Kelowna BC – August 11 2014
The Kelowna new condominium and Townhouse market continues to firm up with inventory levels dropping significantly in the past 60 days as units that were previously sitting on the market are selling.
Two significant factors are driving new condo and townhome sales.
- Pre-retiree baby boomers from out of area markets dominated by Alberta and Vancouver lower mainland are “preloading” purchases with the intent of moving to the Okanagan as part of their lifestyle retirement plan. Empty nesters and couples without children account for 49.7% of sales.
- Local buyers are laterally transferring equity from and existing homes into a newer condo or town homes located within walking distance of amenities. The South Pandosy, Lower Mission and Downtown districts are benefiting most. Single females dominated by divorcees or widows account for 13.0% of the overall market with a preference for lower maintenance offered in condos and townhomes. Couples moving from single family homes to strata ownership accounts for 12.9% of sales.
JULY SURVEY SUMMARY
29.2% of purchases were by Move-Up Buyers (down from 30.9% in June)
14.9% by First Time Buyers (down from 20.7%)
12.9% moving from Single Family Home to Strata Unit (same as June)
10.2% buying Recreation Property (up from 4.3%) *
9.2% buying Revenue/Investment Property (same as June)
6.8% moving into Retirement Home/Seniors Community (up from 5.3%) *
4.1% moving from Strata property to Single Family Home (up from 2.8%) *
* During June, there were increases in purchases by recreation property buyers, retirees moving into seniors communities, and buyers moving from strata properties to single family homes compared to the previous month.
Buyer Type (Family Dynamic):
26.7% Couple without Children (up from 24.9% in June) **
24.7% Two Parent Family/Children (down from 28.4%)
23.0% Empty Nester/Retired (up from 21.3%) **
13.0% Single Female (up from 11.9%) **
9.7% Single Male (down from 9.9%)
2.7% Single Parent with Children (same as June)
** There were more purchases by couples without children, empty nesters/retirees and single females during July than in June.
50.3% from Within OMREB Board Area (down from 57.9% in July)
22.7% from Alberta (up from 18.2%) ***
11.7% from Other Areas in BC (up from 8.6%) ***
7.3% from Lower Mainland/Vancouver Island (down from 9.8%)
3.6% from Saskatchewan/Manitoba (up from 1.2%) ***
2.3% from Outside Canada (up from 1.8%) ***
1.3% from Eastern Canada/Maritimes (down from 2.1%)
0.7% from NWT/Yukon (up from 0.3%) ***
*** Compared to June, more buyers moved from Alberta, other areas of BC, Saskatchewan/Manitoba, the Territories/Yukon and outside Canada in July. Movement from other areas declined.