The Okanagan is continuing to go down the path of a mild correction or a flat market. Central Okanagan sales are down about 10% and prices are down about 4% for the year to date. Some people would say that this would be a declining market. However, compared to what Alberta is going through, we are simply flat. Also, our markets are still substantially higher/better than the 10 year averages. One of my favourite phrases these days is: the market is a good, balanced market, not boom or bust.
The interesting thing to take note of is what is continuing to happen in big cities like Toronto and Vancouver. Both these 2 giants are continuing to show promise and positive gains in their lower-end markets. To give you an idea of how much statistics from Toronto and Vancouver affect the overall averages of the country, consider this. There are about 108,000 REALTORS® in Canada. About 62,000 of them are in Toronto and Vancouver. This explains why, when the media is reporting Canadian Real Estate statistics, it really has nothing to do with the market that your home is in, unless you live in Toronto or Vancouver.
The market in the Okanagan will remain steady as we go forward into 2020. Keep in mind that the market will follow it’s usual annual trends. In other words, the last quarter of each year and the first quarter of the following year are always the slowest quarters of every year.
If you are a first time home buyer, click here to read my recent blog on the new incentive program that was just introduced.
As always, this is the Real Estate World according to Rom.
New National Housing Strategy Means Good News for First-Time Home Buyers
The new strategy is a ten year, $55 billion plan said to give more Canadians across the country a home. Check out the images below for the new incentive program details. If you are a first-time home buyer then you must check this out!
Click the images below to enlarge the First-Time Home Buyer Incentive Program brochure!
To read more about the National Housing Strategy visit the Canada Mortgage and Housing website here.
I love this Fall video from Tourism Kelowna. It showcases stunning shots of the beauty (and food!) that Kelowna has to offer. I hope you enjoy it too! For more information on Kelowna living, visit my About: Living in Kelowna page by clicking here.
Fall is here and with that brings the falling of leaves, cooler temperatures and a new season of the real estate world. Like I have stated in the last few months, the current market is flat. No exciting rises or bubble bursts and there will be none in the immediate future. Bubbles burst when the market has shot up like a rocket like 2004 to 2007. Markets rise dramatically when the market previously fell off a cliff like in 2009 to 2013. We have nothing like that going on. The market is good; not great, not terrible but good.
A new report shows disparity in home price trajectories across Canada, including some large decreases. The CENTURY 21 analysis of home prices reveals that some communities have seen some steep decreases in price per square foot in the past year, most notably in British Columbia. Brian Rushton, Executive Vice-President of CENTURY 21 Canada said, “It is not surprising to see Vancouver prices drop so much, but the drop is actually more significant in some Metro Vancouver suburbs like West Vancouver and secondary B.C. markets such as Vernon and Kelowna”.
While the report is showing prices drop, sales activity is steady. The townhome market under $500,000 continues to be very active. The single family house market is all over the place. The market for homes over $1 million is very slow right now, with only 3 sold last month. Condo sales are still strong too but I suspect this market to stabilize within the next 2 years.
The only insight we can give you is that so far it looks like 2020 will be very similar. There may be a slight increase in the markets in 2020 caused by some of the positive lending changes; lower interest rates, lower qualifying stress test rates and the new first-time buyer incentive program. These programs and changes will allow a small percentage of the population the ability to buy when they could not before the program. Also, the five year bond yields and mortgage rates (yes, there is a correlation there), are back at or have broken levels compared to five years ago.
As always, this is the Real Estate World according to Rom.
Peaceful and private 6 bedroom, 2 bathroom home in desirable Trout Creek! This home is located at the end of a no-thru street and surrounded by orchards making it very quiet and tranquil. The home features 3 bedrooms upstairs, with a large open-concept living and dining room which opens to a large kitchen, perfect for entertaining. Downstairs you will find a large family room with 3 more bedrooms, laundry room and space to put in a third bathroom. The home has a fireplace on each level and the bathrooms feature heated floors.
The backyard is beautiful and park-like with a large covered deck, hot tub, chicken coop and plenty of room for a garden or children’s play area! Also included is an enclosed shop below the deck and large shed. There is ample room for parking as well as a 50-amp separate RV service. There is also gas onsite. Are you looking for a mortgage helper? This home is ready for a guest suite to be completed on the lower level! This is a must-see home!
For more information or to schedule a viewing call Rom Houtstra at (250) 317-6405 or click here!
Family friendly South Rutland home for sale! This 2700 sqft home features 3 bedrooms, 4 bathrooms and a large rec room and bonus room in the basement. On the main level there is a large formal living and dining space. The open-concept kitchen and family room area gives access to the private, fenced-in backyard, perfect for entertaining. The double car garage has ample room for storage and there is also a large driveway with plenty of space for parking. This desirable location is close to shopping, schools, transit and many other amenities. Recent upgrades include a new roof and new washer and dryer. Great neighbours and the quiet, relaxing setting makes this a very desirable home!
For more information or to schedule a viewing call Rom Houtstra at (250) 317-6405 or click here!
LOVELY NORTH GLENMORE TOWNHOME FOR SALE! This bright, two-story unit features 3 bedrooms, a den, 3 bathrooms and an open concept living space. Window seating and a large patio overlooking the creek make peaceful spots to enjoy your morning coffee or a book. Excellent location with a walking path to schools, shopping, restaurants, parks and more! Also, quick access to UBCO and Lake Country. The complex has a well-managed strata and great neighbours. One dog or one cat permitted. Rentals permitted on a limited basis. This family home will not last long!
For more information you can view the listing here or call Rom Houtstra with Century 21 at 250-317-6405.
Every month I sort through the real estate market stats and I get the feeling that the information can feel repetitive after a while. The real estate market changes very slowly, especially compared to the stock market. This year, the market is considered “good flat’, albeit still flat. The Central Okanagan is having a good year as far as sales are concerned. Yes, they are down compared to the last three years. However, they really did need to come down. Click the yellow text below for a larger view of the market comparison of July 2018 to July 2019.
We have to try and deduce what the high paid economists are thinking by the changes they make to the lending institutions. There is more evidence that the markets, both local and national, are inching towards a modicum of positive energy. The CMHC has now dropped their qualifying rate for the Stress Test to 5.19%. Interest rates continue to inch down. On September 2, the CMHC is rolling out its first time buyer’s equity plan to allow some exceptions to what they call a “First Time Buyer”. For the first time in months, Toronto and Vancouver are reporting a slight increase in sales and prices of certain property types. Locally, we continue to reap the benefits of the big city prices as they push home buyers into the Okanagan.
My prediction is that my monthly real estate stats reviews will continue to be “boring” until the end of the year. But, that is just the Real Estate World according to Rom.
BEAUTIFUL RANCHER WITH WALK OUT BASEMENT FAMILY HOME IN DESIRABLE KETTLE VALLEY! EASILY USED AS AN IN-LAW SUITE OR AS AN EXTENSION OF THE UPSTAIRS LIVING SPACE. This rancher style home boasts 4 bedrooms plus a den, 3 full bathrooms, double size garage and 2 gas fireplaces. The large, open and bright great room features a dining area, spacious family room and kitchen with stainless steel appliances, large island with room to seat 4 and a walk-in pantry. The master suite includes a huge walk-in closet and en-suite with double vanity and separate soaker tub and shower. Downstairs has expansive space with a family room, 2 bedrooms and a full kitchen studio which is great for a home based business or a potential in-law suite.
Recent upgrades completed this year include new interior paint, new carpets, brand new a/c unit, new exterior paint, new window coverings on the main floor, new backyard fencing, refinished hardwood floors and updated light fixtures. Walking distance to Chute Lake Elementary and amazing Quilchena Park. 3-4 minute drive to [brand new] Canyon Falls Middle School in The Ponds…Bring the family and move right in!
For more images and information, please visit the Century 21 website here.
Unique Concept & unique Opportunity! Own a modular, eco-friendly restaurant serving Pizza, Pasta, & Ice Cream! This turnkey franchise runs on electricity – no oils, gas, or hazardous products. Currently, they have negotiated a great location at the high traffic Enterprise Way in Kelowna. Lease is only $500 per month, this includes power! Crustlab recently added 2 other menus, besides the one local, on site menu, they also feature an online sandwich menu and online burger menu through Uber Eats. This business is profitable. With potential to expand to other BC cities and with multiple financing options, this is a prime opportunity to own a distinctive, sustainable restaurant concept. Financing available.
Eagle Valley Storage Marine & Lodge is located approximately 3 km north of Sicamous, on a 9-acre property, just off the Trans Canada Hwy. It features a large boat and recreational complex with four acres dedicated to buildings, boat, RV & Sled storage, office/shop building, and accommodations. The shop is a spacious, heated two-story building with an elevator, offering upper-level sled storage and a lower level for Marine Mechanics. There’s also an office & retail store with storage and a bathroom, two full suites, and a separate large lodge with an open concept living area, fireplace, games room, poker table, multiple bedrooms, and six bathrooms. The property provides heated and cold storage options, full Marine services, detailing, valets, and accommodations. Past services included sled and boat rentals and sled guiding, which could potentially be reintroduced to substantially increase revenues. There is also opportunity for more boat repairs and maintenance. This business has tons of growth potential. The shop comes with a Snap-on tool chest, welder, built-in pressure washer, and other equipment. The lodge is fully furnished and includes a hot tub, barbecue, skid steer, and tractor.
With over 22 years of experience in real estate Rom is extremely knowledgeable about developments and market conditions in the Kelowna area. This includes Penticton, Summerland, Peachland, West Kelowna, Kelowna, Lake Country and Vernon.
