Can’t afford it now?
Cottage affordability becoming an issue for leisure-loving Canucks
Anne Howland, CanWest News Service
OTTAWA — They may work second jobs or downsize their city houses to afford cottage life, but one-quarter of Canadian recreational property owners say high gas prices will keep them from enjoying their decks and docks as much as they used to.
And 12% may even sell their piece of paradise if gas prices continue to rise, according to a survey released Tuesday.
Despite rising cottage and gas prices, the number of Canadians committed to owning a getaway has increased since last summer, with 12% of Canadians planning to or considering buying a recreational property in the next three years, according to the 2007 Recreational Property Report.
“Our research reveals that the demand for recreational property continues to far exceed supply across Canada, causing cottage prices to rise at a much quicker rate than the overall housing market. A standard waterfront, land access property increased by 13 per cent over the past year, with properties ranging from under $100,000 to over $1 million,” said Phil Soper.
“Families are managing the affordability challenge with creativity and personal flexibility. Prospective purchasers on a budget can still find a cottage or cabin, but they may have to accept a longer weekend commute, seek alternate ownership options or subsidize ownership through rental income.”
More affordable properties can be found in Eastern Canada, as balanced markets and new developments characterize the majority of Atlantic Canada, while stronger demand and cottage prices that commonly inch up toward $500,000 typify Ontario’s market, the report said. In Alberta and British Columbia, cottage seekers will find some of the country’s most expensive cottage real estate and very tight inventory levels, it added.
Of those planning or considering purchasing a cottage, 49% are willing to move into a smaller city house and 32% would take on a second job, the poll said. Other sacrifices include making the cottage the primary residence, driving as far as necessary and using the cottage to generate rental income during the year, results showed.
Enjoying the outdoors, escaping the hustle of city life and spending quality time with friends and family were the top reasons for heading to cottage country, the poll showed. It also found that 69% of parents who own cottages said part of the reason they go to the cottage is to “unplug” their kids and have them spend time outdoors.
Adults also look to cut off their own high-tech lifelines, with 33% of respondents claiming they take a complete break from their BlackBerries, while seven per cent continue to check in.
The report comprises a nationwide poll of Canadian cottage owner and buyer attitudes and actions and a 51 market analysis of recreational property prices, trends and activity.
————————————————————————————————————
Contact the Jeffrey Team for more information - 416-388-1960
