Kelowna area housing market conditions

The Central Zone of the Okanagan Mainline Real Estate Board (OMREB) reported June 2011 sales activity of all MLS property types were down compared to sales reported at this time last year but improved over May as the market shows more stability moving into summer.

During June, overall sales dipped by 5.51% over last year to 343 from 363 with sales volumbes of $133.1 million compared to $156.8 million in 2010.  However, sales improved 1.78% over May's 337.  While total residential sales last month declined 6.89% compared to June 2010 (to 311 units from 334), single family unit sales were in line with last year (182 compared to 181), and improved 13.75% over May (160). Inventory  continues to decline over 2010 - down 8.11% to 5,301 units in June compared to 5,769 last year.  New listing for the month fell by 7.21% over last June (to 1,094 from 1,179) - a 9.48% decline over last month (from 1,212 in May).

"The slight rebound and gradual improvement in June is promising.  We hope to continue to see modest gains in sals if activity picks up with the warm weather and an influx of out-of-town buyers," says OMREB Director and REALTOR in the Central Zone. "While many factors have affected consumer confidence, created buyer hesitation, and deterred potential recreation, investment and retirement property  buyers to date, it is still too soon to tell if there will be a slow down over the summer.  This next month (July) will be a good indicator as to an ongoing trend."

"Although inventory is on the decline, serious buyers enjoy an excellent selection of homes in the Central Okanagan, and are taking advantage of good prices and wide choices while they are still available.  Properties that are priced to reflect current values in this competitive market are selling relatively quickly.  Sellers can benefit from working with a professional REALTOR to price strategically and make the most of summer buyer activity."

OMREB's Director notes the results of OMREB's Board-wide monthly Buyers Survey - launched in September 2010 to profile who the Buyers are, what they are buying and where they are from - shows that the majority of buyers are from within the Board area. Survey results indicate that buyers are leveraging their positive purchasing power afforded by attractive prices and low interest rates, before inventory narrows and borrowing costs rise.  First-time buyers are a driving factor and they stimulate the chain of ownership.

The Central Zone of OMREB covers an area from Peachland to Lake Country and east along Highway  22 to Westbridge (including Christian Valley).  The Okanagan Mainline Real Estate Board (OMREB) is comprised of  of 1,151 member REALTORS and 86 real estate offices in the Southern Interior of B.C..

(SOURCE: OMREB Media Release July 6, 2011)