No Internet, no thanks, cottage buyers say

Rustic, off the grid summer cottages don’t have the romantic appeal they used to, as buyers increasingly demand more features, cottage experts say.

“For many of us a cottage was a place our grandparents owned in a structure primarily made of wood that the family opened on May 24 weekend and closed Thanksgiving,” said Cameron Mitchell, a Collingwood-based mortgage specialist at a panel hosted by the Bank of Montreal on Thursday. “Families are today buying recreational properties that are for the most part utilized for all four seasons.”

Buyers today want all the bells and whistles, not just indoor plumbing and four season use, but also cable and Internet. Some of the ultra luxury properties also feature infinity pools, hot tubs, wine cellars, and theatre rooms – uncommon features a decade ago.

“I wouldn’t want to be without hot water today, but for years I did. Times change and needs have changed over the years,” said Rick Crouch, former president of the Georgian Triangle Real Estate Board. “There are a small percentage of people willing to rough it, but they are getting fewer in number.”

Although median prices have risen about 4 per cent from a year ago, values are still off the 2007 peak in Ontario cottage country.

Analysts say prices are still down by as much as 20 per cent in some areas. The Ontario market has 13 separate regions with waterfront property ranging from $180,000 to the multi-millions.

The lower end of the market and mid-range properties have remained balanced, with sales and pricing about the same as last year.

Where sales seem to have increased is at the top end of the market. Sales over the $1 million mark have jumped by about 11 per cent this year over last according to ReMax Ontario Atlantic Canada.

“It wasn’t too many years ago that if you saw a million-dollar sale go through our board you took notice. But that’s not the case anymore,” said Crouch.

This January, Crouch sold a property for about $2.75 million, at the time the highest price paid for a residence in the Georgian Triangle area, which includes Blue Mountain and Collingwood. Less than two weeks later another property sold for $3.25 million.

“My 15 minutes of fame lasted about 12 minutes,” quipped Crouch.

Analysts say a recovering economy and a buoyant Bay Street financial sector in Toronto has helped to boost luxury sales in cottage country.

“Well-heeled buyers had a good year with good bonuses last year and it looks like they’re rewarding themselves,” said Crouch. “Where sales seem to be sluggish is in the under $350,000 range, where people may be most impacted by job loss or the economy.

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