Buyers Exert 'Newfound Leverage' As Cottage Market Slows

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Teagan has covered Toronto, GTA, and Ontario cottage country real estate. Before coming to STOREYS as a staff writer, she was a freelance writer for Toronto Life and Cottage Life.

June’s sweltering temps haven’t stopped the Muskoka market from cooling down as the Lakelands North region transforms into a buyer's paradise.The weather might be heating up, but June’s sweltering temps haven’t stopped the Muskoka market from cooling down as the Lakelands North region transforms into a buyer's paradise.

On top of that, the average sale price is now $1,482,323, down 7.8% from last June. The current average also represents a sharp drop of over $100,000 from May’s average price of $1,583,529. However, stats show a 22.1% year-over-year increase in the median price for waterfront properties, which now sits at $1,099,000 — also up from $967,500 in May., Sotheby's International Realty Canada, we’ve clearly entered a buyer's market.

On the water, sales also dipped to 130 units sold, a substantial decrease in waterfront sales of 23.5% from the same period in 2023. Meanwhile, there were 780 active listings at the end of June, up 37.3% from a recorded 508 listings in June 2023.The verdict is in. According to a statement from Bonnie Looby, President of the Lakelands Association of Realtors®, it seems the capital gains inclusion rate increase was not the fire starter some thought it would be.

Current market conditions show buyers will have more choice — and time — when shopping the Lakelands North region than they have in the past, but stats also show us moving into an increasingly unbalanced cottage country market, with average inventory at eight months — well above the goldilocks zone of four to six months, which typically indicates a balanced market.

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