It’s not too big and it’s not too small. It’s the perfect combination of downtown lifestyle and suburban comfort. And, with commute times from the outskirts to the city centre approximately twenty minutes, Kingston, Ontario, is just right. It truly seems like the perfect place to live. Perhaps, that’s why it had the highest rate of home price appreciation in the entire country last quarter.
According to the Royal LePage House Price Survey, the aggregate price of a home in Kingston increased 38.1% year-over-year to $722,100 in the fourth quarter of 2021, while the median price of a single-family detached home increased 44.3% to $780,600. These figures claimed the top spots among the 62 regions covered in the quarterly report. During the same period, the median price of a condominium increased 20.1% to $423,600.
The COVID-19 pandemic, with its widespread lockdowns and total overhaul of how many of us work, learn, and perform just about every daily activity, accelerated an already growing trend in Canada; city dwellers heading in droves to smaller towns and secondary cities outside of the country’s largest urban centres. Homebuyers from the Greater Toronto Area looking outside the city limits have made a significant impact on the real estate markets of many regions in the Golden Horseshoe. Kingston is certainly one of them.
“Kingston continues to see high demand for properties, which are selling at record prices as inventory remains limited,” said Bob Armer, area manager, Royal LePage ProAlliance Realty. “This is largely driven by an influx of out-of-town buyers who are looking to move away from large urban centres or purchase recreational properties.”
Armer estimates that 40-50% of buyers today are from outside the region, with a majority coming from the GTA.
Kingston boasts a vibrant and diverse collection of restaurants; a lively art scene and popular summer festivals; a thriving job market with great opportunities in healthcare, post-secondary education and manufacturing; and, is home to Queen’s University, St. Lawrence College and the Royal Military College of Canada. Just a short drive to the west, and you find yourself in the popular vineyards of Prince Edward County. A few kilometres north, and you’re in cottage country. Best of all, the city is located along the St. Lawrence River, great for sailing enthusiasts and with easy access to the Thousand Islands.
With all that the area has to offer, it’s no wonder the city has become so popular among Torontonians.
“Almost every listing sells in a multiple-offer scenario, which makes it very challenging for locals and first-time buyers to compete,” added Armer. “Buyers from outside the region do not contribute to the local supply of housing stock as they don’t list their home in Kingston, putting further upward pressure on home prices.”
Royal LePage anticipates Kingston is in store for a brisk spring market, as growing demand continues to outpace supply. To learn more about the Royal LePage House Price Survey, check out the national blog post.
