Market balances, prices stabilize

The Central Zone of the Okanagan Mainline Real Estate Board reported October 2009 sales activity of all MLS property types has picked up since September and has continued to improve over last year and the early part of 2009.

Total sales in October rose marginally by 4% to 417 units from 403 in September but increased substantially by 141% over the 173 units sold in October 2008.

The 215 single family residential units sold last month were up 2% compared to the 210 units sold in September but rose 136% from 91 last year. Townhouse and condo sales continue to heat up with 56 townhouse units sold – a 211% improvement over 18 last October, and 73 condos sold – up 114% from 34 in 2008.

“Although sales figures have taken a significant leap from October 2008, we have to remember that the market was in a downward spiral last year at this time as the impact of the world economic crisis was becoming evident,” says Brenda Moshansky, OMREB Director.

“The robust sales activity we are seeing now is trending towards 2002 levels. The gradual but steady growth in the Okanagan has resulted in a healthier and balanced market as inventory drops and prices stabilize. Now is a good time to buy.”

She says summer recreational sales were down but there seems to be more interest in winter recreational properties this fall.

“Contrary to the seasonal slow down expected at this time of year. We could anticipate an influx of activity as prices continue to rise in the Lower Mainland and buyers look to the Interior for more reasonably priced retirement, investment and recreational property. As the Alberta economy shows signs of improvement and home prices continue to rise, the resulting increase in consumer confidence and home equity could bring investment buyers back to the Okanagan in the spring.”