The Royal LePage House Price Survey released Wednesday showed solid year-over-year price increases in all housing types surveyed in Kelowna.
In the third quarter of 2015, the aggregate price of a home in Kelowna rose 4.7 per cent year-over-year to $468,310.
Over this period, the median price of a two-storey home in the region saw significant year-over- year growth of 9.4 per cent to $601,828. At the same time, both bungalows and condominiums appreciated 2.2 per cent and 2.1 per cent to $464,038 and $304,943 respectively.
“Kelowna continues to be perceived as a highly attractive western Canada destination for retirees,” said Francis Braam, managing broker/owner, Royal LePage Kelowna. “We are still seeing a large number of buyers from Alberta and Saskatchewan in spite of the slowdown in the oil sector as well as from the Lower Mainland region.”
Braam adds that Vancouver buyers are realizing that they can achieve much better value in the Kelowna market currently.
Nationally, home prices showed moderate to strong year-over-year price increases in most markets in Canada. According to the report, the price of a home in Canada increased 8.0 per cent year-over-year to $502,643 in the third quarter. The price of a two-storey home rose 9.9 percent year-over-year to $615,304, and the price of a bungalow increased 6.8 per cent to $421,757. During the same period, the price of a condominium increased 2.8 per cent to $338,684.
“Economic slowdowns in energy-dependent markets, most notably in western Canada, have in part been offset by both renewed industrial activity in other parts of the country and the Bank of Canada’s recent interest rate cuts,” said Phil Soper, chief executive officer, Royal LePage. “In line with recent quarters, strong national home price increases are largely being driven by continued double-digit percentage increases in the Greater Toronto Area and Greater Vancouver, where housing affordability is already becoming a growing challenge for many individuals and families.”
“Home ownership remains a bright light amid unsettled investment and savings options in volatile global capital markets. As we lead up to election day, it’s not surprising that all of the major political parties are acknowledging the housing sector’s prominence as the foundation on which the economy has been built for years, and a critical foundation upon which Canadians can build their savings,” said Soper.