Muskoka Cottage Real Estate Market | Fall 2018
It’s been a very interesting year for the Muskoka real estate market. Listing numbers continue to be very low, particularly waterfront cottages in the $500,000 to $800,000 range. Figures released from the Lakelands Real Estate Board show waterfront property sales declined by 26.9% year to date compared to the previous year. The low inventory numbers have pushed prices up yet again with the median price for cottage properties rising 5.9% to $519,000. Some quick facts;
- The total dollar value of all waterfront sales in July 2018 was $166.3 million, down by 12.6% from the same month in 2017.
- Sales of non-waterfront properties including homes and vacant land in July 2018 was $92.6 million, up 19.7% from the same month in 2017.
- The median price for residential non-waterfront property including homes and vacant land in July 2018 was $337,000, up over 24% from July 2017.
- There were 1089 active listing on the MLS for the Muskoka area as of September 8, 2018
- The Parry Sound region had 912 active listings on the MLS as of September 8, 2018
As I track our website numbers there’s a slowing trend in search that began in July and seems to be continuing. This could indicate that prices have reached a leveling off point with many listings now out of reach for buyers and they have stopped looking. The cooling off of the Toronto market has also had an effect with many home owners using lines of credit for purchasing. As the value of their home drops so does the available capital for cottage purchases.
Countering this trend is the volume of out-of country buyers and new Canadians starting to enter the recreational market. Both these groups seem to be increasing every year putting continued pressure on pricing.
As the summer selling season winds down I suspect to see some price drops begining as many owners will not want to hold their properties over the winter. Often this will give a boost in sales with the people searching for waterfront property scooping a late season bargin.