Richmond Hill house prices skyrocket again
Homeowners in the area continue to see double-digit growth
“The reality is real estate, like anything out there, is supply and demand.”
As the regional extremes of real estate values across Canada begin to relax, Ontario will be seeing little relief in the coming year, especially in Richmond Hill, according to a report from Royal LePage released late January.
A real estate market increase hit Richmond Hill particularly hard in 2016: the aggregate price of a home rose to $1,138,826, up 30.1 per cent in the area, and is projected to continue to increase in the coming year.
According to recent analysis from Point2Homes, Richmond Hill offers the second least amount of space for a buck out of all Canadian cities, with only 367 square feet per $300,000 — second only to Vancouver.
“The reality is real estate, like anything out there, is supply and demand,” says Dennis Chan, a real estate agent who has been working in Richmond Hill for over 20 years. “We haven’t hit an issue like Vancouver where all these places are being bought but they’re just sitting there,” said Chan.
He points to several reasons for the significant value increase in Richmond Hill, including good schools, a low crime rate, an influx of moneyed immigrants from Asia who have relatives already living in the area and more. And the town is developing fast. “When I first started [in real estate], the area around Bayview and Major Mackenzie, that was literally farmland,” says Chan. Now, the intersection offers restaurants, a top-ranking school and large houses that run for over a million.
Anne Ko, a resident in Richmond Hill, has moved four times around the intersection of Bayview Avenue and 16th Avenue.
Ko said when they sold their five-bedroom home they got $1.4 million over the asking price. When it came to purchasing their new house, Ko knew they were in for several bidding wars. “We probably put in offers for four or five houses.” Despite measures taken by the Ontario government to cool property value increase, like tax rebates for first-time homebuyers and tax increases for homes over $2 million, Ko isn’t convinced of their efficacy.
“I’m very worried about our next generation, how they’re going to afford a home,” said Ko.
7 Military Crt., Richmond Hill: listed for $1.2 million