Real-estate company Royal LePage says the average price of a house in Canada’s “recreational property regions” will rise 15 per cent in 2021 to $502,730, as the pandemic prompts buyers to explore country living.
The company is raising its previous estimate from November in light of a shortage in inventory and a surge of people interested in using the homes for both weekend getaways and remote work.
Phil Soper, president and chief executive officer of Royal LePage, says the pandemic has blurred the line between primary residence and recreational property.
Royal LePage expects that houses in the recreational regions of Ontario and Atlantic Canada will see the greatest increases, at 17 per cent.
Prices in Quebec and British Columbia are forecast to rise 15 per cent and 13 per cent, respectively.
The expected increase follows a year of strong appreciation in cottage prices throughout 2020, with the average recreational property price in Canada increasing by 16 per cent to $437,156 compared with 2019.
This report by The Canadian Press was first published March 23, 2021.
The Canadian Press