Canadian cottage market expected to see price drop this year: Royal LePage

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A recent report from Royal LePage is predicting a drop in prices for Canadian cabins and cottages this year as demand softens from economic uncertainty and low housing stock.

, expects the aggregate price of a single-family home in Canada's recreational housing market to fall 4.5 per cent this year to $592,005 compared to 2022.

The province is expected to be the only region in the country where recreational housing prices will increase this year at 0.5 per cent. Soper says interest rate increases have less of an impact on recreational homes, given buyers tend to put more money down and borrow less. Earlier this month, the Bank of Canada announced it would be holding interest rates atHowever, general consumer inflation and lack of inventory have "damped sales activity," while recreational homebuyers tend to have the "benefit of time" to find the right property, he says. "Call it a want versus a need.

 

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