With real estate prices high, the thought of owning a cabin is a pipe dream for most young Canadians.
That pipe dream is still in the back of people’s minds, however, according to a recent report from RE/MAX.
The 2017 Recreational Property Report shows that 65% of Canadian millennials would consider buying a recreational property in the next decade.
Not only that, but 28% of Canadians with children under 18 said that they’d consider selling their primary residence in order to purchase a cabin.
“Many Canadians with young families are determined to own a cottage or cabin and are willing to explore avenues to turn this dream into a reality,” said Christopher Alexander from RE/MAX. “As real estate prices in areas of Canada remain high, more buyers are exploring unique financing options such as fractional ownership in a shared property, purchasing a recreational property with a friend and even selling their primary residence and putting the equity into a cottage or cabin.”
A separate RE/MAX survey found that young families with children were a key driver of the demand in this market.
Retirees were a key driver of demand across the country as well, with more than half of Canada reporting an increase in retiree buyers compared to this time last year.
“Large numbers of retirees and baby boomers nearing retirement are putting the equity they received from the sale of their home in cities like Toronto and Vancouver into the purchase of a recreational property,” said Elton Ash from RE/MAX. “Significant price appreciation in those regions has made recreational property ownership a relatively affordable option for many retirees.”
In turn, this has resulted in the price appreciation that has been seen in recreational property markets like Whistler, B.C. and Haliburton, Ont.
This trend is expected to continue this year, with an increase in demand from buyers leaving the Greater Toronto area or B.C.’s Lower Mainland for smaller markets like Salt Spring Island.
For those who still have issues affording a property like this, the RE/MAX survey also found that 32% of Canadians would consider buying with a family member to help finance the ownership of a recreational property.
If you were to purchase a recreational or secondary property in Canada, where would you buy?
