This report details the market performance of Real Estate in Quail Ridge & the University District during the last 6 months, based on MLS® listings & sales.
There are details for each sector i..e. Single Family Homes, Condos & Townhomes together with my forecast for the remainder of 2020.
Quail Ridge / University District Real Estate
January 1, 2020, to June 30, 2020.
|Single Family Homes||
Highlight Summary for 6 Months Jan - Jun 2020 compared to 2019.
- Total MLS® Sales down 12.5%.
- 10% fall in Single Family Homes sales.
- 37.5% fall in Condos sales.
- 83% increase in Townhome Sales.
Homes - under $750,000 overall had a good level of viewing activity and sold fairly quickly.
Town Home - several sales in Bella Sera, and the launch of the new Academy Ridge Town Home complex resulted in a significant rise in townhome sales.
Condos - Condo sales were quite reasonable at the start of the year, but sales slowed significantly from mid-March onwards due to the Covid-19 pandemic.
Single Family Homes
Single-Family home inventory is trending higher than this time last year.
Median Number of Days of the Market
1st 6 Months 2020 22 Days
Annual 2019 74 days
Annual 2018 30 days
2020 Sales Breakdown by Price -:
0 - under $600,000.
7 - $600,000 to $1m range.
1 - over $1m.
Currently, 17 Single Family Homes listed with 7 listed over $1m.
Note - the new homes in University Heights are being sold through the Developer, so we are not seeing these numbers on the MLS® system.
Median Home Prices
2018 - $746,250
2019 - $735,000 down 1.5%
2020 - $792,000 up 7.8%
Breakdown of sales by Complex / Area.
Academy Way 2020 - 5 2019 - 12
Pinnacle Pointe 2020 - 5 2019 - 8
Sienna Terrace 2020 - 1 2019 - 0
Pointe at Quail 2020 - 4 2019 - 4
Borgata Lodge 2020 - 1 2019 - 0
Academy Way sales started better than in the previous year, but have been impacted by the UBCO Fall Semester being online.
Pinnacle Pointe has also seen lower sales, being impacted by UBCO and also the weaker demand for Short Term Rentals at the start of the summer season, as this project allows short and long term rentals. Summer rentals have now started to improve as BC continues to ease out of lockdown.
The Pointe at Quail - sales numbers and prices have continued to be affected by the repair work to the building. Work will be finished by the end of August 2020 &. the expectation is for sales numbers & prices to start improving.
U Two - the major repair work is now complete in 881 Academy Way, following the water damage in 2019, and Owner / Renters started moving back in at the end of June 2020.
U Eight - the Developer still has some 2 & 3 Bedroom units to sell. (Sales were undertaken outside of the MLS® system.)The Buyers will take possession in August 2020.
Inventory & Days on Market
Inventory is much higher than this time last year and we are seeing the number of months of inventory rising - currently, 12.5 months compared to 9.5 months in 2019.
If sales do not start to improve, in what is traditionally the busiest time of year, we could see short-term downward price pressure, as it is currently a Buyers Market.
At present Median Days to Sell are showing an improved trend, but this number is 'skewed' by the summer months being traditionally busier.
1st 6 months 2020 - 45 Days
Annual 2019 - 72 Days
Annual 2018 - 45 Days
Median Sale Prices Quail Ridge
2018 - $374,740 Up 13.5 %
2019 - $350,000 Down 6.6 %
2020 - $383,425 Up 9.6%
Median Sale Prices Academy Way
2018 - $482,000 Up 20.5%
2019 - $440,776 Down 8.6%
2020 - $425,000 Down 3.6%
NOTE - A part explanation for Median downward price trend in the University area, has been the change in demand, in 2020, from the higher-priced 3 bedroom units to the more affordable 1 & 2 bedroom units.
Bella Sera - 1795 Country Club Drive
Sales - 2 units sold between January & June 2020 Range- $375,000- $395,000.
There is currently 1 Quarter Share unit listed $87,900.
There have been no full units for sale since February 2020, and I am currently aware of several people looking to purchase particularly upper units.
Casentino - 1950 Capistrano Drive -:
Sales 0 in the last 6 months.
Currently, 1 unit listed $659,000.
Bella Veduta - 1910 Capistrano Drive
0 Listings or Sales in the last 6 months.
Fairway heights - 2455 Quail Ridge Boulevard
1 Sale in the last 6 months - $667,500.
Currently, 0 Unit Listed.
Fiore Del Sol
1 Sale in the last 6 months - $669,000.
Currently 0 Listings.
Deerhurst Estates - 3075 Vint Road
1 Sale $593,000.
Currently Listed - 0.
Academy Ridge - 610 Academy Way
-154 Residential Townhomes.
5 Sales in the last 6 months Range $479,900 - $504,900.
8 Currently Listed on MLS®.
NOTE - not all sales may be shown on the MLS® system.
New Development - Country Club Drive Townhomes
The new 23 Townhome development next to the Quail Ridge Golf Course is currently 'on pause'.
No prices have been advised yet.
Forecast for Quail Ridge and UBCO for the remainder of 2020.
1. Condos - There is the possibility of an increase in demand in the late fall & early winter should the UBCO school year resume on campus - the demand for Student Housing should then resume.
2. The Real Estate Market appears to be improving in Vancouver and the Lower Mainland, which tends to have a positive knock-on effect in Kelowna as a whole.
3. With BC travel restrictions being lifted between Provinces, we may start to see more out-of-province buyers.
4. Single Family Homes - local buyers have tended to be in the $600,000-$750,000 range and we should continue to see better demand for those price points.
5. The repair work should be finished at the Pointe at Quail soon, so we should see more sales in this complex.
6. Interest Rates - are still very low, so make it a great to buy for those needing a Mortgage.
1. Real Estate will continue to feel the effects of the COVID-19 pandemic - E.G through economic uncertainties & weakening rental rates, which may affect investors.
2. Financing - it remains much tougher to get a Mortgage, and we also do not know the long-term effects of the Pandemic on Households & what will happen when Mortgage furloughs end.
2. Quail Ridge & the University District has typically been a popular area for out-of-town Buyers. Demand/appetite for air travel is still relatively low and this may continue to affect Buyers wishing to move from the more Eastern parts of Canada & abroad.
3, Continuing weaker Real Estate market in Alberta is delaying some Buyers plans.
4. Strata Insurance Rates - This is having an impact across BC as Strata's have been receiving their insurance renewals and seeing huge increases in Premiums and Deductibles, which are resulting in special levies and increased Strata Fees.
What does this all mean?
There are a lot of factors in play -:
1. Whether we see a second wave of the Virus.
2. How well the economy bounces back.
3. Whether inventory continues to rise compared to the number of sales.
4. What happens with the University School year, what if it doesn't resume on campus?
5. Whether Rental Rates continue to weaken.
At the moment, the overall Real Estate Market is busy, particularly in the more affordable price ranges, and I have experienced several homes in multiple offers or receiving offers quickly when they are listed.
If any or all of the above factors come into play, these would have a negative impact on the Real Estate Market, so definitely need to be watched.
If you have any specific questions about the area or your own particular needs, please do not hesitate to telephone or email me, and I will be happy to either start you off on your own individual search for a new Property or provide you with a Current Market Analysis of your Properties value.
Tel 250 864 1707