In reading the latest BC Real Estate update, the British Columbia Real Estate Association (BCREA) reports that 8,945 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in August, up 1.5 per cent from the same month last year. Total sales dollar volume was $5.1 billion in August, down 6.7 per cent compared to the previous year.
The average MLS® residential price in the province was $569,393, a decline of 8.1 per cent compared to the same month last year. “Strong housing demand across most regions of the province offset slowing home sales in Vancouver last month,” said Cameron Muir, BCREA Chief Economist. “The newly introduced 15 per cent foreign buyer tax combined with the 3 per cent property transfer tax on homes over $2 million brought in earlier this year, slowed demand at the top end of the market in Vancouver last month.”
“The decline in the average home price was due to a change in the composition and location of homes sold in the province,” added Muir. “Fewer sales of high priced detached homes relative to all other homes sales in Vancouver as well as fewer Vancouver home sales relative to the rest of the province has caused the average price statistic to decline.
” Year-to-date, BC residential sales dollar volume increased 39.1 per cent to $61.6 billion, when compared with the same period in 2015. Residential unit sales climbed by 22.1 per cent to 86,206 units, while the average MLS® residential price was up 13.9 per cent to $714.400.
Looking at the Numbers
In the Central Okanagan, Year to Date Sales are up 30.3%, and Average Sale Prices are up 13% compared to 2015.
We do expect sales numbers to start tailing off during the Fall, as is the norm; and we will continue to watch to see if the 15% Tax on Overseas Buyers, in Vancouver, has an effect – positive or negative on the Kelowna Real Estate Market.
Trish and Tanis Real Estate
Tel 250 863 8989