Despite a strong September, transaction values in Penticton’s residential real estate market were down 11% through the first three quarters of 2019.
Last month saw 76 properties change hands for a total of $35 million, up from 54 deals worth $19.5 million in September 2018, according to new data from the South Okanagan Real Estate Board.
Through the first three quarters of 2019, however, there were 679 sales totalling $291.1 million, well off the 764 sales for $326.2 million in the year-ago period.
The average sale price of a single-family home has also fallen, settling at $548,000 as of Sept. 30 compared to $572,000 a year earlier.
September sales for the South Okanagan as a whole were also up, from $41.5 million to $75.6 million, but were down year to date.
There were 1,402 sales worth $597.1 million through the first three quarters versus 1,575 sales totalling $658.6 in the comparison period.
The average sale price of a single-family home rose, though, from $528,000 to $533,000.
SOREB president Dori Lionello said real estate listings tend to trail off come the winter months as sellers prepare their home for a spring listing.
“I think the sales are just finding a normalcy as listings are trailing off,” she said. “We’re just seeing a decent return to demand in the market.”
Sellers who may not be getting the offer they want, either, often will take their home off the market and rent it, she said.
As for home prices, Lionello said this month’s federal election could have an impact.
“It might be dependent on who comes into governance,” she said, adding that a party that tosses the current stress test for first-time homebuyers could give buyers a bit more spending power.
“Being a realtor . . . we find buyers don’t have the purchasing power they once had if they prequalified two years ago, qualifying for a $700,000 mortgage and they’re now looking at $550,000.”
Residential property sales through Q3
2018 2019 Avg. SFD*
Penticton $326.2M $291.1M $548K
Naramata $14M $13.5M $714K
Kaleden/OK Falls $44.1M $33.6M $522K
Summerland: $89.3M $93.6M $679K
Oliver: $60.3M $47.9M $438K
Osoyoos: $75.4M $69.9M $624K
Keremeos: $14.7M $13.2M $350K
Princeton: $28.6M $21.5M $277K
Region: $658.6M $597M $534K
*Average selling price of a single-family home through first three quarters of 2019
— SOURCE: South Okanagan Real Estate Board