Canadian Luxury Real Estate
The RE/MAX 2022 Luxury Market Report examined Canadian luxury real estate trends and developments in freehold and condominium sales over $3 million in Metro Vancouver and the Greater Toronto Area (GTA), and tracked sales over $1 million in 17 additional markets including Victoria, Kelowna, Edmonton, Calgary, Regina, Winnipeg, London, Kitchener-Waterloo, Hamilton, Barrie, Kingston, Ottawa, Halifax-Dartmouth, Moncton, Saint John, Charlottetown and St. John’s.
- 18 out of 19 markets recorded percentage increases in the double and triple digits.
- The Greater Toronto Area and Metro Vancouver – experienced increases of 112.8% and 75.8% respectively for homes over the $3-million price point, while transactions of homes priced over $10 million rose a substantial 156% and 167% respectively.
Canadian Luxury Real Estate Highlights
-The luxury segment over $3 million represents approximately 4% of total sales in Metro Vancouver and 1.8% of sales in the GTA.
- Records were broken for luxury sales over $3 million in the Greater Toronto Area in 2021, while Metro Vancouver fell short of 2016 record levels by just over 200 sales.
- Condominium sales over the $3 million price point in the GTA and Metro Vancouver have rebounded from 2020, setting a new record in the GTA and matching the existing record set in 2016 in Metro Vancouver. The GTA saw 106 condominium units sold in 2021, an increase of 82.8% over 2020 levels, while 144 units changed hands in Metro Vancouver, up 44% over the previous year.
- RE/MAX brokers have reported an upswing in non-resident buyers in Metro Vancouver in 2021, however domestic buyers continue to drive luxury sales in the Greater Toronto Area.
- An increase in young entrepreneurs has been noted in the GTA, with some utilizing crypto-currency gains to make their way into the housing market.
- Non-resident buyers are returning to Canada’s residential housing markets, despite the existence of three taxes aimed at foreign ownership in Metro Vancouver:
1. The 20% Foreign Buyer Tax
2. The 2% Speculation and Vacancy Tax (SVT)
3.The 3% Empty Home Tax
- Sales of building lots have declined at the top end as buyers are reluctant to embark on construction when costs are unclear, labour is hard to find, and supply chain disruptions can add years to the custom-building process.
- Inventory is balanced over the $3 million price point in Metro Vancouver.
Supply levels are exceptionally low in 50 per cent of markets surveyed for this report, including the GTA, Victoria, Kelowna, London, Kitchener-Waterloo, Hamilton, Barrie, Kingston and Ottawa.
For more information or insights regarding the 2022 Luxury Market Report - Call or Text Matt Gul at 778.888.8888.