When Canada Housing and Mortgage Corporation announced that they would no longer offer insurance on second homes, some believed it would mean a slowdown in sales of recreational property.
However, since the policy was implemented at the end of May, there has been “little, if any” impact on the market, according to Re/Max. The company releases its recreational property report today, which says that they are not expecting to see a big impact from the change.
Part of the reason is that many buyers in this market have more than 20 per cent as a down payment or are able to insure the shortfall through commercial alternatives.
The report also shows that although sales have been slow recently, and there has clearly been a downturn from pre-recession levels, things are improving well.
Young, wealthy buyers are increasingly using profits from their urban property to make additional purchases in vacation spots.
Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate
More market watch: