Ontarians fleeing the red-hot Toronto housing market along with downsizing Baby Boomers are taking the opportunity to acquire properties in the relatively affordable purchasing environment of Quebec, according to data from the 2017 Royal LePage Canadian Recreational Housing Report released earlier this week.
The aggregate price of a recreational property in Quebec saw an annual increase to $318 700 in May 2017, with the growth “attributable in part to lower inventory levels as well as to an increasing number of Baby Boomers electing residence in recreational markets in the province, planning for retirement,” Royal LePage explained.
Among the province’s strongest attractions are its economic fundamentals and the current state of the loonie.
“The Mont-Tremblant and Charlevoix regions saw an increase in buyers from Toronto, possibly a result of the staggering rise in property prices in Ontario that has crossed well beyond the major centres,” Royal LePage Humania agency owner François Léger explained. “Our American neighbours have also shown interest in the Quebec region because of the weak Canadian dollar, affordable prices and Canada’s calm social climate.”
And unlike most of Canada, which is characterized by a majority Generation X (36 to 51 years old) buying population, Baby Boomers (52 to 70 years old) represented the primary clientele of the Quebec recreational property market.
“It is common knowledge that Quebec has a considerable proportion of Baby Boomers, and the majority have left or will soon leave the labour market. Our survey revealed that this clientele purchases recreational properties for the purpose of making them their primary residence upon retirement,” Léger added.
“Life stage, including within one demographic cohort, is a strong driver of recreational property transactions. Our assessment shows that depending on whether the buyers or sellers are in the first or last wave of the Baby Boomer generation, they are either looking to buy a recreational property for their retirement, or to sell their property in order to downsize, reduce maintenance and capitalize on their investment.”