For people selling their Real Estate in Kelowna during the last 12 months, I am sure, in most cases, you are glad to see the back of 2010, and for the people thinking of buying, many of you are sitting on the fence asking the question "has the Kelowna Real Estate market reached the bottom yet" ?
In my opinion, we have' largely' hit the bottom of the market. In the short-term, prices will remain very flat, and we will see our usual 'winter price lull' in the Central Okanagan.
I continue to see some great bargains, particularly in the investment / recreational side of the condo market, but I am getting a sense from Sellers that they are not prepared to 'sell at any price', particularly as the rental market has improved, and is providing a reasonable short-term alternative to selling.
I believe we will continue to see lower sales numbers, low sales to inventory numbers and a rise in inventory in the spring.
So what is going to be the balance side to this? As we progress through the year, I believe we will see more investors coming back to the market, as economic confidence improves, particular in Alberta and British Columbia. Also a number of local buyers have put off moving, preferring to see where the real estate market is going and how strong their ongoing employment situation is.
The Central Bank also continues to give messages, that whilst interest rates may rise, it will not be too quickly, as the economy, as a whole, remains fragile and will not stand interest rate 'hikes'.
Central Okanagan Real Estate Sales for December 2010
Type Total S Fam Strata Lot Manuf
Dec 10 157 93 46 10 8
Nov 10 199 117 68 7 7
Oct 10 246 149 74 10 13
Dec 09 245 131 93 13 8
As you can see from the latest Central Okanagan sales figures for December, we have seen a further fall in numbers, both on the previous month and on the previous year. I do not believe this is too much to be concerned about, as December is normally a very slow month in this area.
My Kelowna Real Estate advice for 2011.
For Buyers - It will remain a good time for you to buy, as it will remain a Buyers Market this year. Don't be afraid to make an offer, but don't be surprised when the Seller comes back with a counter!
For Sellers - it remains very important that your initial list price is realistic, if you are going to achieve a sale within a reasonable time scale and that your property is well presented. It will also probably take longer than you had hoped to sell you property. It is a good time to sell if you are moving up the market, however, not so much if you are down scaling.
I hope you find this update useful in keeping you up to date with the Kelowna market, and if you have any questions about you specific buying and selling needs, please do not hesitate to call or e.mail me.
May I take this opportunity to wish you all a Happy and Prosperous New Year!
Coldwell Banker Horizon Realty
3A 3185 Via Centrale Kelowna, BC V1V 2A7
Cell: (250) 864 1707
Main Office #14 – 1470 Harvey Avenue, Kelowna, BC, V1Y 9K8
Tel 250 860 7500