Residential real estate sales in the Interior of British Columbia are finally showing some signs of cooling down after years of frenzied market activity, according to a new report from the Association of Interior Realtors. While the market is still strong, it seems to be leveling out, which is good news for buyers and sellers alike.
In February, a total of 831 residential unit sales were recorded across the Interior region, a significant decrease compared to the hyper market of February 2022, but an increase compared to January’s sales. This uptick in sales suggests that the market is heading in a more positive direction, according to Lyndi Cruickshank, the President of the Association.
“The overstimulated boom of the last few years, along with multiple mortgage rate hikes, made many buyers and sellers hesitant to make any moves,” she says. “But now that the dust is starting to settle, these buyers and sellers can move forward in a transitionally healthier real estate market more reminiscent of pre-pandemic conditions.”
Despite this trend, the market is still quite competitive. The Kamloops and District region added 1,579 new listings in February, a 15 per cent decrease from the previous year. However, the overall inventory saw a healthy increase, with 5,213 units currently on the market.
The Central Okanagan, North Okanagan, South Okanagan and Shuswap/Revelstoke regions all saw decreases in year-over-year comparisons for single-family homes’ benchmark prices. The highest percentage increase was represented in the townhome category for the North Okanagan region; coming in at $591,900, up 14.7% compared to the same time last year.
In Kamloops, an increase was seen in the townhouse category of 5.1% coming in at $520,600 compared to the February 2022.
Overall, the market seems to be stabilizing, showing positive signs of normalizing.