The snow finally left us in March and as the month progressed I did see 'limited' evidence of Buyers starting to look.
Interestingly though, many times I saw in the feedback, "this was just a fact-finding mission'.
If we think about it logically, Buyers coming up from Vancouver and the Lower Mainland have seen quite a downturn in their own Markets, which they haven't been used to for some time, and a number of Buyers looking to move from Alberta, are having difficulty selling their homes.
This translates into negative sentiment about the Real Estate Market, in general, and they are thinking the market is going to fall further, so they will wait.
I can certainly understand why they would say that, with inventory rising and sales relatively slow.
The biggest concern across the whole Canadian Real Estate Market is the Mortgage Stress Test. This is not only affecting First-Time Buyers (who are the Engine Room of the Market), but also Buyers well up the chain. I am hearing evidence of many sales falling apart due to lack of Financing.
Offers ' subject to the sale of a Home' are common again, so my sense is that if the Government eases Interest Rates a little and even a mild easing on Borrowing, we may see a flurry of sales in the next couple of Months.
The other factor is the Sellers. While some have the motivation to sell and move on, there is evidence of some Sellers' digging in their heels' and not being willing to sell until they get their price.
On the other end of the spectrum, we are still seeing Multiple Offers for more affordable homes, particularly if they have suites.
Kelowna & Central Okanagan Real Estate Sales March 2019.
Sales were up 29% on last month, with Single-Family Homes sales up 15% and Strata sales up 42%.
Compared to last year, however, overall sales were down 17% with Single-Family Home sales down 26% & Strata sales down 12%.
Total levels of Inventory are rising, currently standing at 1015 Residential units for sale in the Central Okanagan (as at March 31, 2019), which is up from 801, on March 2018, which represents 27% increase.
Condo Inventory is 546 units up from 416 in 2018, an increase of 31% and Town Home Inventory is 391 units, up from 244 in 2018, an increase of 60%.
What will the Spring 2019 Kelowna Real Estate Market look like?
For Buyers, it is essential that you gain pre-approval before you start looking and if you are looking to purchase in the more affordable end of the Market you still need to act quickly as parts of this market are still 'hot'.
For other areas of the Market, I do expect activity to pick up, but it is a Buyers Market, so most Sellers will expect to negotiate.
Will prices fall further? They may soften a little, but 'the word' is that interest rates are likely to come down which will ease affordability, so I expect prices to be largely flat.
For Sellers, it is essential that your Home 'shines'. Make sure your home has had a thorough spring clean, de-clutter and stage. You don't want anything that is going to distract the Buyer.
Pricing your home correctly is also essential, chasing the market down is no fun.
Check out my previous blog Post on Selling your Home in a Buyers Market for more hints and tips - https://www.trishcenci.com/blog.html/categories/selling+your+home
Remember the Market is the Market - it is what Buyers are prepared to pay and Sellers are prepared to sell for!