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.

Just Posted

More childcare spaces coming for Kelowna families

The provincial government stated that additional funding will create 68 more spaces in the Okanagan

Rockets grab win over reigning league champs in first game of road trip

Kelowna beat the Prince Albert Raiders 2-1 Friday night, take on Saskatoon Saturday

GoFundMe started for Kelowna family who lost pet, home in Rutland fire

A fire tore through a Rutland four-plex in the morning on Dec. 6

Winter Blues Festival returns to Lake Country

Harpdog Brown and the Uptown Blues Band headline the 2020 show on Jan. 25

Habitat for Humanity Okanagan receives $20,000 grant

The organization announced the grant from Revera on Friday

VIDEO: Boys help rescue Cariboo bear cub

The cub, weighing just 24lbs, has been taken to wildlife sanctuary in Northwest B.C. for the winter

Campbell River mom’s iPhone containing priceless photos stolen from Victoria hospital parkade

The phone contained photos, heartbeat recordings of her late son

Miller nets winner as Canucks edge Sabres 6-5 in OT

Roussel, Leivo tally two apiece for Vancouver

‘Norovirus-like’ outbreak interrupts Bantam hockey showcase in Greater Victoria

Several athletes were sent home, quarantined on the ferry

South Okanagan volunteer dental clinic donates rotten teeth to good cause

H.E.C.K. recently gifted 47 rotten teeth to a search and rescue group in the area

$578: that’s how much your first distracted driving ticket will cost with recent premium hikes

Over 50 per cent of Canadians admitted to using phone while driving last year, according to study

Healing with honesty: Justice served 40 years later

Revelstoke senior gets house arrest for sexually assaulting stepdaughter

WorkSafe BC to investigate explosion at Princeton facility

Explosion at Envirogreen waste reclamation plant occurred Nov. 27

Doors open to Vernon’s first refill store

Vernon’s Refill Store may be answer to plastics problem

Most Read