Kelowna Homes Sales Update July 2019
The Kelowna residential real estate market continues to chug along and no better time than the middle of summer for a quick housing market update. The 2nd quarter of this year saw us record 729 residential sales at an average sale price of $736,000. Both of these numbers are down from Q2 2018 when we registered 770 sales at $776,000. Both numbers are down 5% quarter to quarter.
Is this the continuation of a trend or an anomaly? What will happen to prices next year? If prices are soft, why do I see so much new construction all over town? This is the NDPs fault, right?
Tough questions. You’re welcome to chime in but my answers would be that it’s a short term (okay, medium term) trend which will reverse itself. Prices should stabilize….will never get below $700,000. Developers understand demographics better than most and know full well Kelowna’s population will continue to grow over the next ten years. As for our provincial government it’s too easy to blame them but at the same time they don’t seem to be helping things. Tougher tenancy rules for landlords make buying an investment property less palatable and despite most people not being subject to the empty home tax, everyone is angry about it. I’ll reserve judgement on the current government until the pendulum swings back the other way when we find out if this tax is eliminated or just tweaked a little.
Condo Prices Are Up Over Last Year
Let’s end on a positive note. Stop what you’re doing and go out and make an offer on a condo. Any condo. Condo prices are up. Average sale price for apartment condos 2nd quarter 2019 was $372,000 compared to $354,000 last year. This is way up from the average of $255,000 in 2014. The smartest people in the world are those who bought a condo when their kid entered first year at UBCO or the O.C. and sold this year.
Thanks for reading and please share this with family or friends thinking of buying or selling