Housing Costs

Although we live in a community some distance from Radium Hot Springs, we, too, have seen an increase in absentee homeowners. As described in this CBC Story, we see both good and bad from the development that occurs as folks look for other lifestyle, retirement, or vacation opportunities. Compared to Calgary, we enjoy a benign climate; while I mowed grass this weekend, our Calgary friends were scraping windshields, and shoveling walks & driveways. The impact is felt in other ways as well. Summer dwellers are less likely than year 'round residents to support the construction of winter or all season recreational facilities, and at times, may support initiatives that interest them only, as they can access their regular needs (health care, shopping, etc.) on their return home. To a small extent, the taxes they pay may also increase the municipal tax base, helping to reduce overall costs. However some costs are unavoidable. Water & sewer systems, roads, and other infrastructure must be built for the maximum use, not the annual average. Schools have reduced in size and offerings, as families move away. Youth employees are unavailable, as those that are present are vacationing, not seeking jobs.

On the other hand, if their interests parallel yours, it is possible to use the facilities they want in their absence. If you are employed in an industry tied to the development of housing, your opportunities are increased -- the need for skilled trades in these blossoming areas has increased the opportunities and wages of all those in the construction trades. Sole proprietors, needing no staff, also have an advantage, as might folk in the accommodations business. What was once a seasonal business based on vacationers, has now expanded due to the construction that occurs in the off season -- your motel room is filler 12 months of the year instead of three or four.

Unfortunately, many non-residents have income far greater than members of the local community. In our instance, the value of our home has increased by more than 55% in the past 3 years. This has placed the current market beyond our reach, and we are indeed fortunate that we purchased a home immediately upon arrival, as had we waited, we would be effectively priced out of this market.

It is also a challenge for small business operators to find staff. If people cannot find affordable housing, they will not move to a community. I can't imagine trying to operate a business such as a Tim Horton's, Home Hardware, or other small business when your staff need an hourly wage of $20 or more to afford to live in the area. I have heard that businesses in Invermere, just south of Radium, run a daily bus to transport staff from Cranbrook, an hour and a half away. This allows them to draw from a labour pool already settled in a somewhat less expensive town. However, I'm not sure that I'd want to be commuting on a bus daily instead of the 20 minute walk I now enjoy.