Central Okanagan Monthly Real Estate Market Summary – December 2023

In Central Okanagan, the residential real estate market experienced a notable slowdown in December 2023 due to persistently high-interest rates, according to the Association of Interior REALTORS®. The area recorded 528 residential unit sales, marking a 12.4% decrease from December 2022 and a substantial decline from the previous month’s 813 units sold. Despite this, there was a healthy uptick in new residential listings, showing a 16.7% increase compared to December 2022, with 859 new listings in the region. Active listings also rose by 24.3% year-over-year, reaching 5,889 across the Association region.

Specifically, the Central Okanagan experienced a 3% decrease in the benchmark price for single-family homes and a decrease in the benchmark price for townhome housing categories compared to December 2022. Conversely, in the condominium housing category, the benchmark price in Central Okanagan decreased as well.

Association President Chelsea Mann noted that the market slowdown was more pronounced than typical seasonal variations and attributed it partly to potential buyers and sellers waiting for a potential decrease in mortgage rates in the upcoming year. Mann also highlighted that external factors such as multiple interest rate hikes in 2023, wildfires, and a lack of affordable housing contributed to the subdued market activity in the year.

Average days to sell is on the rise

The average number of days to sell a home in the entire Okanagan region increased to 78 days in December 2023, indicating a slower pace compared to November 2023’s 69 days. However, it’s essential to consider that this indicator varies depending on home type and sub-region within the Okanagan.

Real estate sales and purchases are getting more complex and the guidance of an experienced real estate team like Hilbert & Crick is essential. Get in touch with us to learn more about how we can help!