Market Update

      The Central Okanagan real estate market continues its balancing act between listings and sales last month.  Property sales declined 45.88 per cent in June 2008 to 355 from the 656 sales recorded in June 2007.  New listings were up 43.25 per cent from 1,421 recorded in June 2008 compared to June 2007 when 992 units were listed.  Prices are not increasing as rapidly with more property listings and a decline in the number of sales with sellers now having more competition and buyers having more selection.  The condo market is experiencing the largest impact with the average days on market now in the triple digits,101 days; up nearly 106 per cent over the 49 days on the market recorded in March of this year and 51 per cent increase over the 67 days on the market recorded in the month of June 2007.  There is a 17 month supply of condos currently listed on MLS in the Central Okanagan.

     Although the median price for a residential detached home inched upwards by just under 6 per cent over June of last year ($449,500 to $475,900), the average house price gained under 2% over the month of June ($503,340 to $512,868).  Townhouses and condos are both reflecting increases in both average price and median price in the 13 per cent range from January to June 2008 compared to the same time period last year.
     Despite fewer sales this year, the demand outlook in Kelowna is positive. In-migration will fuel demand for housing. Rising wages together with low interest rates will also help
support sales and new home construction in 2008. Kelowna will continue to attract buyers seeking second residences and resort homes. Expect sales to pick up in 2009 as the US and Canadian economies see stronger growth.
     Vacancy rates in Kelowna have tied with Victoria as being the lowest in B.C. among the 4 major urban centres at just 0.3 per cent.  Strong demand for rental accommodation coupled with limited rental construction results in rents moving higher.

New Law Requires Real Estate Agents to Verify ID of Buyers and Sellers  New federal laws and regulations dealing with money laundering and
anti-terrorist financing went into effect June 23rd,  2008 and requires real estate agents and  brokers to collect and verify more personal information from buyers and sellers. Real 
estate agents must also now track the source of deposit funds received during the course of a real  estate transaction.  Real estate agents are now required to ask for proof of the
identity of all buyers or sellers involved in a Canadian real estate transaction. If the client is a corporation, that information must include corporate documentation, and the names of the corporation directors. They must also ascertain if a third party is involved in the transaction.

ACTIVE LISTINGS

Res.

Mobiles

Strata

Lots

SUMMARY OF RESIDENTIAL SALES

2008

2007

199

197

25

28

A FEW MORE REAL ESTATE STATS!

SALES BY TYPE
Year to Date

 2008 

2007

23

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