The Kelowna market continues to tighten in the lower end with only 290 homes priced for sale under $600,000. And yes, we’re now counting a $600,000 home in the lower end of the housing spectrum. There have been 532 sales under $600,000 over the past 90 days meaning there are about six or seven weeks of supply available. Supply of homes will continue to dwindle as the temperatures drop as will the volume of sales. Regardless, this part of the market needs more for sale signs else prices will continue to rise.
Total of 995 Freehold Homes For Sale In Kelowna Market
Overall, there are 995 single family residential freehold homes for sale in Kelowna (didn’t include Fintry or Beaverdel this time) including 365 priced over $1 million (that’s a lot), 126 over $2 million and 58 over $3 million. There are only eight foreclosures (not a lot). Same story in the ultra-competitive $300,000 to $500,000 price category there are only 158 homes up for sale right now and we’ve generated 288 sales over the past 90 days. The take away from this is that if you see a home that you like priced under $600,000 you really ought to put an offer in on it right away because it might not be available tomorrow.
81 Homes SOLD Sales in the $1 Million – $2 Million Dollar Price Range
Taking a quick peek at the $1,000,000 to $2,000,000 market there have been 81 sales over the past 90 days (27 per month) with 239 for sale. With 9 months of supply available this number might appear to look a little on the grim side but this segment has roared back to life after struggling with periods of over 24 months of supply.
No predictions yet from me about 2017. Kelowna continues to be a blue chip housing destination and supply shortages usually precede price increases but there are too many variables just yet to stick my neck out there.
Kelowna Condo and Homes Sales are on the move! If you’re reading a relatively obscure real estate blog from my corner of the internet it’s safe to assume you follow real estate prices and activity. We’ve all gotten used to reading about 20 offers on houses in Toronto and homes in Vancouver selling well above their asking price from absentee foreign buyers looking to park their money. In Kelowna we’ve seen the impact of plummeting energy prices in that we see fewer buyers from Alberta but they’ve been replaced by lower mainlanders who’ve cashed out and want a new lifestyle. No news there.
Prices have jumped here in Kelowna again this year as we continue to transition from a community where young people with hopes of starting a family, securing a mortgage, riding around in a mini van, volunteering, spending and contributing are finding it impossible to start out here. As we become more of a resort type community and a playground for people who have played all their cards right in other parts of the world the landscape of the city seems to change every time we drive around. Make no mistake, the new yacht club looks great, South Pandosy is way more fun these days with yoga studios, 5 dollars coffee shops and sushi restaurants. Clement, Cawston and Water street are changing or have changed for the better with new stores and shops. Tourists have no trouble finding the things they need like liquor stores, bank machines and restaurants. It’s wonderful that other people enjoy our city and help our economy but what’s the cost? The cost is that a condo now costs an average of over $300,000 today. Good or bad?
Kelowna Average Home Sale Price $636,000
Year to date there have been 2,815 residential homes sold so far this year at an average price of $636,000. This time last year, there were 2,259 homes sold at an average price of $546,000. Switching gears to apartments, there have been 1,178 apartments sold this year at an average sale price of $299,000. This compares to 797 apartment sales this time last year at $263,000. All numbers way up beyond where any reasonable person would have predicted. Again, is this good or bad for our economy? Perhaps I’m biased but I think overall the good outweighs the bad, I think prices are going to continue increasing and they’re going to continue increasing for a long time.
I’m listing a two bedroom condominium in Rutland North next week. It’s on the fourth floor, currently has a tenant paying 1,350 per month on a lease that runs for another six months with an asking price of $249,000. It’s an eight year old building on the top floor. Call me for more details.