What a way to close out 2013!
December 2013 sales of single family residential homes were almost double over December 2012, 52 sales in December 2013 compared to 28 in December 2012. This brought total sales for the year ending December 2013 to 783, up 2.6% from 2012 and the highest volume of sales in the last 5 years.
The average monthly inventory of single family homes dropped to 629 in 2013, the lowest inventory we have seen in the last 6 years. Inventory has not been this low since 2007 which is before the start of the recession that hit in 2008.
Average median prices rose for the first time in 4 years. At $337,773, average median prices for 2013 rose 2.2% over average median prices in 2012.
The rate at which our inventory is being absorbed by sales rose to an average of 10.21% in 2013, the highest in the last 4 years. At the end of December 2013, there was 9 months of inventory available on the market.
From these numbers, it looks like we can expect the market to continue to rise as we enter the busy spring market. January sales have already shown a significant improvement over January 2013 so we can expect an early start to the spring 2014 real estate market in the North Okanagan.
The market over the next 12 to 18 months will be characterized by continued increasing sales and lower inventory moving strongly towards a market that will favour Sellers with more competition from Buyers and higher prices. Prices will continue to rise as consumer confidence gathers momentum and bringing with it more Buyers.
If you have any questions about the market, please feel free to contact me at any time. You can click here to go to my stats page with graphs and detailed data.