Whitehorse home prices hit record highs

As home prices in Whitehorse reach new highs, officials worry about how the costs will impact residents and newcomers alike.

Recent numbers from the Yukon Bureau of Statistics show single detached homes in the city sold for over $700,000 on average this past financial quarter. That's up from the previous quarter, and an increase of almost seven per cent from this time last year. 

It's a record high, according to the bureau.

The most recent real estate report also shows condos in the city sold for an average of almost half a million dollars, and duplexes sold for an average of more than $550,000 — also record highs.

Driving people away

The Yukon NDP's housing critic, Emily Tredger, said she fears housing prices will drive people out of the territory.

"I'm hearing from people in the Yukon who rent now (and) who want to be able to own their own home, and at a different time would have had the resources to do it," she said. "But right now, they're looking around and they're saying, 'There's no way I'm ever going to be able to break into this market.'"

That could cause problems, Tredger said, at a time when the territory is trying to recruit and retain staff in the health-care and education sectors. Whitehorse has one of the lowest unemployment rates of any region in Canada, at 3.1 per cent, according to Statistics Canada. 

Tredger said the cost of housing is a deterrent for people who might fill some of those jobs.

"We are seeing the downstream effects of that because people can't access doctors. There's schools that are struggling because they are ... so short-staffed," Tredger said. "So it really affects everybody in the Yukon."

Housing stock lagging behind city growth

Whitehorse Mayor Laura Cabott said it's not just hard to afford a home in the city — it's difficult even to find one available for purchase. Yukon led the country in population growth between 2016 and 2021, with the majority of people living in the capital. Cabott said housing stock simply hasn't kept up with the influx of residents.

"The city got behind 10 years ago or more in having available lots," she said. "And we're paying the price for that now."

Though housing development largely falls under the territory's mandate, Cabott said the City of Whitehorse is doing what it can to get more houses on the market.

That means granting more permits for building and development, Cabott said. She noted the city granted twice as many permits this year as it did two years ago.

But there are also infrastructure costs associated with building new homes. That could be anything from paying for sewage services in proposed neighbourhoods to making sure the roads can be cleared. To help cover those, Cabott said, the city relies on the territorial and federal governments.

Diversity of homes needed

Tredger warned simply adding housing stock won't guarantee new homes will be affordable. She wants to see the Yukon Government support a variety of housing options — including co-op housing, modular housing and land trusts.

Economic Development Minister Ranj Pillai said the Yukon Government is considering these options. 

He noted there's been a lack of investment in rental units over the past few decades. Now, Pillai said, the Yukon Government is trying to encourage those kinds of developments. That can be done through zoning and incentives for developers.

"To support new folks coming into the territory, you have to make sure that you not only have your standard single detached homes that people may want to purchase, but you have to have, really, a diversity of options," he said. "You're going to need rentals, and affordable rentals."