Annapolis Valley Cottage Market Trends (2023)

The Annapolis Valley cottage market currently favours sellers, but it is showing signs of stabilizing for the remainder of 2023. Typically, out-of-province families, couples and retirees from Ontario and B.C. are driving market activity; however, the market has slowed, and out-of-province buyers are finding it to sell properties in BC and Ontario to purchase properties in Nova Scotia.

Average Annapolis Valley cottage price decreased by 3.5 per cent year-over-year (from $235, 822 in Q1 2022 to $244,166 in Q1 2023). While the average number of transactions decreased by 33 per cent year-over-year (from nine in Q1 2022 to six in Q1 2023).

A core challenge facing the Annapolis Valley is low inventory, particularly for waterfront properties which are in high-demand from buyers. And with approximately 900,000 Baby Boomers set to retire over the next three years, causing the greatest intergenerational transfer of wealth to date, Annapolis Valley is predicted to experience more issues with inventory, causing continued price increases in an already tight market.

“I’d advise clients to buy sooner rather than later, especially if there’s an opportunity for a property to be a good long-term investment. On an optimistic note, a major shift in wealth and ownership could fuel development in the area, as old cottages are torn down to make-way for new builds. With that said, families should prepare themselves for what could potentially be a complicated situation by working with a legal expert and an experienced local agent to ensure they’re receiving accurate advice on your investment as possible,” says Colin Crowell, Owner, RE/MAX Banner Real Estate.

Sales in the Annapolis Valley cottage market are expected to continue to decline about 20 per cent for the remainder of 2023, while the average sale price expected to increase by five per cent.