Back In The Valley

Back In The Valley

Mar 30, 2023 | Finance, Real Estate

While plenty of real estate markets have experienced highs and lows going into and coming out of the pandemic, the Okanagan continues to maintain a unique standing. Unlike many Canadian real estate markets, the Okanagan (and Kelowna in particular) was on a steady climb before the covid-19 pandemic brought the world to a screeching halt. Kelowna has always been the best place to live, but now the word is out and the rest of Canada’s quickly taken notice.

Like we’ve touched on plenty of times, the Kelowna real estate market saw a massive influx during the pandemic, skyrocketing prices and driving down availability, officially making our region the most desirable to live in the country. Not only this, but commercial development and interest came hand in hand with the residential market boom. So, what does this mean for the market now that we’re in 2023 and the pandemic is in the rear-view mirror?

Without getting too technical, the Bank of Canada has set out to tame inflation down to a rate of 2% (compared to its peak rate of 8.1% last year), which has encouraged a lot of recent mortgage interest rate changes. In the last year alone, the BoC has raised interest rates eight times in a row to combat this alarming rate of inflation, showing success earlier this year by driving things down to 5.9%. While this is still a ways off from their 2% target, we’re on the right track to re-stabilize the economy and property markets.

These changes combined with the increasing inventory availability in the Okanagan are starting to drive our market back to pre-pandemic conditions and introducing some stability. All that being said, it’s important to keep in mind that the Okanagan’s pre-pandemic market conditions are far from a negative outcome. Admittedly, we might not be hitting the same peaks that we’ve seen over the last couple years, but the Okanagan’s ‘valley’ in this case is still sitting pretty.

Looking to learn more about our ever-evolving Okanagan market conditions? Let’s talk and help set you on the right path 🙂

Additional Reading

Incoming Inventory

Incoming Inventory

As we slowly make our way into the New Year, the usual speculation about future market conditions continues. Like we talked about last month, there are plenty of market influencers to consider in early 2024 that will set the tone for the rest of the year, like the...

New Year, New Market

New Year, New Market

Happy New Year everyone! Am I the only one who feels like 2024 snuck up on us way too fast?! With the New Year underway, a lot of folks are starting to wonder what lies ahead in 2024 for the Okanagan housing market. Market speculation is always a popular topic around...

Winter Growth Spurt

Winter Growth Spurt

As we head into another winter, the expected rumors and reports of a market slowdown are once again the hot topic in Kelowna real estate. But, speaking from experience, this isn’t an unnatural turn of events. Sales activity in Okanagan housing naturally tapers off...

250-470-0377