Walker Lakes, or Summerside. These areas attract families and "nesters" who already own furniture and want to stay for 2+ years.
How Power Properties Can Help
Navigating the Calgary and Edmonton market requires more than just a "For Rent" sign. Whether you want to tap into the high-yield corporate market or find a stable, long-term family for your suburban home, we handle everything from tenant screening to 2026-compliant lease agreements.
Would you like a free rental price analysis to see exactly how much more your property could earn if it were furnished?
About Power Properties Ltd.
Founded in 1980, Power Properties has been providing hassle-free property management services to property owners, property investors and non-residents with homes in Calgary, Edmonton, Lethbridge and Medicine Hat for over 45 years. Our full-service property management includes everything from move in to move out, so you don’t have to worry about the day-to-day operations of your rental property. With a team of licensed professionals, years of experience, and award-winning service, you can rest assured that your property is in good hands.
