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Saskatchewan Home Prices to Increase by 26%

by Jarrett Martineau | February 5, 2008 at 05:09 pm | 342 views | add comment

A good family friend of mine made the seemingly spontaneous decision to pack up her life and move to Saskatchewan last year, to much scoffing and snooty response from many of her friends (not me, of course!), living comfortably on the Canadian west coast.

She suggested that the region was about to undergo a huge economic boom and that housing prices were sure to soar. "Sure," we said, unconvinced. How wrong we were. How right she was.

While temperatures remain low across Saskatchewan, one forecast is putting the heat on prospective homebuyers.

According to a Canada Mortgage and Housing Corp. (CMHC) report released Monday, the average price of a resale home in the province is set to jump 26 per cent to $220,000 this year and a further eight per cent to $238,000 in 2009. Last year, the average resale price increased 32 per cent to $174,000 on demand and investment dollars, according to CMHC regional economist Richard Corriveau.

In Saskatoon, the percentage increase projected for 2008 may be lower -- at 18 per cent -- but this will produce an average selling price for the year of $275,000, according to CMHC and by 2009, the average price of a resale home could reach $297,500.