Demand continues to drive Okanagan real estate markets

Fewer homes sold from Peachland to Revelstoke in October, compared to September; however, they’re selling faster.

Overall, the real estate market in the Central, North Okanagan and Shuswap is holding steady.

New statistics released Nov. 3 by the Okanagan Mainline Real Estate Board (OMREB) shows there was a slight decrease in the number of homes sold in October, eight per cent less than September’s 1,159 sales.

Despite this decrease, the average number of days to sell a home dropped nine per cent from 90 days in September to 83 days in October.

READ MORE: In September, Okanagan-Shuswap real estate market continues to rebound

Compared to last year, the fall real estate market is skyrocketing.

Seventy per cent more homes sold in October of this year, compared to 2019. In some markets, like the Central Okanagan, there was a 114.6 per cent increase in the sale of single-family homes and a 156.6 per cent increase in townhouses. In the North Okanagan, the sale of single family homes is up 83.3 per cent. In the Shuswap/Revelstoke region, the sale of townhouses is up 216.7 per cent.

Across the board, the availability of single-family homes and townhouses is significantly down compared to last year — in some markets by almost 40 per cent. This is a stark contrast to the availability of condos and apartments, which despite an increase in sales, also increased in inventory, in some markets by up to 15 per cent.

Average home sale prices, by region, and home type, compared to 2019

The increase in home sales brought with it an increase in prices compared to last year.

Single-family homes in the Central Okanagan increased in price by 9.4 per cent this year, to a benchmark of $728,300. In the North Okanagan, the price was up 9.2 per cent to $525,300, and in the Shuswap/Revelstoke region, it was up 7.9 per cent to $474,100.

Townhouses didn’t see the same spike in price. In the Central Okanagan, it increased by 5.2 per cent to benchmark $492,800. In the North Okanagan, the price was up 2.1 per cent to $368,900, and in the Shuswap/Revelstoke region, it was up 2.4 per cent to $369,700.

The increase in condo prices was substantial. In the Central Okanagan, it shot up 8.4 per cent, to benchmark $394,500. In the North Okanagan, prices were up 8.1 per cent to $248,900. In the Shuswap/Revelstoke region, it was up 8.5 per cent to 352,500.

A benchmark price is a value compared to the average or medium price.

Expected ‘calming’ of the market never came

The real estate board said a normal ‘calming’ in the market as the winter months approach, isn’t necessarily happening this year. They believe this is due to demand.

“This seems to be a trend across the province as demand for more living space continues to drive consumer incentives,” said the OMREB in an email.

That being said, they explained a recent spike in COVID-19 cases across the province ‘will likely facilitate’ a calming in the market.

Even despite COVID-19, homes are moving off the shelves quickly due to the fact realtors have adapted to ‘the new normal’; selling homes while adhering to provincial health guidelines.

The OMREB serves three diverse markets within the region: the Central Okanagan Zone (Peachland to Lake Country), the North Zone (Predator Ridge to Enderby) and the Shuswap – Revelstoke Zone (Salmon Arm to Revelstoke).

For more detailed statistics on your area, click here.

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