FILE - In this Jan. 4, 2019, photo a sign is displayed outside a house for sale in Pittsburgh’s Lawrenceville neighborhood. A pullback in mortgage rates has helped boost homebuilder stocks this year after a dismal 2018, when the U.S. housing market slowed under the weight of higher borrowing costs, rising prices and a thin supply of homes for sale. (AP Photo/Keith Srakocic)

Okanagan real estate market heads into spring

Residential sales rose in March per report from Okanagan Mainline Real Estate Board (OMREB)

Houses are taking longer to sell in the Okanagan compared to this time last year.

Residential housing sales from Revelstoke to Peachland saw a 13 per cent decrease from March 2018.

With 545 sales this March, it was an increase from February’s 407 sales, according to a report from OKREB.

According to the report, March was in line with a typical busy spring market with average sale prices of $510,435, which was four per cent above February and two per cent lower than March 2018.

“Interestingly, average days on market, a gauge of how long it takes for homes to sell, rose to 92 days from February’s 88 days and last March’s 79 days,” said OMREB president Marv Beer. “Usually, when activity increases we see the average days’ indicator shorten, yet here we’re seeing the opposite.”

READ MORE: Residential sales in Okanagan fizzle

READ MORE: Real estate consultants predict renting in Kelowna will get easier

The report states that despite a 44 per cent increase in new listings in February, the supply of homes for sale decreased from 12 per cent over the month’s inventory.

“Despite steady increases in new listings over the past several months, housing supply is light as we head into the spring market, which is concerning and points to a problem we’ve been stressing for a while: a generalized lack of housing supply,” said Beer.

“There are troubling trickle-down effects with these one-sided government policies, especially for young families trying to put a roof over their heads.”

READ MORE: Kelowna realtor investigating “earth homes” for the Okanagan

If Millennials, currently the largest first-time home buying group, can’t buy, they will likely stay renting longer, spelling bad news for rental markets already facing plenty of competition for few vacancies. If housing supply stays low, those who still qualify under the new stricter mortgage rules may find increased competition for scarce housing, often a catalyst that drives up pricing, the report said.

READ MORE: Kelowna’s first zero waste grocery store has successful first day

“At the end of the day, the answer likely lies in governments doing things differently and it’s likely a basket of actions to fuel creation of a spectrum of affordable housing to accommodate a range of population requirements,” said Beer in the report.

To report a typo, email:
newstips@kelownacapnews.com
.


@KelownaCapNews
newstips@kelownacapnews.com

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Morning Start: Big Bertha is the oldest cow to ever live

Your morning start for Tuesday, July 14, 2020

Police search for suspect in early-morning assault downtown Kelowna

Kelowna police received a report a woman had been assaulted by an unknown man on July 12

Kelowna glider pilot crashes in the Columbia Valley

The Transportation Safety Board is investigating the circumstances of the crash

Gun enthusiasts arrive in Kelowna for the Western Canadian Skeet Championship

The competition will be held from July 17-19, 2020 in Joe Rich

$10,000 to support LGBTQIA2S+ youth in the Okanagan

The endowment has been provided by the First West Foundation

B.C. records 62 new COVID-19 cases, two deaths since Friday

Province has just over 200 active cases

Hitchhiker with metal pipe prompts RCMP to close of Highway 1 near Salmon Arm

Police respond to report of man who pointed what was believed to be a rifle at passing driver

Canadians torn on scaling back COVID-19 benefits to save money: poll

Of those surveyed, 78 per cent said they were worried about the size of the deficit

Summerland approves solar project

Despite community opposition, council voted 4-3 for Cartwright Mountain location

‘Trauma equals addiction’: Why some seek solace in illicit drugs

Part 2: Many pushed into addiction by ‘toxic stress,’ says White Rock psychologist

Hotel rooms for B.C. homeless too hasty, NDP government told

Businesses forced out, but crime goes down, minister says

Two positive COVID-19 cases at Oliver farm

The risk of exposure to the general public related to this farm is considered to be low

Oliver Town Hall closed to public as staffer displays COVID-19 symptoms

One staff member at Oliver Town Hall is being tested for coronavirus

Wage subsidy will be extended until December amid post-COVID reopening: Trudeau

Trudeau said the extension will ‘give greater certainty and support to businesses’

Most Read