The price of houses in Inuvik has dropped by 10 to 15 per cent in the last three years — ever since plans for the Mackenzie Valley Pipeline were set aside, according to a local realtor.
Jim Weller, a realtor with Coldwell Banker, says the market has been in decline since 2011, when Imperial Oil put its plans for the Mackenzie Valley Gas Pipeline on hold.
“Housing prices have dropped about 10 to 15 per cent and the number of sales has dropped substantially,” he says.
Weller also says four of his active listings are in foreclosure.
The good news, he says, is that home ownership in the community is getting more affordable, and there’s lots of choice. He says there are about 60 homes for sale right now, with about a dozen sales each year.
Vince Sharpe owns residential and commercial property in Inuvik. On one of Sharpe’s houses, he’s lowered the asking price to $500,000 from $640,000. The house has been on the market for a year now.
“I know other people that have houses on the market at $200,000 or $280,000 and they have been on the market just as long," he says. "
"They're just not selling because there are no buyers. People want to rent right now because they're so nervous about what's happening, They don't see anything that is going to give them hope.”
Sharpe blames the dramatic increase in the price of heating homes with gas as one reason the market is in decline.
With its local natural gas well drying up, Inuvik Gas is using synthetic natural gas to make up for missing fuel. But that's driven the cost up by 83 per cent.