Kingston is now home to the fastest-rising home prices in Canada, according to a Royal Lepage report.
The report states that home values in Kingston have risen 38.1% year over year for an average home price of $722,100, in the same period prices of condos rose 20.1% to $423,600.
The report estimates 40-50% of buyers in the area are from outside of Kingston, the majority of whom come from the GTA.
“Kingston continues to see high demand for properties, which are selling at record prices as inventory remains limited,” said Royal LePage Area Manager Bob Armer.
“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.”
While the increasing values are a welcome sight for property owners who can look at their home as an investment, affordable rentals are becoming increasingly out of reach for many young professionals in the City of Kingston.
A 2021 municipal report stated the average cost of a one-bedroom rental in 2020 to be $1,145, but those currently seeking accommodations would now be hard-pressed to find a suitable home at or under that price point.
Data from two online rental hubs, Rentboard and Zumper, places the current average monthly cost somewhere from $1,349 to $1,540, almost 20% higher than the provincial average.
If a one-bedroom accommodation falls within the range of the average price, a full-time, minimum-wage worker can expect to use upwards of 50% of their pre-tax earnings on a rental, and that’s before considering internet and utility costs.
Rental prices in Kingston often draw closer in line with cities like Ottawa and Toronto than other municipalities, with costs often doubling those in Montreal.
For many living and working in Kingston, that ultimately means settling into shared housing spaces.
Royal LePage’s report anticipates housing demand in Kingston to outpace the supply in the near future.
