In something of a surprise given the economic uncertainty, Canada’s recreational housing market is proving to be resilient, according to a new report from Royal LePage.

The median price of a single-family home in Canada’s recreational regions is forecast to increase 4.0 per cent in 2025 to $652,808, as demand for recreational homes – though slightly depressed as a result of geopolitical tensions and economic uncertainty – continues to outpace available supply in most markets. All of Canada’s provincial recreational markets are expected to see an increase in home prices this year.

Strong but balanced demand

“The pandemic-era scramble for recreational properties, once reminiscent of a modern-day gold rush, has thankfully eased – along with the chaos of bidding wars and thin inventories,” says Phil Soper, president and CEO, Royal LePage. “Demand for recreational properties among Canadians, and the lifestyle they offer, remains strong but balanced. While the mainstream market is more sensitive to economic shifts, demand in the recreational segment remains steadfast, even during periods of market hesitation. Many families share the deep-rooted desire to own a recreational home, and that is unlikely to change.”

In 2024, the weighted median price of a single-family home in Canada’s recreational property regions increased 2.3 per cent year over year to $627,700. When broken out by housing type, the weighted median price of a single-family waterfront property decreased 3.6 per cent year over year to $1.06 million in 2024, and the weighted median price of a standard condominium remained flat, rising a modest 0.2 per cent to $431,700.

“After three years of double-digit price growth during and after the pandemic, recreational property values have settled slightly below peak for the 2025 season,” says Soper.

Supply shortages

“Looking ahead, recreational property prices are expected to rise modestly, driven by ongoing supply shortages. New cottages and cabins aren’t being built fast enough to meet buyer demand, which will continue to support long-term price growth.”

In Ontario in 2024, the weighted median price of a single-family home in the recreational property market decreased 1.5 per cent year over year to $640,700. During the same period, the weighted median price of a standard condominium decreased 5.7 per cent to $468,900.