EDMONTON -- The number of people investing a million dollars or more to buy a home in Edmonton is on the rise.
RE/MAX River City realtor Jason Holland says that over the past year, luxury home sales have nearly doubled. Between Oct. 1, 2020, and Oct. 1, 2021, 239 homes with a price tag of more than a million dollars have sold. That’s compared to 140 in the previous year.
According to Holland, more buyers are not just wanting a place to sleep, but a home with a unique experience to offer.
“Whether that’s a sports court, whether that’s a large yard, whether that’s a rooftop patio or view, or golf simulator room,” Holland said. “The main driver is people are taking more stock in what their home has to offer them.”
Other popular wish ticket items include wine cellars and spa rooms.
Interior designer Lauren Kyle says the trend has lead to more high-end product options available to meet the demand.
“It’s really interesting to see these companies come and really have an interest in the luxury market in Edmonton,” Kyle said.
“As we know, we all just went through a pandemic and it’s become really important that people are comfortable in their home and have an environment that’s really special and liveable.”
Holland shared how more and more buyers hope to find that luxury in mature neighbourhoods.
“What people are looking for is proximity to amenities, downtown, and then you also have the luxury of mature trees, established neighbourhoods, and community centres,” he added.
“Edmonton is a city of quiet wealth. Surprisingly, you don’t really think people are worth money or have that kind of luxury money to afford those properties. But we have noticed there’s no shortage of interest in these types of (homes).”
Within the last year, Holland said more people are interested in buying turn-key homes that are ready as opposed to waiting for a new build.
“Most of the time, (these transactions) involve people who are very busy, owning businesses or careers that just don’t offer the time to build.”
Over the past year, 128 infill homes sold for more than a million dollars. That’s compared to only 72 in the year before.
“Two, three years ago there was nothing like that on the market or even being built,” Holland said. “When some of these products come available, they go very quickly and that depends on what that property is offering, how unique the design is.”
Thirteen properties sold for at least $2 million compared to five in the last year. In 2019, nothing sold for over $3 million. To date, five sold this year.
While a million-dollar property is far out of reach for many Edmontonians, Holland said a lot of people are upgrading.
“With good interest rates, people essentially can move up into a different price point category and essentially their mortgage prices are the same,” he said. “We’re seeing that across all price points.”
