From soaring average home costs to buyers moving further away from city centres, the Kelowna real estate market has evolved at a meteoric pace since April 2020. A market surge meant homeowners sold their properties for thousands over asking in some cases. While the market is slowly cooling and an inventory shortage spreads through the Okanagan, many are still looking to cash in on a hot market. That’s where we are today.
Whether you’re a homeowner, a buyer in the market for your first or first post-pandemic home or about to list your single-family residence, it’s an ever-changing landscape in the Central Okanagan.
Here are five ways Kelowna real estate is different than in years past.
1. Average Home Price Soars
If you were looking for a home five years ago, the Kelowna real estate market would be full of options at the $650,000 price point.
But average home prices in the Okanagan have been creeping up since 2016. In January 2021, single-family homes sold for an average of $887,868. According to the Association of Interior REALTORS®, that number hit $1,011,514 in July. Are you wondering if this is a good time to list your property? Read our article Is this a good time to sell in Kelowna?
2. More Time Spent at Home
Zoom calls, business communication platforms, virtual classrooms, and home office setups. Chances are you’ve encountered one or all these at some point over the past 18 months.
When the world shifted into the digital era, professionals set up at home while school-age children had their first taste of e-learning. The result? More time spent at home in the office, living room, and kitchen.
Homeowners renovated their houses to maximize their work-from-home space while others in the Kelowna real estate market purchased properties with more square footage and outdoor space to accommodate the extra time spent at home.
3. Moving Away From Downtown Kelowna
With an office on the second level of your single-family home and a living room-turned-makeshift classroom, there’s no longer the need to live near the urban heart of downtown Kelowna.
And, as families searched for a quieter life with more square footage to reclaim their living quarters, rural life in the country or outskirts of town became an appealing option for many.
Farm sales in the region skyrocketed 700% over last year, followed by waterfront lots at 400%, waterfront acreages at 200%, and acreages at almost 108%.
4. Fewer Waterfront Properties For Sale
Imagine an office that looks out over Okanagan Lake. You spend your workday nestled in the heart of the Valley before enjoying the lake and countryside with your family. That’s the dream of many who call the region home.
However, as housing costs continue to climb, many who own waterfront properties in the Central Okanagan are wary of listing their home. Why? Fewer waterfront properties on the Kelowna real estate market mean higher costs and a more competitive landscape.
In July of 2020, the Central Okanagan had 20 waterfront lots in inventory. July 2021, by contrast, saw only 10 waterfront lots listed. It’s even more important than ever to make the most of a waterfront home sale by enlisting the help of an agent with deep experience. Read our article 35 Years of Kelowna Waterfront Home Sales.
5. Okanagan Lifestyle Attracting Buyers
From the stunning waters of Okanagan Lake to the network of backcountry trails, the Okanagan is Canada’s playground. The moderate climate and lifestyle of the Valley garnered interest in home buyers from outside the region. And these new buyers are willing to invest more in waterfront Kelowna real estate than ever before.
As of July, the average cost of a residential waterfront property in the Central Okanagan is $2.7million, up from $1.9m last year.
Whether you’re a first-time home buyer looking for a home under $1.5million or looking to retire in the waterfront property of your dreams, Jane Hoffman Realty has more than 35 years of experience in Kelowna real estate. Let us put our expertise and relationships to work for you. Get in touch or call us at 1-888-535-6962.