Nfld. & Labrador

Record year for St. John's real estate market

A national report says the St. John's market is doing almost twice as well as the Canadian average.
A work crew in one of the construction sites in downtown St. John's. (CBC)

2012 proved to be a record year for real estate in St. John's.

Royal LePage released a national report on housing prices this week, and it shows the St. John's market doing almost twice as well as the Canadian average.

According to the report, the average price for a detached bungalow in the region increased 5.6 per cent last year, while standard two-storey homes rose 6.9 per cent.

Royal LePage agent Glenn Larkin said that 2012 saw more than a billion dollars in real estate sales.

Larkin said condominiums in particular are booming, with the average price of a condo unit jumping 7.7 per cent last year.

Larkin added that condos are affordable for many groups, such as those retiring, first-time home buyers and young professionals.

In other cities in Canada, a glut of condos is being blamed for a real estate bubble.

"The big difference is just sheer numbers," said Larkin. "We probably have 25 condo buildings, with the biggest one having about 80 units. In Toronto they have one building with a thousand units."