Association of Interior REALTORS® - Okanagan

Residential real estate sales in August fell despite interest rate cuts, reports the Association of Interior REALTORS® (the Association).

A total of 1,165 residential unit sales were recorded across the Association region in August coming in below July’s 1,351 units and below August 2023’s units sold by a 9.5% decrease.

“Sales activity was trending upwards towards the end of July yet tapered off in August, more so than the usual seasonal slowdown,” says the Association of Interior REALTORS® President Kaytee Sharun, adding that “demand doesn’t seem to be translating into sales despite recent interest rate cuts, indicating that there could be various other factors impacting market activity or some sellers were merely holding out for the latest Bank of Canada rate cuts.”

New residential listings saw an increase of 9.3% compared to August 2023 with 2,586 new listings recorded last month. The total number of active listings saw an uptick of 31.4% of total inventory compared to August 2023 with 10,198 recorded across the Association region. The highest percentage increase in active listings for a fourth consecutive month was in the Central Okanagan region with a total increase of 41.2% compared to August 2023.

“Despite the lower-than-expected sales activity, we are still in a fairly balanced market with a healthy inventory of listings providing buyers with more options, which may boost sales activity to more normal levels in the coming months,” notes Sharun.

The benchmark price for single-family homes in August saw increases in the Shuswap/Revelstoke and North Okanagan regions in year-over-year comparisons, while the Central and South Okanagan region saw decreases of 5.3% and 7.7%, respectively. Benchmark pricing in the townhome housing category saw decreases in the Central and South Okanagan compared to the same month last year with the Shuswap/Revelstoke and North Okanagan seeing slight increases of 1.2% and 0.6%, coming in at $591,300 and $558,600. In the condominium housing category, all regions saw decreases in the benchmark price for August 2024 compared to the same month last year.

Given the high stakes on such a significant financial transaction, home sellers and buyers can benefit from the knowledge and skills of a practiced REALTOR®. Contact your local REALTOR® to find out more about the real estate market and how they can help you achieve your real estate goals.