Real Estate in Timmins, Ontario: Timmins, Ontario is an important economic center in northeastern Ontario, with a population of about 43,000 and an industry driven by natural resources.
There has been little or no increase in the city’s population over the past decade, but due to the rise in the prices of gold, one of the economy’s most abundant resources, real estate prices have also been projected to rise.
In addition to gold, the city’s economy is also dependent on the local industry of base metal mining.
Just know about REAL ESTATE IN TIMMINS, ONTARIO
Real Estate Market
Compared to other cities in Ontario, Timmins has little real estate construction activity. Only 9 new single-detached units were reported in the second quarter of 2012, and no condominiums or other high-density populated buildings are currently being built. The lack of growth in the city’s population is the main contributing factor for this lack of construction.
As shown in the above table, the construction activity has improved in 2012 as compared to 2011. And yet, more construction can be expected in the third quarter.
Although new mining ventures are being undertaken and areas around the city are being explored and developed, employment opportunities within Timmins are still limited. Also, there is a very low migration rate and now there is little demand for new homes or buildings in the city. Considering all these facts, one would automatically assume that real estate prices in Timmins are low. However, this is not the case.
Real estate prices in Timmins have seen a record 29% increase over the past four years. Rising gold prices, as well as rising demand for resale properties, can be attributed to these rising real estate prices.
With a very limited amount of new construction, non-availability of rental housing, and very few units listed for sale, buyers in Timmins, unfortunately, have little choice. As a result, prices are high and properties often do not sit in the market for very long. Offers are usually submitted hours after they are listed on the Marketplace, and bidding wars are not uncommon.
LOCAL ECONOMY
Timmins was founded in 1912, following the discovery of gold in the area. Since then, the economy has seen its ups and downs but has developed into a small town. While the economy is still mainly dependent on the mining of gold and base metals, other industries such as forestry, education, telecommunications, and tourism play a secondary role.
The global financial crises of 2007 and 2008 had little or no impact on the local economy as gold prices remained high at that time. All other industries were affected, but still had a little negative impact on the city’s economy. This alone explains the extent to which mining activity in the region affects the city’s economy.
Medical facilities, regional transportation, and recreational facilities are rapidly improving within Timmins, and the city continues to attract more visitors and tourists each year. However, the city’s population has seen a slight decline in the past decade. According to the 2001 census the population was about 43,600. In the 2006 census, this fell to 43,000, and in the most recent 2011 census, it was declared around 43,100.
Demographics
Most of the local population consists of people of European descent. About 53% of the population speak English as their first language, and about 39% speak French. About 88% of the population is Christian.
Forecasts
The increased mining activity is an indication that many new employment opportunities will be available. However, the current migration rate is minimal, the workforce is aging and young people are migrating to larger economic centers. Timmins Economic Development Corporation (TEDC) and Timmins Local Immigration Partnership (TLIP) have taken proactive measures to improve in-migration, but the results of these strategies have not yet been felt significantly.
The real estate market in Timmins is driven by supply, demand, and buying power like other markets throughout Canada. Currently, supplies are short, while electricity purchases are low, as mortgage rules went into effect nationwide in July 2012. As is the case with Ontario and other regions of Canada, Timmins expects to see some modest price reductions. next year or two. Meanwhile, there may be a slight increase in prices.
The low migration rate has resulted in fewer new constructions and will not improve dramatically anytime soon. Activity in the construction sector will increase, but the amount needs to increase to continue supporting the economy.
The demand for single-separated units will continue to be high, and their prices will continue to rise for some time.
Golden Opportunity To Invest In Timmins Realty
Timmins is fast becoming a “golden opportunity” for real estate investing. Timmins is home to one of Goldcorp’s biggest projects to date, The Hollinger Open Pit. A quick history lesson- The Hollinger Gold Deposit was discovered by the founders of Goldcorp in the early 1900s and is known as one of the “Big Three” mines.
The mine closed in 1989 and has since been managed by Goldcorp Porcupine Gold Mines (PGM) as an open-pit mine.
Last year, the company discovered a new 5.4 million-ounce resource of ore within a previously closed 105-year-old Dome Mine, which they plan to reopen and dig. At present, the planning of this process is going on.Â
Naturally, gold comes in a silver lining! The booming economy in Timmins is attracting not only people seeking job opportunities but also business and real estate investors. As such, the vacancy rate is expected to decline sharply from the current rate of 6.4 percent. The Timmins real estate market is booming, so it would be wise to keep a close eye on it and arrive early before prices jump.
Know everything about Timmins and Real Estate in Timmins, Ontario at https://www.timmins.ca/