Ski properties in Canmore unaffected by record-high interest rates

Ski properties in Alberta mountain town unaffected by record-high interest rates

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Real estate in Canada’s ski regions saw a decline over the past year with interest rates and a rising cost of living among some of the contributing factors.

According to Royal LePage’s winter recreational property report, the median price of a single-family detached home remained essentially flat, decreasing 0.7% year-over-year to $1,068,200.

The report analyzed 18 popular ski regions in the country with data sourced through local brokerages and boards in each of the surveyed regions.

Along with a rise in expenses, the report points to consumer attitudes about the state of the economy and climate issues as reasons for the lessening demand.

In Alberta, however, the numbers tell a different story. Prices in the province aren’t typically impacted by higher interest rates.

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“The weekenders retirement people and work-from-home people that are moving here from other markets are generally not financing,” Brad Hawker, an associate broker with Royal LePage Solutions, told Daily Hive Urbanized.

“So the median price is affected by the number of homes that are sold in and in what price range.”

This also means homeowners are much less likely to rent out their homes to offset
increased borrowing costs.

Recreational properties in Canmore saw a 9.6% rise in 2023. That year, the median price of a single-family detached home was $1,707,300, an increase from 2022 when it was $1,557,700.

The median price of a condo increased by 4.3%, reaching $696,900, but that’s different depending on the area of the town.

For a house or condo adjacent to the Canmore Nordic Centre, prices usually start at $850,000 and $900,000, respectively according to Royal LePage.

But a different outlook is expected for 2024.

Royal LePage predicts that the median price of a single-family detached home in Canmore will remain relatively flat, decreasing just 0.5% over the next 12 months. The price of a single-family detached home is expected to average at $1,698,764.

“It’s going to be kind of a more of a balance year rather than seeing the appreciation that we saw this year,” Hawker said.

“We’re expecting that there’s going to be less homes sold in the more affordable end of the market.”

Nationally, Royal LePage anticipates, on average, a 2.9% increase in single-family detached homes with prices for those properties hitting $1,099,661.

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