Vancouver, BC – August 18, 2015.
For only the third time in BC, Multiple Listing Service® (MLS®) residential sales are expected to reach 100,000 units in 2015. Housing demand has not been this robust since 2007 when 102,800 homes traded hands. A record 106,300 MLS® residential sales were recorded in 2005.
“While rock-bottom mortgage interest rates and BC’s nation leading economic growth are underpinning demand, consumer confidence is the key driver of the near record activity,” said Cameron Muir, BCREA Chief Economist.
Strong consumer demand has drawn down the inventory of homes for sale to their lowest level in nearly eight years. As a result, sellers’ market conditions are prevailing in many communities and causing home prices to be pushed higher. The average MLS® residential sales price in the province is forecast to climb 10 per cent to $626,000 this year. An increase in new construction activity and a higher proportion of condominium purchases is expected to limit growth in the average home price to 2.5 per cent in 2016.
As far as the Central Okanagan goes, BCREA are forecasting Unit Sales numbers of 8250 this year, which is an increase of 9.6%, and 7,900 units, which is a fall of 4.2% next year.
Average MLS prices in our area are forecast to be $408,000 this year, which is an increase of 2.6% and $418,0000 in 2016, which is a 2.5% increase.
To read the full report, please go to http://www.bcrea.bc.ca/docs/economics-forecasts-and-presentations/housingforecast_.pdf
If you have any other specific questions about Real Estate in the Kelowna area, please do not hesitate to give us a call or send us an email!
Trish and Tanis