newAlta. recreational housing prices tumble: report
CBC News
Posted: Jun 15, 2011 1:17 PM MT
Last Updated: Jun 15, 2011 1:17 PM MT
Prices for recreational properties in Alberta have plummeted over the last four years, according to a national survey of starting costs for holiday homes.
The Re/Max Recreational Report, released this week, found that while the average price of recreational properties such as cottages held the line in most of the country, big bargains are to be had in Western Canada.
In Canmore, cradled in the Rockies, the average price of a two-bedroom condo tumbled to $229,000 from $320,000 since 2008. While that's bad news for sellers, the markdowns are enticing for visitors from Calgary.
Kathy Shore, who lives in Calgary, is among those considering a purchase in Canmore amid the apparent downturn in the market.
Financial crisis
"I like the proximity to Calgary," she said. "You know, it's not three hours or anything. It's very quick to get here. It would be nice to have a little place tucked away that's close."
Jessica Stoner, who has been selling real estate in Canmore for more than a decade, attributed the decline in prices to recent tough times in the oil industry as well as pullbacks both domestically and internationally.
"When we had the global financial crisis, international buyers dried up," she said.
In the town of Sylvan Lake in central Alberta, starting prices have fallen to $800,000 from a $1.2-million average in 2008.
The biggest drop in Canada was on B.C.'s Salt Spring Island, where the average starting price for waterfront properties has been almost halved, standing now at $669,000 from $1.3 million in 2008.
Although Philip Minnaar's Canmore property has lost a lot of its value, he remained content, reasoning that some things are worth more than money.
"The views are still great," Minnaar said.
With files from the CBC's Geoff ElkwandShare Tools
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