Since my last report in May, house prices in both Toronto and Cobourg have been steady although the Real Estate people will point out that prices in August 2018 were 19% higher than August 2017 (see chart below). Inventory is below average but there is no frenzy happening like there was in the spring of 2017. Listings and sales are relatively slow – sales are down 30% from this time last year. However, they are better than earlier in the year. In August, the average price in Toronto was $765k and the average in West Northumberland (mostly Cobourg) was $479K. This is significantly up from 2 years ago when it was around $360K and way up from 9 years ago when it was around $225K.
Homes are being built in Cobourg – notably expansion at New Amherst, Condos at the Legion and 22 Queen St. and high end homes at Cedar Shores on King Street West. Another development on Nickerson Drive will see 23 detached homes – more on this below. The graphic at right shows Cobourg and Toronto prices – Click to see a larger version. It clearly shows the bubble/spike last spring for both Toronto and Cobourg and the current plateau.
Nickerson Drive Development
It’s not always smooth sailing getting a development approved. At the recent Council meeting, Cobourg’s planning department faced concerns by citizens. Because the land is narrow, the road must be narrower than usual so it’s classified as a lane and made into a “condo” that is owned jointly by the new homeowners. (It will be 17m wide instead of the usual 20m). Kelly Stewart, Nickerson Drive Ratepayers Association, said that there is already a problem with storm-water in heavy downpours so the current homeowners are concerned that drainage from their property would be the responsibility of the new people. They feel that this has the potential for a “hostile environment”. If the road were Town-owned, there would not be a problem.
The developer’s consultant and Cobourg’s manager of Planning, Rob Franklin, gave assurances that in fact drainage would be improved by the work planned and they did not agree that there would be a problem. Council then passed the required amendments to the Official Plan and the Zoning By-Law. The next step will be Site Plan approval so this project will come to Council once again.
- Housing Prices and Developments
- Two major Projects up for Site Plan Approval
- Town to sell parking lot on Queen Street