According to a Royal LePage Report, recreational property markets in B.C. including the Okanagan saw prices and sales activity climb compared to this time last year.
“British Columbia will never go out of style as a recreational destination, with our mountains, our coastline and our West Coast lifestyle,” Jim Morris, Manager for Royal LePage Western Canada, said. “Together, the softening of the foreign-buyer tax rules, the persistently low Canadian dollar and the introduction of a similar tax in Ontario are encouraging the return of buyers from outside of the country.”
The report says while sales activity within the province slowed slightly to begin the year, as many buyers remained on the sidelines in order to assess the effects of recent government intervention, inventory levels continued to dwindle, buoying prices across the region. Now, in many areas, months of pent up demand have been unleashed onto the market, propelling sales activity higher.
This trend will likely continue for the remainder of the year.
According to the report, demand for recreational properties in the Okanagan outweighs supply.
“The Okanagan Valley is still one of the most sought-after places to buy property in Canada, and we have seen two years of steady upward price movement,” Mark J. Walker, sales representative, for Royal LePage in Kelowna said. “We sit between an improving Alberta economy and what many consider an overheated market in Vancouver. Consumer confidence in our region continues to grow, but the supply of recreational properties has decreased significantly this year, as sellers are willing to wait in a rising-price environment.”
The report looked at average prices of lakefront properties in 10 regions across B.C. with the Okanagan boasting the highest average price at $2.1 million.
Click here to read the full report.