A new survey of RE/MAX brokers and agents has found that recreational properties across Canada are seeing a healthy year-over-year price increase, with 74 per cent of regions surveyed experiencing an uptick.
Compared to 2018, the median price of recreational properties, including waterfront, non-waterfront, water access and ski-in properties, has increased seven per cent across the board. Median prices were calculated for the periods of July 2017 to June 2018, and July 2018 to June 2019.
“In the mainstream urban housing market, we’re seeing a marked contrast between Eastern and Western Canada, with the former showing promising gains while the latter is flat to negative. Meanwhile, the recreational market is strong across much of the country except in the Prairies, where the region’s softer economy has kept demand low,” says Christopher Alexander, Executive Vice President and Regional Director, RE/MAX of Ontario-Atlantic Canada.
“And ultimately the reasons for the contrast between urban and recreational markets are diverse,” adds Alexander. “Activity is being driven by strong employment and economic conditions, but it’s also being influenced by Millennial buyers who find themselves squeezed out of the less affordable urban market.”
Key Findings from the 2019 RE/MAX Recreational Property Omnibus Survey
1. 40 per cent of all Canadians, and 56 per cent of Millennials, are in the market for a recreational property
2. Canadians cite the following reasons to own or want to own a recreational property:
• It is where I can go and relax and spend time with friends and family = 64 per cent
• It is a getaway home = 58 per cent
• I can do activities I can’t do at my permanent residence (hiking, fishing, etc.) = 43 per cent
• It is an investment property = 30 per cent
• It is a retirement home = 20 per cent
• Other = 2 per cent
3. 30 per cent of all Canadians say they use or would use a recreational property as an investment opportunity. Millennials rank the highest among this group, at 33 per cent, compared to Boomers at 28 per cent
4. More than half (54 per cent) of Canadians who own or are considering owning a recreational property are willing to travel up to two hours, and 24 per cent saying they would travel two hours. Slightly less (22 per cent) are willing to travel three or more hours.
5. Canadians identify the following features as important when considering their current recreational property or a future purchase of a recreational property:
• Affordable purchase price = 61 per cent
• Reasonable maintenance costs = 46 per cent
• Waterfront access = 45 per cent
• Proximity to town = 44 per cent
• Reasonable distance from primary residence = 35 per cent
• Relative seclusion = 28 per cent
• Land access = 24 per cent
• Proximity to sports/recreation = 24 per cent
• Nearby neighbouring properties = 12 per cent
• Island property = 7 per cent
• Other = 1 per cent
• None, don’t mind which features my recreational property has = 7 per cent
• Don’t know/prefer not to answer = 7 per cent
How to Use the Report:
Not sure where to start? Here are a few real-world examples of where and how the Recreational Property Report will work best for your marketing needs!
- Become a recognized leader in the recreational field of real estate by posting some of the statistics found throughout the report on your social platforms.
- Be the pillar of communication for the markets you serve by posting the infographics on your website!
- The Recreational Property Report Infographics also acts as the perfect handout at open houses. They’re engaging, visual, and sure to capture the attention of those that walk in the door! (Download the high-resolution versions for Ontario and Atlantic Canada below)!
- The possibilities don’t stop there! We encourage you to check out the full report on the RE/MAX Canada blog. It’s the perfect place to refer clients to! Click HERE and share the report directly from the blog onto your social platforms!