Six Bedrooms on the Coast of Prince Edward Island
$1.67 MILLION (2.35 MILLION CANADIAN DOLLARS)
This six-bedroom, 6,500-square-foot home sits on the japanese fringe of rural Prince Edward Island, Canada’s smallest province. Built in 2008, the cedar-shingled residence overlooks the Northumberland Strait close to Basin Head Provincial Park, recognized for its white-sand seashores.
The grassy nine-acre lot is framed by mature bushes, with water on two sides and conservation land in again, all seen from the home’s ground-floor wraparound deck and second-tier deck.
The design got here from a e-book that the proprietor, Dan W. Lufkin, picked up at a ironmongery shop — “a $7.95 architectural book,” he mentioned from his residence in Connecticut. “We made a few changes, including adding a third floor, and that was it.”
A small mudroom contained in the entrance door opens into the center of the home, a pine-paneled nice room with 24-foot vaulted ceilings, a floor-to-ceiling, two-sided sandstone hearth and a staircase that climbs one wall to a mezzanine touchdown.
Doors on both facet of the hearth open to a sitting room with three home windows dealing with the water. An adjoining TV room is provided with encompass sound.
An archway within the nice room results in the kitchen, which has white cupboards, granite counters, a middle island and stainless-steel home equipment. Built-in seating in opposition to a wall of home windows varieties a breakfast nook. Also off the good room is a bed room with an en suite bathtub.
Four bedrooms are on the second ground. The master bedroom is in the back of the home, with a curved wall of home windows dealing with the water and double doorways opening onto a large deck, in addition to a hearth and twin walk-in closets. The toilet has a double self-importance, a walk-in bathe and an air-jet tub.
The third-floor turret room has a nook constructed beneath the eaves for one other mattress. Windows across the room present a 180-degree view of the Gulf of St. Lawrence within the distance.
The completed decrease degree has a big rec room, full bathtub and laundry. The indifferent double storage features a 660-square-foot residence with a kitchenette, sauna and health room.
The property is in Kings County, which has about 17,000 residents and is famend for its lobster fishing, mentioned Phil Muise, an agent with Exit Realty PEI, which has the itemizing. It is a couple of 15-minute drive from Souris, the closest city with supermarkets, fuel stations and eating places.
The widespread seashores at Basin Head are mentioned to have singing sand, due to the way in which the silica sand squeaks underfoot. The park additionally has washrooms, meals and a fisheries museum. The closest worldwide airport is in Charlottetown, Prince Edward Island’s capital metropolis, about an hour’s drive west.
Prince Edward Island, recognized for its fertile farmland and dramatic shoreline, is Canada’s smallest however most densely populated province, with about 150,000 residents. It can also be probably the most reasonably priced.
The median sale value for a single-family residence in 2019 was 236,700 Canadian ($168,000), about half of the nationwide median, in line with the Canadian Real Estate Association. For that price, you could typically get a 2,400-square-foot, three-bedroom, two-bathroom home, Mr. Muise said.
Before the coronavirus pandemic forced the island’s closure, the housing market had been on a steady ascent, with a 57 percent increase in the average sale price from early 2015 to early 2020, according to the Prince Edward Island Real Estate Association.
Greg Lipton, the association’s president and the broker-owner of Blue Ocean Real Estate, said that was due, in part, to an inventory shortage over the past four years, the result of an influx of retiring baby boomers and immigrants. “For immigrants to get into Prince Edward Island is easier access than across the rest of Canada,” he said.
The 227 home sales on the island during the first quarter of 2020 reflected a 12 percent increase from the same period last year. Residential sales during March totaled 27.3 million Canadian dollars ($19.4 million), a 14 percent increase from March 2019, with the average sale price climbing 20 percent, to 273,206 Canadian dollars ($194,000).
“Obviously, these were deals that had pretty much started in the fourth quarter of 2019 and early January of this year,” Mr. Muise said.
The shutdown has only deepened the supply shortage. There were 667 active listings at the end of March, a 15 percent drop from last year, and the number of residential listings added during the month — 150 — was the fewest in 17 years.
Real estate agencies are considered an essential service and are still operating, but completing deals remotely has been difficult, Mr. Lipton said. All nonessential travel into the province is currently prohibited. As of May 1, Prince Edward Island had 27 documented cases of Covid-19 and no related deaths, according to a government website.
“Anyone coming in is checked at the bridge,” Mr. Lipton said. “If you want to come to your summer home, you should probably not come for now, unless it’s absolutely necessary.”
Who Buys on Prince Edward Island
Prince Edward Island’s Provincial Nominee Program invites immigrants with certain labor skills or business investment opportunities to apply for permanent residency. The program has proved most appealing to buyers from India, China, the Philippines, Vietnam and Taiwan, according to government data.
Many of those newcomers are buying homes and opening businesses, Mr. Lipton said. “We now have a lot of good restaurants in Charlottetown,” he added. “All kinds of cuisines.”
Among foreigners buying second homes, Americans are the most common, said Joshua Egan, a real estate lawyer in Charlottetown.
“If you are looking to acquire property beyond those restrictions, you contact a lawyer and we file an application with the Island Regulatory and Appeals Commission, setting out what you’re planning to do with it,” Mr. Egan said. “The commission looks at it and makes a recommendation to the island’s Executive Council, which decides whether to approve it or not.”
The commission considers various factors, including whether the area in question already has a high percentage of nonresident ownership, he said.
Mr. Lufkin, the property’s owner, said a group of family members bought the home together, using their combined land and frontage allowances to meet the requirements. A nonresident interested in buying the property now would likely make the offer subject to application to the commission and approval by the council, Mr. Muise said.
Buyers commonly use lawyers to handle transactions. The agent commission of 5 percent is paid by the seller.
Languages and Currency
English, French; Canadian dollar (1 Canadian dollar = $0.71)
Taxes and Fees
The annual property tax on this home is 15,854 Canadian dollars ($11,240), Mr. Muise said. Nonresident buyers must pay an additional tax of 50 Canadian cents for each 100 Canadian dollars of valuation.
Transaction fees include a land transfer tax of 1 percent of the sale price. Legal fees depend on the size and complexity of the transaction, but on a typical single-family home, they are around 1,300 to 1,600 Canadian dollars ($922 to $1,134), Mr. Muise said.