Inventory levels continue to rise in the Central Okanagan real estate market. The inventory level increases for each month from 2009 to 2010 are as follows:
January 2010 = 15.50% February 2010 = 23.65% March 2010 = 27.29%
April 2010 = 16.68% May 2010 = 9.61%
If new listings coming onto the market continue to increase with slower overall sales, we could see another market correction and some downward pressure on pricing. The simple law of supply and demand could mean that buyers will see their investment dollars stretch a little bit further than they did one year ago. The month of June has seen several properties reduce their list prices to try and attract buyers sitting on the fence. There has also been a recent trend in the last month of higher than normal demand on brand new vacant product. This sudden surge of new product sales can be directly tied to the new 12% HST (Harmonized Sales Tax) that comes into effect on July 1,2010. I recently posted a Youtube video blog with information on how the HST Tax will relate to real estate purchases here in Kelowna BC and the Okanagan region.
Overview of Central Okanagan Stats for May 2010:
Ratio of Sales vs. Total Inventory = 6.80% (7.58% in April)
Condo -- Sales = 67 (56 last month)
Condo -- New Listings = 280 (260 last month)
Condo -- Current Inventory = 1195 (1091 last month)
Condo -- Sell/Inv. Ratio = 5.61% (5.13% last month)
Condo -- Days to Sell = 109 (128 last month)
Townhouse -- Sales = 62 (63 last month)
Townhouse -- New Listings = 150 (129 last month)
Townhouse -- Current Inventory = 504 (449 last month)
Townhouse -- Sell/Inv. Ratio = 12.30% (14.03% last month)
Townhouse -- Days to Sell = 80 (87 last month)
Lots -- Sales = 18 (24 last month)
Lots -- New Listings = 148 (144 last month)
Lots -- Current Inventory = 804 (748 last month)
Lots -- Sell/Inv. Ratio = 2.24% (3.21% last month)
Lots -- Days to Sell = 228 (294 last month)
Residential -- Sales = 187 (172 last month)
Residential -- New Listings = 528 (594 last month)
Residential -- Current Inventory = 1831 (1567 last month)
Residential -- Sell/Inv. Ratio = 10.21% (10.98% last month)
Residential -- Days to Sell = 75 (64 last month)
Average House Price = $509,472.96 ($460,417.18 month)
Median House Price = $460,000 ($425,000 last month)
Disclaimer: Monthly sales statistics are based on the sales reported by real estate offices as of the last day of the month. As a result, there may be some lag time in reporting sales and other minor adjustments in the total results are made accordingly.
If you would like more in depth statistics or have any general questions please contact me at (250) 808-7700 or at jason.neumann@century21.ca
Complete OMREB Statistics for May 2010
Sincerely,
Jason Neumann