The South Okanagan Real estate market continues to see a growth in sales despite inventory not increasing

Photo: Casey Richardson

Sales numbers for single family homes in the South Okanagan continue to grow compared to last year and inventory can't keep up with demand. 

The South Okanagan Real Estate Board (SOREB) released its November report, showcasing the single family home sales increased by over 70 per cent year-over-year, from 79 units sold to 135.

Penticton alone saw 45 single family homes sold in November, and the average price rose by 33 per cent at around $686,000.

The number of active listings continues to decrease in the area, with a total of 1,326 for November 2020. This is down 13.7 per cent from last month’s 1,536 listings and a decrease of 25.2 per cent compared to November 2019’s listing at 1,772. 

Naramata saw the largest rise in sales, growing by 81 per cent when compared to last year selling three single family homes at an average selling price over just over one million.  

Overall sales dollars increased by 48 per cent compared to the same time last year.The average sale price for single-family homes in November rose by 27.3 per cent to $651,990 compared to $512,022 in November 2019. 

“We continue to see a very strong demand for residential housing, particularly in the single-family detached category,” Lyndi Cruickshank, SOREB president stated in a press release. She added that “whether it is the need for more space, having the ability to work remotely or simply low interest rates making it more affordable for buyers to purchase move-up properties or all of the above; supply isn’t meeting the demand.” 

Townhouse sales have risen by 162 per cent compared to last year, along with condos and apartments rising by 147 per cent. Inventory for both of those sections has dropped as well. 

“When inventory is not able to build up, but you have extremely high demand this creates upward pressure on pricing as we can see from the data. There doesn’t seem to be any sign of this demand waning. Anyone looking to buy or sell should contact your realtor to discuss how best to support you safely and with government guidelines at the forefront."