Lake Rosseau Real Estate – Spring 2023 Market
Lake Rosseau, along with Joe & Muskoka, have historically been good bell weathers for the cottage market throughout the region. With this in mind we thought an in-depth look at where the current real estate numbers point would give us a good sense of what might becoming. We'll go back 5 years to the pre-covid era with the data to try and draw out a more accurate picture of realistic trends.
Keep in mind that these statistics are for freehold waterfront properties listed on The Lakelands Real Estate Board. They include year round homes, cottages, islands and vacant lakefront but do not include timeshares or condominiums. As well, there are many private sales and exclusive listings that are not included in the sales numbers as they are not a transaction on the real estate board.
Lake Rosseau Historic Cottage & Lot Sales
- In 2018 there were 24 properties sold on Rosseau between $518,000 and $6,250,000 with a Median price of $1,587,500.
- In 2019 there were 38 properties sold on Rosseau between $570,000 - $10,283,000 with a Median sale price of $ 2,612,000
- In 2020 there were 41 cottages sold on Rosseau between $340,000 - $16,200,000 with a Median sale price of $2,744,000
- In 2021 there were 35 properties sold on Rosseau between $950,000 - $19,00,000 with a median sale price of $3,210,000
- In 2022 there were 14 properties sold on Rosseau between $790,000 - 15,750,000 with a Median sale price of $4,206,000
- Year to Date ( April 2023 ) there have been 3 properties sold between $$2,210,000 - $11,000,000 with a median sale price of $9,725,000
Historic Listings | All Muskoka Lakes
Historic Listings | Lake Rosseau
As you can see from the data above, median sale prices have continued to climb on Rosseau while other Muskoka lakes have seen prices soften. While the sales numbers are to low to get an accurate picture of all the moving parts I suspect several things are in play at the same time leading to this dichotomy.
High Interest Rates
Mortgage rates can have a much greater effect on cottage buyers in lower price ranges in my experience. Lake Rosseau, along with Joseph & Lake Muskoka, have some if the highest waterfront prices in Ontario. The average price for a Muskoka cottage was about $900,000 in March while a cottage on Rosseau ran 4 times that last year. The luxury cottage buyer is generally in a completely different position financially then most, often with little or no financing required. Interest rates, well being devastating for some, can have little or no bearing on the purchasing decisions for high-end real estate buyers.
There have been very low new listing counts for cottages and vacant waterfront lots in the last few years and that trend shows no sign of abating. Right now Lake Rosseau only has 6 cottages for sale on the Lakelands Real Estate Board, a remarkably low number historically. If we pull back and look at the entire Muskoka region, listing numbers are rebounding rapidly to more traditional volumes. The fundamental rule of supply/demand shines through in spades.
Bill C19, "The Ban Foreign Buyers Act", could put substantial upward pressure on luxury waterfront. As the Muskoka region (among others) is not one of the banned areas, out-of-country buyers who want to invest in Canadian real estate have an option. They can still purchase high-end properties as a safe haven play close to the GTA and in many cases use Short Term Rentals to mitigate carrying costs.
As the weather warms and the summer market comes into full swing we will see if this dichotomy expands or succumbs to the overall market pressures. I would love to hear your thoughts on this, feel free to contact me anytime.