Is now the right time to buy?

It’s an age old question that comes up in almost every conversation I have about real estate, but I have been asked this one more often lately because of the slight decrease in interest rates and everyone wants to know “what does the future of Okanagan (and Kelowna) real estate look like”?

Unfortunately, my crystal ball is in a perpetual back log queue at the shop for repair, but here’s what I can tell you about what I see, boots-on-the-ground today, happening in our local market place.

Kelowna, the crown jewel of the Okanagan Valley, has long been a hot spot for Canadian real estate, but recently I’ve heard and seen and helped a lot of people sell their Okanagan nest egg to jet-set for sunnier and/or more affordable places. Some head down south, some head east, some just scoot to a smaller town in the valley where peace and quiet is the going currency.

What this means for a lot of Buyer’s trying to get into the Okanagan real estate game is that there are deals to be had. The market has shifted from the frenzied seller’s market of the last few years, where as soon as a home hit the open air, the seagulls flocked in droves, to more of a lazy Sunday stroll down a cricket-choir road (almost).

We are in a “transition” market, which means that more and more what I see is listings come on at a high price, sit for a few weeks to a few months, reduce their price or relist at a reduced price and then eventually sell. I also still see places sell day-one on the market AND I also still see some multiple-offer-bidding-wars. So while the inventory is flush and you might have time to sleep on it, bring your aunt/cousin/brother and best friend back for a second showing a few days later, the good ones still go fast!

There is a LOT of inventory on the market right now for a Buyer to choose from and that can (not always) translate to more negotiating power and potentially lower prices and deals to be had!

In the grand scheme of prices, we are seeing SOLD values landing more in the range of where they were in the summer/fall of 2021 before the major spike of 2022, BUT (there’s always a BUT, right?) the major difference in Buyer advantage and power between summer/fall of 2021 and today is…. interest rates. We are obviously not in the same lending environment that we once were about 72 moons ago, so while there is mucho inventory for a Buyer to look at, the real question that you should be talking to a mortgage broker about is “what can I afford today that won’t make me house-poor and financially maxed-out”. If you need a recommendation to a great mortgage broker, feel free to ask me and I’d be happy to send you a list of great brokers I work with.

What does the future hold?

Another crystal ball question, but here’s my two cents… many of the forecasters and rumours around the water cooler predict that the Okanagan’s hot cities and particularly Kelowna’s real estate values might see a plateau with only the slightest incline over the next year to 18 months . This could be a good thing for long-term buyers seeking stability. However, remember, predictions aren’t guarantees.

Is the Okanagan right for you and your family? 

The Okanagan’s charm goes beyond the numbers. It’s a lifestyle choice. If you crave Okanagan sunshine, outdoor adventures, and a vibrant community, Kelowna or any one of the surrounding cities’ allure might outweigh short-term market fluctuations. There’s no one-size-fits-all answer. Consider your financial situation, long-term goals, and tolerance for risk. If you’re a first-time buyer or prioritize affordability, the current market offers advantages to get a deal however, if you have flexibility and prioritize lifestyle, Kelowna’s enduring appeal might be the deciding factor.

Do Your Research!

Regardless of your decision, consult a local realtor for personalized guidance. They can provide insights into specific neighborhoods, property types, and market trends to empower your Kelowna dream and before anything else, talk to a mortgage broker and figure out what the numbers look like and if they make sense for YOU!

Here and happy to help!