Sparse Rental Market

I found the following article from Kelowna's Capital News on Friday June 13th rather interesting. With credit to the original author, Kathy Michaels, I have reprinted it below:

"Things are looking up in Kelowna, unless you're a renter.

The Canadian Mortgage and Housing Corporation released its annual Market Survey, highlighting that Kelowna is one of the most difficult places in the country to find rental accommodations.

The Rental rate dropped from 4.8 per cent in April 2013, to 1.5 per cent in April 2014.

"There are a number of factors that explain why the vacancy rate moved lower" said Paul Fabri, market analyst with the Kelowna office of CMHC.

University enrolment rates have gone up and thats brought more residents to the valley.

In the last year fewer new, purpose-built rental buildings have come on stream.

Also, the employment rate for the first five months of the year showed an uptick, which means there may be more people looking for homes in the area.

The most pronounced change, however, is likely due to a rebounding Real Estate Market.

"The MLS home market has picked up and there have been increased sales of apartment condos."

That's likely come as a relief to the previously high number of Kelowna condo owners, who initially saw Real Estate as an investment. When the market plunged in 2008, the expectation of easy returns was dashed.

As they had to wait out the market flop, renters suddenly had a lot of selection and the prices dropped.

Of course, that sets off the second round of bad news for renters.

"Average rents did edge higher, not a big increase. Overall the increase in average rent was measured at 0.7 per cent" said Fabri."


So with all that being said, if you're looking for a home with a mortgage helper give me a call and let's find you one. It won't be hard for you to rent it out! Also if you are currently renting perhaps it's time for you to look into finding a home of your own? I would be glad to give you a hand with that and show you what's available to you.


Nick Latondresse

Nick Latondresse

CENTURY 21 Assurance Realty Ltd.
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