LUXURY BOOM
Sales climb for homes over $500,000
Luxury home sales in Saskatoon have jumped 157 per cent since 2009, according to the Re/Max Upper End Report.
The report, which looked at trends and developments in 16 major Canadian centres, classified luxury homes in Saskatoon as those listed at $500,000 and up.
In 2013 Saskatoon set a record with 507 sales above $500,000, a 15 per cent gain over the 440 sales posted in 2012.
“Sales over $750,000 saw an even sharper increase, climbing by 33 per cent to 61 units versus 47 in 2012,” the report states.
The most sought-after neighbourhoods were The Willows, Nutana, Briarwood and Rosewood, as well as Willow Grove and Evergreen.
Areas close to the University of Saskatchewan, such as City Park, Varsity View, Buena Vista, Grosvenor’s Park and Nutana have seen increased demolitions and construction of homes of more than $500,000.
In Regina, luxury sales have almost quadrupled since 2009, up 288 per cent.
“All of a sudden, we came into our own and economic prosperity hit the province,” said Rob Nisbett, an agent with Re/Max in Regina.
He noted the city lagged behind for years in real estate compared to other major cities. People were reluctant to buy upper-end homes for fear they wouldn’t get their money out of them.
As confidence in the economy grew, so did homeowners’ comfort level.
“Every report says Saskatchewan is now a haveprovince and has been for a number of years. With that confidence, people are spending their money,” said Nisbett.
Most of the higher-end home sales are of singlefamily dwellings, but they also include luxury condos.
“People are now being accustomed to — if you’re doing well, enjoy how well you’re doing. They’re buying the $1-million prices,” said Nisbett.
A realtor for three decades, he noted that in the past, even though some people could afford a luxury property, they were reluctant to appear well off.
The other driver of the upper-end housing market is the fact prices and building costs have risen.
“By the same token, those houses were available before but were never sold in the numbers that they are now,” Nisbett said.
At present, there are 10 residences in Regina and area priced at $1-million or higher on the real estate Multiple Listing Service. The most expensive is a six-bedroom, four-bath, 6,000-square-foot Wascana View mansion priced at slightly under $3.8 million.
Nationally, 75 per cent of markets experienced year-over-year percentage increases in sales. Greater Vancouver led the charge with a 36 per cent increase in luxury sales last year, followed by Calgary at 34 per cent, Edmonton at 32 per cent, Hamilton-Burlington at 31 per cent, KitchenerWaterloo at 27 per cent, Winnipeg at 26 per cent, Greater Toronto at 18 per cent, and Saskatoon at 15 per cent.