RE/MAX recently released the annual Recreational Property Report. While it is a national report I have summarized the information that relates to the Southern Georgian Bay Region.
“As Canada’s residential market recovers, recreational property experiences a surge.”
- Canada’s increasingly aging population has retirees driving and inflating the recreational market
- Recreational properties are experiencing a surge in pricing with 78 per cent of regions surveyed showing growth
- Retirees drive demand for recreational properties in 91 per cent of regions examined
- An older Canadian population with more purchasing power is driving prices up
- The median price of recreational properties, including waterfront, non-waterfront, water access and ski-in properties, has increased by 15% across Ontario
RE/MAX brokers foresee current trends continuing into 2019. In Ontario, brokers see both retirees and younger buyers driving demand in the next few years.
“Collingwood-Muskoka offers both an adventurous and relaxing outdoor lifestyle. Buyers in the region get the best of both summer and winter, with activities like hiking, fishing, boating, skiing and sightseeing. Prices have steadily increased in Collingwood-Muskoka, and it’s expected to continue increasing in the next 10 years.
As prices rise in the GTA, more buyers are looking to this region, and tend to split their time between Collingwood-Muskoka and the GTA on a weekly basis. Overall, properties in both regions have shown strong growth of up to 21% due to an influx of buyers from Toronto whose work is still city-based but work remotely from the area.”
“Retirees from the GTA continue to drive the market as has been the case for the many years. The region is approaching a balanced market as the average days on market have started to increase but are still well within a reasonable and comfortable amount of time to sell a home.
As a mixed area, residential prices and recreational prices tend to move in tandem. The Wasaga Beach Downtown Development Master Plan is expected to transform the area dramatically with the redevelopment of main street along with Beach Areas 1 and 2. Due to the commercial and tourism implications of the redevelopment, demand for recreational properties is expected to go up. Both waterfront and non-waterfront properties have seen moderate price growth from last year of up to 18%.”
“Buyers choose Orillia for its small-town charm and quality of life. The sunshine city is surrounded by two lakes and known for its adventurous water activities. Buyers in this region can enjoy Orillia’s beaches, piers and national parks. Boating is a popular activity as Orillia offers easy access to the Trent Severn waterways. Choosing quality of life over location, buyers in Orillia tend to downsize, looking to condo along with waterfront for less maintenance. Property prices have increased by 17% from 2017 to 2018.”
Barrie, Innisfil and Oro
“The Lake Simcoe region, which includes Barrie, Innisfil and Oro, is popular for its convenience of location. Buyers like how quick and easy it is to access their recreational properties from their year-round homes. Ski hills, hiking and biking trails and beaches are some of the top amenities Lake Simcoe has to offer, which keeps the property values high.
The trend of cottages becoming a year-round home is still a strong market, as the commute to Toronto is easier with improved highways and GO transit. Buyers even come from north of Muskoka because they want to be closer to the city, while still being able to enjoy recreational activities. Properties have experienced a moderate increase in price from 2017 to 2018.”
See full Report: RE/MAX 2018 Recreational Property Report