Okanagan real estate still peachy despite September slow down

Posted by on Tuesday, October 6th, 2015 at 2:39pm.

Sales activity in Kelowna and the Okanagan-Shuswap showed continued strength throughout September after a very busy summer.

Okanagan Mainline Real Estate Board (OMREB) president Christopher Miller reported that most sectors in his jurisdiction had a hot summer which appears to be extending into the fall.  While the pace slowed in the final weeks of September, consumer confidence is high, due in part to the positive economic growth in the province.  While sales were lower in September 2015 compared to last year, year-to-date statistics show growth in all areas.

Inventory remains lower than area Realtors would like with no substantial increase in the last few months.  There are very few listings in the Hospital area of Kelowna, in particular.  It is surprising to note that despite low inventory there has not been corresponding upward pressure on home prices. 

Comparative Analysis: Kelowna and area numbers 

As part of the OMREB Central Zone (Peachland to Lake Country), September sales of all property types fell 10.5% over this time last year, however there are good increases in the year-to-date stats.  Falling numbers in the single family home sector is a factor in September’s drop.

Two-bedroom condo units remained a popular choice among buyers, particularly in downtown Kelowna.  

Here’s the breakdown: 

Activity                                   2015                 2014              Change 

Total Sales Sept:                       495                   553                  -10.5%

Total Sales YTD:                    4,582                4,294                  + 6.7%

Residential Sept:                       461                   502                -   8.2%

Residential YTD:                    4,280                3,926                 + 9.0%

Single Family sales:                  212                   247                 -14.2%

Single Family YTD:                2,173                2,013                 + 8.0%

Days on market (average)          62                     69

Days on Market YTD:                64                      73      

New listings Sept:                   871                    782                 +11.4%

Total Inventory:                   3,604                 3,533                  + 2.0%

 

Comparative Analysis:  Board-wide 

Sales activity in September across the OMREB, from Revelstoke to Peachland fell by 9.7%, however the year-to-date figures show a different story.  

Activity                                   2015                 2014              Change

 Total Sales Sept:                      785                   869                 -9.7%

Total Sales YTD:                     7,001                6,760               + 3.6%

Residential Sept:                       714                   780              -   8.5%

Residential YTD:                    6,407                6,077                + 5.4%

Single Family sales:                  355                   403                -11.9%

Single Family YTD:                3,361                3,226                 + 4.2%

Days on market (average)          94                     99

Days on Market YTD:                 89                   104      

New listings Sept:                  1,301               1,238               +   5.1%

Total Inventory:                     7,266               7,273               -    0 .1% 

Interpreting the numbers

For a professional interpretation of these statistics and how they may apply to your home purchase or sale, consult a professional Realtor who is familiar with your area of the Okanogan Region.  Your Realtor has access to research tools such as past and present listings, how to negotiate to get you’re the best price and how to close a sale while paying attention to hidden details.  In order for a sale or purchase to go smoothly and successfully, it’s important to be realistic about what the market can offer you in terms of value.

Remember, home prices can vary throughout the Okanagan depending on the type of property and the location.  A Realtor can give you honest feedback on how properties in your area are faring and do some comparative analysis on what properties in your neighbourhood are selling for and why they are priced that way.  

The right price point is a critical piece when listing your home.   The property price must be in line with what the market will bear, not with what the owner believes to be fair value.    To completely understand current market trends and conditions, talk to a professional Realtor.

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