Darcy Griffiths, contributor
The year-end of the Okanagan Shuswap real estate market will send realtors into 2015 with a positive outlook.
The Okanagan Mainline Real Estate Board (OMREB) reported November sales activity of all MLS property types rose by four per xent over last year and improved by 24 per cent year-to-date compared to 2013.
“While an early cold snap dampened sales activity last month and demand edged back after accelerating for most of the year, Okanagan-Shuswap home sales have already outperformed 2013 and we will finish the year off on a positive note,” said Darcy Griffiths, OMREB president and a North Okanagan realtor.
“We experienced an extraordinarily busy summer and fast paced fall, and are now moving into the holiday season when activity typically slows down as winter sets in.”
Sales activity within OMREB’s three diverse market areas tends to vary among property types zone-by-zone and month-by-month with ups and downs at different times and locations.
“The North Okanagan leads the way in sales this month with a 10 per cent improvement over November 2013, compared to three per cent in the Central Okanagan and one per cent in the Shuswap. The North Zone also saw a 27 per cent rise in single family residential sales compared to last year, while levels remained the same in the Shuswap (no change from 2013), and the Central Okanagan experienced an eight per cent decline in this segment.”
Active listings have been on the decline for the past eight months, currently sitting 13 per cent lower than in November 2013. Overall, new listings (up less than three per cent in November) have not been fast enough to keep up with the demand and declining inventory in some categories, significantly reducing the selection of entry level homes, particularly in the Central Zone where new listings for the month are slow (up three per cent) and inventory is low (down 15 per cent).
“We are seeing more balance in our board area but conditions in the Central Okanagan are still somewhat split between balanced and sellers’ markets with more demand than supply for homes priced below the $500,000 mark due to declining inventory,” Griffiths reported.
“The North Okanagan market remains stable for both buyers and sellers, while the best value for buyers is in the Shuswap.”
The price of single family homes is fairly steady in most areas with modest gains seen in some locations where supply has tightened.
Average prices have been pushed up with a shortage of lower priced entry level homes in some areas and buyers making purchases in the next level up.
“Being realistic about the market value of your home and willing to negotiate for the best offer is the key to a successful sale,” Griffiths noted.
“The competition for buyers can still be a challenge for sellers if properties are not priced attractively from the start.”
For OMREB’s Central Zone (Peachland to Lake Country), for November overall sales were up 3.1 per cent, to 331 units from 321 in 2013.
Total residential sales for the month declined 4.9 per dent, to 290 units compared to 305 last year at this time.
The sale of 146 single-family homes was down 8.2 per cent over the 159 in November 2013. However, apartment sales improved by 18.2 per cent over last year at this time.
Year-to-date, total unit sales improved by 21.3 per cent over last year (to 5,061 units from 4,174). Single-family home sales are up 15.3% compared to 2013 (to 2,361 units from 2,047), while the sale of townhouses improved by 30.9 per cent (to 766 from 585) and apartments by 33.6 per cent (to 973 from 728).
The 581 new listings taken in the Central Okanagan during the month saw a 2.7 per cent increase compared to 566 in 2013, and total inventory was reduced by 15.8 per cent to 3,141 units from 3,729 last November.
