After a long run this year with record sales and prices, the market is seeing a adjustment.
The market is still quite robust, but buyers are having a welcome opportunity to slow down the decision making process.
Residential Real Estate sales for the month of June are slowing after the recent mortgage rate interest hikes by the Bank of Canada.
In the South Okanagan the June sales totaled 174 in June - a decrease from this time last year of 24%
However the bench mark home price in the South Okanagan continued to show double - digit percentage increases in year-over-year comparisons.
Single family homes increased in price 15.4 % from last year
Townhouses increased by 27.9 %
and Condos increased by 20.7% from this time last year in the South Okanagan.
There is a healthy level of inventory at 802 active listings and good interest with buyers as days to sell are between 34 and 41 days.
"It is not unusual that mortgage rates are impacting market activity, specifically in the higher priced markets," Says Association of Interior Realtors President Lyndi Cruickshank.
"Our inventory is gradually picking up and supply is growing. This is benefitting both buyers and people looking to sell and move. As we don't expect any relief in terms of interest rates in the coming days, one will have to anticipate the market while pricing properties correctly." ~AIR President Lyndi Cruickshank
Market change can be nerve wracking as everyone tries to anticipate the market to their advantage of course. Pricing will continue to be a major focus as we ensure our client's homes are priced competitively. The South Okanagan remains highly desirable as a home buying location and factors such as the state of your home, and fresh updates will help move buyers towards your home.
If you have any questions please do not hesitate to call us!
A number of factors are contributing to the shift in market status such as the current rising interest rate environment. This will naturally slow things down, the transition of which we are starting to see reflected in the number of sales and in the way real estate transactions are transpiring. We are also seeing that buyers have become more picky, price sensitive and reflecting a slight softening of prices.
The number of days on market to sell a home in the South Okanagan is now 30 days with the average single family sale price at $771,000.