The Lake Simcoe waterfront market was not excluded from the bounty of residential sales activity across Ontario. Sales increased by 82% since 2019.
TORONTO, ONTARIO, CANADA, January 27, 2021 /EINPresswire.com/ — In 2020, the waterfront market was not excluded from the bounty of residential sales activity across Ontario, particularly in southern Ontario. There was a total of 228 sales in 2020, an increase of 82% over 2019. These sales occurred in the predominant market areas we have been monitoring and reporting on for the past 15 years, which include:
According to the sales reported by the Toronto Real Estate Board (“TREB”), the average price of waterfront properties on Lake Simcoe was $1,244,646, which is a year-over-year increase of 27%.
There were nine (9) Luxury waterfront sales (sale price over $3M) reported by TREB and there were two (2) private sales. Luxury sale prices ranged from $3.2M to $7.995M. The majority of these properties are located in the Oro-Medonte area and two sales were in the Barrie/Innisfil area. These two areas continually report the highest priced sales on Lake Simcoe.
Ramara Township experienced a huge surge in waterfront sales activity with 55 sales reported by TREB, representing a 323% increase in sales compared to 2019. Only direct waterfront sales on Lake Simcoe are recorded in our sales data in order to protect the integrity of the true market value of waterfront property. Therefore, Lagoon City canal front properties are excluded from our reporting.
Over the previous five-year period since 2016, the average price increased by 47% from $1,002,308 to $1,244,646 as of December 31, 2020.
1. Waterfront in Ramara increased in value by 37% over the five-year period since 2016. The average sale price in 2020 was $953,373, which rose by 15% over 2019 sales.
2. Beaverton experienced a 23% year-over-year increase to the average selling price. The number of sales increased by 67%. In the 4th quarter, there were three (3) high-end sales ranging in price from $1,630,000 to $2,005,000. Of the 15 sales in 2020, two (2) of these sales were rare vacant waterfront lots. Beaverton waterfront prices on Lake Simcoe has escalated by 73% since 2016.
3. Orillia trailed all other areas with less active listings and number of sales reported in 2019 and again in 2020. The average days on market was a mere 12-days. Because of the lower number of active listings, it appears a higher demand for desirable waterfront properties has been created.
4. Oro-Medonte’s average selling price reached $1,798,185, which excludes the sale of a luxury estate sold in December 2020 for $7,995,000. Oro-Medonte’s average selling price consistently outperforms all other areas on Lake Simcoe due to the size of the estates located just north of Barrie on or near Ridge Road.
5. Innisfil’s average sale price increased to $1,516,251 an increase of 27% in comparison to 2019. Sales increased by 35% with a total of 46 sales report in 2020.
Lake Simcoe is a desirable area to own a recreational property due to its close proximity to Toronto, which encourages property owners to maximize their usage compared to other cottage areas where travel distance is a factor.
According to the National Benefits Hub Research Group, “the rural activity lifestyles were linked to the quality of life and health of residents, supporting the assumption that there is a connection between the “recreation variable” and quality of life and health in rural areas.”
Due to the high volume of waterfront properties sold in 2020, we anticipate there could be a shortage of inventory available in 2021. Should this occur, prices will most likely continue to accelerate due to the higher demand as more buyers seek a waterfront property on Lake Simcoe.
If you would like to obtain a copy of our full report, please email Roxanne Finn, Broker C.I.P.S. at Roxanne@ChestnutPark.com or call at 289-338-0767.
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(All data used in this report was obtained from The Toronto Real Estate Board and Public Records.)