I am pleased to report that the snow has been melting reasonably quickly here in the Okanagan Valley and Two Eagles Golf Course was open yesterday!
In hosting Open Houses during the last month, I have certainly seen Buyers looking from Vancouver, and Alberta, as well as local Buyers.
February seems to have been a 'mixed bag' of results, as I have seen evidence of properties going into Multiple Offers, Housing in parts of the $700,000 to $900,000 range are sluggish, and Condos and Townhomes showings & sales in $300,000 to $400,000 range have been quite brisk for this time of year.
In Quail Ridge and around UBCO, Parents and Investors are already looking, and there is certainly less inventory to view than at this time last year.
The biggest headlines though are the hikes we are starting to see in Strata Insurance Premiums. Strata Corporations, particularly Condos, are being warned to expect increases of between 30%-300%!! In some areas of BC, we are also hearing that some Strata are struggling to get insurance at all.
On top of this, the insurance companies are also increasing the deductibles for such things as Water Damage, which are increasing the insurance premiums for individual owner policies.
I am just starting to see the effects of this in some Strata budgets, which have resulted in unexpected Special Levies, but I expect to see quite a few monthly Strata Fees rise this year.
Kelowna & Central Okanagan Real Estate Sales February 2020.
- Total Sales were up 12.9% last month.
- Single-Family Homes sales up 2.2%.
- Strata sales up 35.3%.
Compared to last year sales numbers again showed a positive improvement.
- Overall sales were up 9.2%
- Single-Family Home sales up 3.8%.
- Strata sales were up 16.9%.
Inventory Levels February 2020
Inventory levels are up in all main sectors -:
Total listings in the Central Okanagan are now 2390 up from 2,275 last month.
Single Family & Bare Land Strata Residential 1015 units up from 821 last month.
Condo - 481 units up from 466 units last month.
Town Homes - 320 units up from 282 units last month.
Single-Family Homes - in depth
Single Family Home Sales (including Bare Land Strata) -:
Number of Sales February 2020
0 - $450k 2020 14 2019 21
$451k - $699k 2020 65 2019 68
$700k - $999k 2020 44 2019 34
$1m plus - 2020 15 2019 10
Price Range Number of Listings Days on Mkt Months of Inventory
$451k - $699 227 (2019 - 292) 40 (2019 - 53) 3.66 ( 2019 4.71)
$700k - $999k 281 (2019 - 256) 78 (2019 - 37) 7.03 (2019 7.76)
$1m plus 293 (2019 - 303) 103 (2019 - 103) 22.54 (2019 33.67)
Last Month Single Family Home sales - were down in both price ranges, up to $699,000. There is certainly evidence in some of the typically more affordable areas, such as Rutland, that prices are trending higher, and potentially becoming less affordable.
Inventory is lower in the most affordable & $1 plus market, with numbers higher in the mid-range.
Days on the Market - have decreased in the affordable range, remained steady in the higher range and increased in the mid-range, highlighting the sluggishness in this sector of the market.
Months of Inventory - down in all sectors. In the $45k-$699k range, it is a Sellers Market, more balanced in the mid-range and a Buyers Market in the $1m plus sector.
So far, the signs continue to be positive for Real Estate sales in Kelowna and the Okanagan valley.
The Government has announced measures to ease the Mortgage Stress Test, which will be welcome news for first-time buyers.
The two biggest unknowns at the moment are -:
1. The Economic Effects of the Coronavirus - which are starting to be felt around the World.
2. The effect of the increased Insurance Premiums on properties around Canada. Particularly Strata Insurance on Condos and the future deductibles.
If you would like to receive specific information about your own buying and selling needs in the Kelowna & Central Okanagan area please call or email me and my current listings can be viewed at https://www.trishcenci.com/mylistings.html