Central Okanagan Real Estate Stats – October 2022
(Compared to the month of September 2021)
We will break down our monthly real estate stats into two categories. The first category is a combination of all data from the local MLS. This includes all sales for the current month. The second category is the Home Price Index (HPI). The HPI provides the averages for a specific type of property within a category and sets a Benchmark Price for that category. For example, the Benchmark Price of a single family home determines the average price of a 3 bedroom, 2 bathroom home that’s about 1,500 sqft (among other common features of a typical Kelowna home). This shows a more accurate picture of a typical style home with less monthly fluctuation if a large number of higher or lower end homes sell within a given month.
MLS Monthly Stats and Totals
Single Family Detached
Average Price: $1,230,001 (+14.5%)
New Listings: 353 (+17%)
Sales: 132 (-38%)
Days To Sell: 49 (+63%)
Average Price: $778,794 (+15%)
New Listings: 121 (+14%)
Sales: 47 (-37%)
Days To Sell: 43 (+10%)
Average Price: $585,664 (+23%)
New Listings: 197 (-4%)
Sales: 102 (-37.4%)
Days To Sell: 42 (+13.5%)
Average Price: $316,888 (+30%)
New Listings: 30 (+19%)
Sales: 16 (-36%)
Days To Sell: 52 (+27%)
Average Price: $608,333 (+32%)
New Listings: 53 (+29%)
Sales: 18 (-66.7%)
Days To Sell: 138 (-1.4%)
* There is a smaller sample size for land listings and sales, therefor the numbers will vary greatly from month to month.
Average price of a single family home is up considerably but that is due to few more higher end homes being sold that skewed the price point in the single family market (similar to what happened with condos last month
Kelowna average price is down more than West Kelowna this month (last month we saw the opposite). it seems like West Kelowna decreased first and then Kelowna followed suit.
Condos are closing the gap in price compared to townhouses. Keep in mind townhouses include detached townhouses which are quite similar in style to a bare land strata single family home and they tend to sell at a higher price. Typical row house style townhouses are on the lower side of the average price and closer in pricepoint to condos. Townhouses often have lower fees and more yard space so we may start to see condo buyers moving up to townhomes.
Average condo prices were high last month due to high-end pre sales on the MLS in Peachland so the decrease this month is due to that adjustment. Condos still remain higher than all other previous months on record, with the exception of last month’s anomaly.
Home Price Index (HPI)
Single Family Home: $981,800
We are still seeing home prices trending upwards over the last 2 years. From 2 years ago, townhomes are up 42%, condos are up 36%, and Single Family Homes are up 31%. We are, however down about 10% overall across all housing t ypes over the last 6 months and prices have retracted to about the same levels they were a year ago.
if you bought 2 years ago you’re still way above water. Just ignore the fluctuations over the last 2 years and realise you are still on track. If you bought within the last 2 years your next move depends on what your intentions for buying were. If it’s a long term thing then you’ll be fine. Your mortgage is still going to be lower than the current rent you would be paying as the rental market is still going up and currently you are putting money into the equity of your own home. So you’re still ahead in that regard. If you were looking for a quick flip then you may need to re-assess and decide on your next step. You may need to hold and wait for prices to come up again and maybe use it as a rental in the meantime if it is not your primary residence.
We are seeing the Bank of Canada’s increases on interest rates causing a lot of buyers to sit on the fence and wait to see what happens with real estate prices. Some speculate that this is creating pent up demand that we will see once the interest rates level out.
The next interest rate announcement is on October 25. The Bank of Canada tends to follow the US mortgage rate trends and the rates in our neighbour to the south have been steadily increasing over the last few weeks and creeping close to 7%. Currently the prime rate in Canada is 5.45%