2020 July Update – Muskoka Cottage Real Estate Market

Big month in July! The waterfront market has seen a 66.7% increase in unit sales. July 2019 – 93 sales, July 2020 – 155 sales. New listings remain lower year to date, with 14.6% fewer listings, Jan-July 2019 @ 766 listings vs Jan-July 2020 @ 654. With a lower supply of available properties and a record number of unit sales in the past two months, properties are selling fast. Sellers are getting close to full asking price and in some situations more than asking price. There are many buyers looking to move into the area, which drives prices up. Lack of supply and an increase of demand in the area will begin to spark increases in values on many lakes around the Muskoka area.

In a strong sellers market the demand for your Muskoka cottage has never been higher, elevating the average sale price for a cottage in Muskoka to $1,253,667

The ratio of new listings to units sold still trending higher for 2020. In the previous month of June the ratio was 57% which indicates the cottage market has dove more than 10% deeper toward a sellers market

2019: 300 (sold) ÷ 766 (new listings) = 39% (buyers market)

2020: 445 (sold) ÷ 654 (new listings) = 68% (sellers market)

Percentages over 55% are considered a seller market.

See graphs below for more information

If you would like more information, don’t hesitate to reach out anytime.

John Aben, Broker — john@abenteam.com or call 705-788-4770.
Mark Aben, Broker — mark@abenteam.com or call 705-788-4388

Data based on the following: All Muskoka (Excludes residential, vacant land, condo and commercial properties)

Muskoka Cottage Unit Sales by Month

2020 July Sales – Up 66.7% YOY

July 2019 – 93 sales

July 2020 – 155 sales

2020 Jan to July – Up 48% YTD

January-July 2019 – 300 sales

January-July 2020 – 445 sales

July had 66.7% more sales YOY. From January 31st to July 31st, the number of sales are up 48% compared to the same period last year. Strong sales in July, for the second month in a row. The waterfront market has been hot! Seeing 155 sales throughout the month. Very promising numbers for anyone investing in waterfront in the area.

The desire for a waterfront cottage in Muskoka has never been higher. July 2020 is the second month straight of the highest number of monthly sales recorded in Muskoka back to back at 155 sales in June and July. It will be interesting to see if this trend continues into the fall.

Muskoka Cottage Average and Median Sale Price

Average Sale Price – $1,253,667

Median Sale Price – $800,000

The high demand for a cottage in Muskoka and 14.6% fewer listings is driving up the average sale price for a waterfront property in Muskoka 15% YTD.

Data based on the following critera: All Muskoka (Excludes residential, vacant land, condo and commercial properties)
*Excludes lakes in Seguin Twsp. (District of Parry Sound)

Muskoka Cottage New Listings by Month

2020 July New Listings – Down 10.4% YOY
July 2019 – 163 Listings
July 2020 – 146 Listings

2020 Jan to July New Listings – Down 14.6% YTD

January-July 2019 – 756 Listings
January-July 2020 – 654 Listings

With new listings down 14.6% YTD and the heightened demand for a cottage property the average sale price and number of unit sales are on the rise. Average sale price up 15% YTD and Unit Sales up 48.3% YTD.

This indicates that it’s a great time to get your Muskoka cottage listed on the MLS while supply is lower than usual. An increased demand from buyers wanting to get out of the city could help sell your current house for fantastic value and get you upgrading into your ideal home environment faster.

Data Source: The Lakelands Association of Realtors