A tale of two cities
Nov 4, 2013 / 9:00 am
If you're trying to sell your million dollar home in Kelowna these days you likely haven't had a lot of people show up to see it. I'm sure it looks nice with a spectacular view of the lake, home gym, granite everywhere, top of the line fixtures and enough space a person could get lost. The reason is basic mathematics. There are 330 homes priced over $1 million right now and our market has only generated 84 home buyers spending over a million dollars so far this year. With a little over 8 sales a month, this works out to over 3 years of inventory making this segment in need of pulse checking.
The 330 homes for sale in the million dollar plus category represents 20% of our housing inventory. In fact, there are fewer Kelowna homes for sale priced under $399,000 right now. If you're trying to sell a single family home in areas where most of us live, things are quite good these days. Glenmore has recorded 156 residential sales this year with only 67 homes for sale. That's only 5 months of inventory for sale. Rutland is even better with 243 sales this year and only 113 homes for sale. That's only 4 1/2 months of inventory available which means reasonably well priced homes are getting showings and well priced homes are selling.
Overall, there have been 2,091 single family Kelowna homes sales so far this year compared to 1,800 this time last year. This represents an 18% increase in unit sales. The average sale price so far this year is $490,000, down from $502,000 this time in 2012. There have been 667 condo apartment sales so far this year compared to 660 this time last year. Let's call it a tie. Prices are down slightly to $237,000 from $243,000.
October is an unpredictable month and it's way too easy to use weather as the reason. The average sale price for residential sales skyrocketed to $554,000 for October largely due to a $9.8 million sale in Lake Country. Just for the sake of change, let's use median prices this month. The median sale price was $450,000 compared to $425,000 last year. Unit sales were also up with 188 solds compared to 141 for October 2012. Same story for apartments only in reverse. The average sale price plummeted for October largely due to a $3.5 million sale October 2012. The number of Kelowna Condo sales improved to 69 this October from 55 last year. It's still a buyers' market when it comes to apartments and will be for some time.
This is the time of year when a lot of sellers decide to take their Kelowna homes off the market in hopes of better luck in the new year. I know it's more difficult to get your home ready to show with holidays, a Christmas tree and visiting family but buyers out looking during the colder months tend to be 'have to' buyers and are usually more serious. There's always a lot less competition in the winter too.
Read more Ups and Downs in the World of Housing articles
- Kelowna homes: Rutland or Mission? Dec 9
- November: a pretty good month Dec 2
- Are we affected by the US market? Nov 18
- Kelowna foreclosures Nov 11
- A tale of two cities Nov 4
- Kelowna condo market: buy or sell? Oct 25
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