While sunshine states such as Florida and Arizona have long enticed Canadians to purchase their winter retreats in warmer-weather American cities, the uncertainty clouding the U.S. housing market now has many Canadians favouring properties north of the border. And the mountain resort of Canmore is a “coveted recreational destination,” says a report released today by Royal LePage.

In fact, 36 per cent of Canadians who own a winter recreational property or who are considering purchasing one cite they are more inclined to buy a property in Canada than in the U.S. because of the economic uncertainty plaguing our southern neighbours, says the 2008 Royal LePage Winter Recreational Property Report.

The report says Canmore’s ideal location on the eastern slopes of the Rockies surrounded by the mountains and a multitude of recreational activities “continue to make the area a coveted recreational destination.”
Prices of a standard condominium in Canmore within 30 minutes of the mountain range from $390,000 to $425,000 compared with $235,000 to $300,000 last year, says the report. A standard chalet within 30 minutes of the mountain ranges from $660,000 to $725,000 compared with $485,000 to $540,000 in 2006.

The report says that in Canmore there is a growing trend of buyers purchasing a second or third recreational property, one that is designed for winter.

“We expect to see strong demand from three types of purchasers over the next few years - baby boomers approaching retirement or inheriting wealth, professionals who are able to work from satellite or home offices and foreign visitors looking to get away from crowded cities,” said Brad Hawker, broker/owner with Royal LePage Rocky Mountain Realty.

“Our buyers have been predominantly from Canada for the most part over the last few years. We’ve seen a stronger international contingent made up of a lot of people from the UK concerned about the overcrowding of the cities and the changes that they see within their country. And those people are moving here for recreational interests and either using the property as a vacation home or as full-time residence or as a transition from a vacation home to a full-time residence at some point in the future when they’re looking at retiring.”

Hawker said the community is also seeing many Canadian buyers, baby boomers, looking to position themselves for retirement and concerned that in the future it will be too expensive.

“They may not be buying the property they want to retire to right now in Canmore but they’re buying something that either they can use themselves from time to time if they live in close proximity or they might be buying something just as an investment property to rent out long-term with the expectation of selling it and buying something probably larger when the time comes for them to retire,” said Hawker.

Posted: January 31st, 2008 under Real Estate.
Comments: none