Okanagan Housing Update: July 2022

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JUNE’S MARKET ACTIVITY LOOKED A LITTLE DIFFERENT THIS YEAR…

Housing Market at a Glance

The Association of Interior REALTORS® (the Association) reported that last month, residential market activity was below normal, sliding down to pre-pandemic activity. Compared to the hot, hot, hot market that was July 2021, the number of residential units sold across the region (1,196) was down 33.3%.

“Seasonally, it is not out of the ordinary to see a dip in sales in the summer, although real estate market activity across most regions in the province was below average last month, not just within the interior,” says the Association of Interior REALTORS® President Lyndi Cruickshank. She added, “a number of factors, or even a combination of factors such as the interest rate hikes, recommencement of travel and the school break could all be reasons consumers pushed pause on their real estate plans as they focused on enjoying the hot summer days.”

 

Inventory

Although sales were down, the region welcomed 2,488 brand new listings, an 8.1% upswing compared to the same period last year. Listings overall received a healthy injection, with 56.8% more on record compared to July last year, with a total of 7,698 residential homes listed on the market.

“We are seeing inventory starting to accumulate, slowly moving upward to healthier levels of inventory, which is a welcomed relief for prospective buyers. However, the higher mortgage interest rates are still impacting the real estate market with some home buyers finding it more difficult to qualify for mortgages,” notes Cruickshank. “We will have to see what the Bank of Canada does come September. Hopefully, we will see fixed mortgage rates come down and bring some relief for buyers, particularly first-time buyers. Any interest rate relief may see an increase in sales activity returning to the market over the fall months,” she adds.

 

Benchmark Prices

Across the region (Central Okanagan, North Okanagan, South Okanagan, and Shuswap/Revelstoke), there was an increase in benchmark prices (in year-over-year comparison) for all property types – the most noteworthy rise seen amongst Condos in the North Okanagan. They increased by 29.2% compared to July last year, with a benchmark price reaching $325,900.

 

Average Days on Market

A good barometer to watch whether a seller or a buyer, is the average number of days it takes to sell a home. Across the region, this figure increased by 2 days, up to 47 days in July from June’s 45.  It’s important to note that this figure is for the entire Okanagan region, and this will vary depending on the home type and sub-region.

 

Searching for your new Havn?

No matter what’s going on in our local Okanagan market, we’re across it. We live, work and play in this market and will confidently work with you to navigate through changes, tick off checklists and ensure that you get the exact results you’re looking for. Because we’re here to help #FindYourHavn.

 

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All statistics are courtesy of The Association of Interior REALTORS®.

*The Association of Interior REALTORS® is a member-based professional organization serving approximately 2,500 REALTORS® who live and work in communities across the interior of British Columbia including the Okanagan Valley, Kamloops and Kootenay regions, as well as the South Peace River region.
The Association of Interior REALTORS® was formed on January 1, 2021 through the amalgamation of the Okanagan Mainline Real Estate Board and the South Okanagan Real Estate Board. The Association has since also amalgamated with the Kamloops & District Real Estate Association and the Kootenay Association of REALTORS®.