Disparity takes many forms in British Columbia

According the BCREA report published on November 12th home sales in British Columbia increased 14% over sales in October 2014. The dollar value increase of sales was even higher at a staggering 32%, and the average MLS residential price in BC has risen to an astounding $667,480.

That has one Kelowna REALTOR® wondering why the disparity exists. Sally Hollingsworth is a Kelowna real estate agent with several years history in a market that is seen to be stable compared to the wild gyrations of BC’s most dominant real estate market.

If the opening paragraph does not sound right to you that is because by quoting overall statistics for BC the numbers get skewed by Regional influences, largely the overpowering effect of the Vancouver market of course. Try to guess the record breaking sale price of this East Vancouver home as featured in an article by the Huffington Post.

It sold for $567,260 over the asking price for a total of $2,167,000. and that was back in March, and overall the prices in Greater Vancouver have seen a 15% increase this year.

Yet due to the downtu
in the resource sector values in the region of Northern Lights have fallen 15%. Alberta, one of our traditional markets for Okanagan real estate has also seen a 6% decline according to CREB. This kind of disparity can create a challenge for the economy, with the Bank of Canada wrestling to decide how to set lending rates for everyone’s best interest.

Thankfully here in the Okanagan we are literally in the middle of it all. According to OMREB sales in October for our region were up 3.8% over last year, which is a far more balanced and sustainable position for the market. Our economy is more diverse than in the North, we have less influence from overseas buyers and the retirement trend continues to benefit the Okanagan.