ELY – More and more people seem to have discovered the North Country can be more than just a getaway to soak their canoe paddles or wet a fishing line during the summer tourist season this year. Lodge and resort bookings and camping permits are at an all-time high. Outfitters are clamoring to keep up as summer turns to fall.
With increasing public health concerns of the coronavirus in large cities to the south, historically low mortgages rates, and relatively low prices for existing homes and vacant lands, many people are making permanent moves to the great outdoors.
A local realtor and resort owner said he sees a “perfect storm” going on right now in the real estate market around the Ely area.
“Low interest rates, a loosening up of the mortgage market and some flight from larger cities are all happening at the same,” said Kerry Davis of Canoe Capital Realty. He admitted that recent months have been a sort of “catch-up time period” as the market and sales recover from spring and early summer when sales slowed as a result of coronavirus pandemic worries and shelter-in place guidelines.
“Our in-town residential (inventory) is still reasonably priced compared to areas like Minneapolis and Duluth. Some of the sales I have experienced have been investors looking to flip or rent. Others have been individuals that have found they can work remotely,” Davis said. 
Davis related that he has recently seen some higher-priced sales, $500,000-plus, occurring that were pretty slow for a long time.
“I had multiple inquiries about a $1.3-million lake home only to be beat to the punch,” he said. “It went sale pending, and I could not even get a showing. Inventory is still low and nice upgraded homes are selling fast, many not even hitting the MLS (multiple listing service).”
The Ely area continues to suffer from a lack of jobs for new younger families, and problems with poor internet service around most of the area, both factors that could improve the market even more if they were rectified. Steps are being taken by the city of Ely and private entrepreneurs to improve internet service.
“If that happens, we would be getting a bigger influx of full-time residents,” Davis added.
Phil Hyde, of Bear Island Land Co., has been in the real estate business for 29 years and stated simply, “I’ve never seen anything like this before,” when asked about the local real estate boom.
He said that business for his eight real estate agents picked up in spring like every year, but this summer has been unprecedented.
“By the sheer number of transactions, we are doing twice what we do in a typical summer,” Hyde said.
“For whatever reason, everyone seems to have the same idea that this is a good time to make a change into something bigger or something smaller, especially for houses in town,” he said. “I’ve noticed all summer that a decent house is not on the market very long, maybe a day or two. There are multiple offers and they are moving pretty quickly.”
Sales of vacant land in the Ely area seem to have picked up this summer along with existing house sales.
“In the last five or six years, vacant land did not sell as quickly,” Hyde said, “but all the different real estate categories have really bumped up this summer. It seems like all our agents are just exhausted. They are running, running, running. We have an excellent team here.”
Hyde attributed the recent real estate sales boom in Ely in part to the coronavirus.
“I believe a lot of people are looking at the Ely area as a relatively safe place to be,” he said. “I think many (recent house buyers) have always had it in their plans to move here at some point in time and COVID accelerated that. Put that together with the low interest rates and the fact that many more people can work from home - all those factors have come together.”
Paul Schurke, owner of Wintergreen Dogsled Lodge on White Iron Lake, said the property sales boom is somewhat beneath the area real estate market radar screen.
“The two backlots adjoining our place on White Iron have been for sale for over 15 years and both got snapped up in early July,” he said.
He estimates that several hundred new residents could soon join the Ely area once the dust settles on this current real estate boom.
“Anecdotally, I’m finding that about half of these buyers are year-rounders who are seizing the moment to ditch the office scene for quality of life and telecommute,” he said. “I think this all bodes very well for the Ely (and Lake Vermilion) area.  The many newcomers I’ve met all seem progressive, engaged folks, very excited to be here, and very excited to advocate for our region’s famed quality of life features.” 

Folk School welcomes newcomers
A special event for new cabin and home owners, and Ely old-timers, too, will be held at the Ely Folk School and also online via Zoom on Saturday, Sept. 12, from 5 to 6 p.m.
“We’re pleased so many of you have discovered our Northwoods paradise,” said Paul Schurke, chair of the EFS board of directors. “We consider the surge of home and cabin purchases here this summer our ‘silver lining’ of the virus crisis. We’re happy to have you with us. To seize this moment ourselves, EFS is hosting an event to formally welcome all these newcomers and to engage them with our community.”
The EFS hopes to answer basic questions a newcomer might have.
Perhaps you’re wondering:
• Where are the best places to bike or birdwatch?
• Where can we get firewood?
• Where can we rent pontoon boats or snowmobiles?
• Are handypersons available to look after our place or do repairs?
• How can I find out where to fish?
• Where is Finn Hill and why do they call it that?
• How do we drain our pipes to prevent winter freeze-ups?

• Why is there an old gas station pump on the Angleworm Trail?
“Let us know your questions and we’ll include them in this program that will feature a panel of local experts,” Schurke said. “This event will also identify topics for future targeted programs for folks interested in specific area resources. We look forward to welcoming you to Ely and providing you a jumpstart on getting to know your new ‘end-of-the-road’ community.”
Register for this free event and submit questions at www.elyfolkschool.org.
“We’ll have a gift bag for those who can join us at our downtown Ely school (limited socially-distanced seating) and we’ll provide link for those joining us online,” he added.