October 1, 2023
If September's real estate sales seem low, it's not your imagination. This was the least amount of sales in the Central Okanagan for the month of September in at least the past ten years. With only 273 homes sold across all property types, sales were 19% lower than last September, which was the second lowest September in the past 10 years.
There's a lot at play in the current market. The market was returning to a more regular pace after the record high sales numbers in 2021. Interest rates have risen 10 times since March 2022, and although September's Bank of Canada announcement saw a rate hold, buyers have been needing to make adjustments to the overall rise in the cost of borrowing. The recent wildfires in West Kelowna, Kelowna and Peachland have put pressure on buyers looking to set up home insurance. As insurance companies will not insure properties within a certain radius of an active wildfire, buyers looking to set up insurance to remove conditions on an offer, or close on a home purchase, have been majorly delayed.
These delays will turn into an uptick in activity over October. More prospective buyers are able to confirm insurance and people are adjusting to the new interest rates. We're already seeing buyers getting more serious about their search, and people who are looking to sell before winter have been busy preparing their homes for sale.
There's opportunity for both buyers and sellers out there right now. If you're looking to make a move, let's talk strategy.
There's more condo inventory on the market which is good news for buyers. Sales were down considerably over August, but the average price of a townhome in the Central Okanagan remains steady at $710,740.
The average sale price of a Single Family home has been over $1-million since March, 2021. So far this year, the sale price has seen very little fluctuation.
If you're looking to buy or sell Kelowna real estate, contact Nyrose & Associates today!