It has been quite a year for Niagara’s hot real estate market, full of ups and downs—with emphasis on the former!
While this market is a blessing for sellers, it is important to understand the many factors that influence these fluctuations. Over the past few years, there has been a mass exodus from major urban centres across the country, with an increasing number of Canadians relocating to smaller bedroom communities in search of better value of their investments.
The COVID-19 pandemic has further accelerated this trend as working from home continues to become the new normal for more and more Canadians post-pandemic. Between July 2019 and July 2020, a record 50,375 people left Toronto for the surrounding communities, while Montreal witnessed a more modest, but not insignificant, decline of 24,880.
There are a multitude of reasons—beyond just comparatively affordable housing costs—that an increasing number of people are choosing to make Niagara their home. The area has experienced an economic and cultural boom over the past few years because its diverse municipalities can accommodate every imaginable lifestyle.
With miles of beautiful, verdant landscapes, rolling hills, sandy beaches, world-class breweries and wineries, and natural wonders as far as the eye can see, Niagara is a feast for the eyes from lake to shining lake. At the same time, unique small business opportunities and a significant and unprecedented investment in arts, culture, and heritage projects has enticed creatives, entrepreneurs, and restauranteurs to leave the big cities in droves and set up shop here.
Today, the Niagara Region is more than just its many waterfalls. It is home to modern, award-winning restaurants, quaint cafes and shops, vibrant nightlife, and hundreds of cultural events and festivals each year.
At the core of the issue of rising costs is an increased demand for more space fuelled by the pandemic, which has lagged behind new construction projects slowed by regulatory red tape. According to recent stats, Ontario developers will need to build 79,000 more homes each year between 2021 and 2031 in the GTA alone to keep up with current levels of demand.
The affordability crisis also effects renters who are now paying an average of $1450 a month for a one-bedroom apartment—up more than 15% from last year—and $1695 for a two-bedroom.
The Niagara Association of Realtors (NAR) released a statement recently about some of the steps that can be taken to ensure that home ownership remains a viable option for young Canadian families. Home ownership is the cornerstone of healthy, prosperous, and stable communities and must remain within reach to ensure our future well-being—economically and otherwise.
At McGarr Realty, our first priority is to our community. We help great people, just like you, buy and sell Niagara real estate. Without you, there is no McGarr Realty! That’s why our brokers will continue to do everything we can to make buying and selling accessible and joyful—because home ownership should be exciting! That’s why we’re looking forward to a prosperous 2022 for everyone!
We wish you all a safe and happy holiday season this year and we look forward to embarking upon many adventures with you in the new year!
Get in touch with our team of passionate and enthusiastic REALTORS® in St. Catharines at 905-687-9229, or in Niagara-on-the-Lake at 905-468-9229, or send us a message on our contact page, HERE.