Are you sitting back after the long weekend thinking you would love your own space to get away to, to adventure in the mountains, or paddle on a lake?
The REMAX 2021 Recreational Property Report was released last week and there are some hot trends in Alberta & BC to keep your eye on.
Sylvan Lake, AB
Sylvan Lake, AB is a balanced market, with a 38 percent sales to listing ratio in April 2021. The region is active in residential, cottage, and lakefront properties but supply is slow to come on the market. Families, millennials, couples, retirees, and out-of-province buyers are all driving demand in this region. Most recreational property buyers are local in Central Alberta or located in Edmonton or Calgary. Many of these buyers sold properties in the U.S. and are looking for something closer to home. When it comes to the COVID-19 impact on Sylvan Lake’s recreational property market, strong demand is anticipated to continue due to the influx of buyers the region has experienced, with none of them planning to step back due to the rising prices. COVID-19 negatively impacted the market in April and May of 2020, but since then it has positively impacted it. Preferred features for recreational homes include space in order to work from home and proximity to water.
North Okanagan/Shuswap, BC
North Okanagan/Shuswap, BC is a seller’s market, due to low inventory, especially in the single-family residential market, and high demand. Families, couples, investment buyers, speculative buyers, out-of-province buyers, and millennial buyers are all driving demand in this region. Buyers in this region are coming from the lower mainland and Alberta, while demand is high from local buyers in the ski hill market. This region is also still seeing activity from out-of-country buyers, from places such as Australia. A notable trend in this region is that lakefront homes are selling at a much more brisk pace ahead of the usually busy spring and summer selling periods. High prices are not stopping buyers in this region, if they miss out on their first option the search continues. Preferred features for recreational homes include proximity to water, the potential to rent it out, and the ability to renovate the current structure. Anticipated price growth in the region for recreational properties over the remainder of 2021 is an increase of 25 percent for waterfront and eight percent for non-waterfront homes.
Canmore, AB is currently a sellers’ market, the increased demand and low inventory are putting upward pressure on property prices in the region. Strong price growth is anticipated for the remainder of the year. Albertans and out-of-province buyers (mostly from Ontario) are driving market activity, these buyers are looking for a recreational lifestyle to balance out their current work lifestyle. Workfrom-home allowances, retirement plans, and a secondary residence for recreational use are the top three reasons that buyers are looking to purchase in Canmore. Buyers are attracted to the region due to its location in the Rocky Mountains, for its proximity to both provincial and national parks, and the closest major city and international airport are just one hour away. The average sale price for non-waterfront properties is projected to increase by 20 percent, and a 15 percent increase in the sale price is projected for condos.