The Central Okanagan’s February real estate statistics are in and the numbers show that inventory remains low, particularly for homes priced below $600k. While there are fewer homes on the market right now, the numbers show that buyers are still buying.
Last month, 115 single family homes priced at less than $600,000 went on the market. At the same time, 101 homes in the same price range were sold, leaving a net of 14 additional homes on the market. In February 2016, 232 single family homes priced at less than $600,000 went up and 149 sold for a net addition of 83 homes in the Central Okanagan.
Check out the charts below and see the differences in each price range.
Single Family Monthly Listings by Price
Single Family Monthly Sales by Price
Overall inventory for active single family homes is down significantly when compared to the previous two years. In fact, inventory for February 2017 is 29% lower than the previous year. When we compare February 2017 to February 2015 that number is even more dramatic with a 43% difference in active listings for the single family residential market.
3-Year Inventory of Active Single Family Residential
The numbers indicate that there are buyers in every price range who are looking at homes right now, including those with budgets $600K and up. With low inventory, buyers aren’t waiting to see what goes on the market during the prime Spring listing months. They want their home and they want it now.
Continued low inventory and steady demand is creating increased upward pressure on home prices. The median price for a single family home in February 2016 was $519,500. This year that number has climbed 13.52% to $589,750. Those increases are even higher for condos, which have seen a 23.93% median price increase, rising from $257,000 to $318,500.
What does this mean if you’re selling a home in Kelowna?
If you’ve been waiting for the right time to list your Kelowna property, this is it. With inventory so low and buyers still available, there is less competition for you. This means that your home may spend less time on the market and still sell for a strong price. The key to success is in choosing a great, licensed REALTOR. Excellent photos are very important and the property must be marketed to buyers both locally and from regions like Alberta and the Lower Mainland.
What does this mean if you’re buying a home in Kelowna?
With low inventory, there’s a good chance that it may take a bit longer to find the right home for you and your family. When you do find a great home, you may find yourself in competition with other buyers. Choose a licensed REALTOR who will actively look for your perfect property and can alert you to homes as soon as they hit the market. Make sure that your finances and paperwork are in order so that you can make an offer when the right home comes up.
The Bank of Canada recently announced that it will be holding its interest rate at 0.5%, keeping mortgage rates low for homebuyers. Low rates and increased demand from the Lower Mainland and Alberta means that we are unlikely to see the Central Okanagan real estate market will cool down much.
If you have questions about buying or selling your home in Kelowna, please contact our Kelowna real estate team at Walker Real Estate and we will be happy to help!