High demand for luxury homes in Collingwood
April 22, 2020 - Collingwood
Engel and Völkers is reporting a strong current trend of affluent baby boomers selling their luxury Muskoka properties and relocating to Collingwood to live full time.
At the same time, boomers from Toronto, and a new wave of millennial buyers, are showing interest in making Collingwood their full-time residence.
The area’s walkability and proximity to hospitality, recreation and entertainment. are attracting both young families and retirees who enjoy the year-round active lifestyle.
Collingwood has shifted from a seasonal vacation market to a popular full-time residential market with increasing investment.
Private schools are growing in popularity due to the influx of new families, and its millennial buyers are entrepreneurial, opening breweries, fitness studios, interior design studios, restaurants and other service-related businesses.
Another major segment is comprised of a cohort of professionals who work remotely, particularly in tech industries.
According to 2016 Census data, Collingwood is one of the fastest-growing communities in Canada, ranking 24th on the list of fastest-growing municipalities located outside a census metropolitan area. Collingwood saw a 13.3% jump in population, increasing to 21,793 from 19,241.
Collingwood is currently a balanced market with conditions favouring sellers due to a supply shortage, particularly within the condo market.
Demand remains high within the luxury segment with new-to-market residential freehold properties between $1 million to $2 million selling quickly.
In 2019, Collingwood experienced increased construction activity, seeing it become a hot destination for long term living – particularly for new families and high net worth baby boomers – a major trend to watch in the area.
Last year ended strong, with residential sales in the Southern Georgian Bay Area totaling 158 units in December 2019, up 22% year-over-year.
Engel & Völkers expects prices in the region will increase by 10% within the Collingwood market.
The Collingwood market is projected to grow at a healthy, steady pace in 2020, with the average sale price across all property types up 30.9% to $618,571 in January 2020 compared to January 2019.
In the Western District, the average price grew from $594,714 in December 2019 to $663,552 in January 2020.
With this rapid price growth in January alone, Engel & Völkers Collingwood Muskoka expects the market to remain a real estate hot spot that will grow further into 2020.
Photo : 36 Silver Crescent, Collingwood
Trends, property market, real estate market, real estate prices, Engel & Völkers