This Ontario city is being called the hottest in Canada for housing
While Toronto's housing market has been showing signs of cooling from new levels of competition and ridiculous unaffordability, there is another city in Southern Ontario that is getting particularly out of hand when it comes to real estate.
By the end of last year, Kingston — about a three hour drive from T.O. on the way to Ottawa — had experienced the fastest-rising prices in the entire country, with home prices overall spiking nearly 40 per cent, and median prices of single-family detached homes specifically increasing a whole 44.3 per cent when compared to the year before.
Though the price of an average Kingston home as measured in the last quarter of 2021 was slightly less than the price of a Toronto condo at the time, prices in the more north-easterly locale continue to reach new highs as Toronto's slow down.
According to a new report from RE/MAX, Kingston was still seeing "sizzling" price growth in the first two months of this year despite fewer actual transactions compared to the same time in 2021.
The company's experts wonder if it could be considered the hottest housing market in Canada thus far this year.
In February, the MLS Home Price Index in the area was up 30.9 per cent, and average list prices hit a new record high, marking a 26.1 per cent spike compared with the year prior — a bigger jump than the province as a whole when looking at resale stats from the Ontario Real Estate Association.
March's HPI gains were even more substantial, and average prices were again 26 per cent higher year-over-year when looking at March and the whole first quarter compared to the same time last year.
Home sales volume in Kingston fell around 11 per cent in January and February compared to the same two months in 2021 — pretty steady with the rest of the province — while tighter supply showed its impact.
"For a population of approximately 136,000, Kington might be Canada’s hottest housing market," RE/MAX writes.
"What is supporting this red-hot market? Buyers who live outside the region, many of them coming from Toronto. With North America’s fourth-largest city becoming too expensive for many young families and professionals, many of these households are reconsidering where they live... many have chosen to leave major urban centres in favour of smaller towns in the province and across the country."
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