BC Real Estate Market News Update March 2024

BC Real Estate News Summary March 2024

The BC Real Estate Market News for March 2024 seems to be showing some signs of recovery and mixed with a variety of challenges.

“The BC housing market is in a period of relative calm entering the spring,” according to BC Real Estate Association Chief Economist Brendon Ogmundson, in his March 2024 report. He further comments that “While activity is picking up, home sales remain below normal, and home prices have been essentially flat since last summer.”

BCREA’s full February Market summary here.

If we look at Vancouver (a key area within BC), the market is showing signs of vitality with increases in benchmark home prices and sales volumes. For February 2024, Metro Vancouver’s benchmark home price reached $1,183,300, marking a 1.9% increase from the previous month and a 4.5% increase year-over-year.

Detached houses saw a 7.2% increase over the past year, with the benchmark price for these homes reaching $1,972,400. Additionally, apartment benchmark prices rose by 5.6% year-over-year to $770,700. The sales volumes in Vancouver for February included 560 detached homes, 1,092 apartments, and 403 attached homes, reflecting a vibrant market that remains dynamic despite broader economic pressures​​.

What’s been happening in Kelowna Real Estate March 2024?

In Kelowna, the Single Family Home Benchmark price was $1,009,100. That was a nearly 2% increase over January, which is welcome news for sellers.

In February 2020 for the Okanagan average house price was $700,894 compared to February 2023 when it was $754,590 (a reduction of 7.1%). This is below average when we compare it to the rest of the province. February 2024 active listing stood at 4160 an increase of 28% on the previous year.

 

*NOTES: The Okanagan Mainline Real Estate Board (OMREB) amalgamated with the South Okanagan Real Estate Board (SOREB) on January 1, 2021, to form the Association of Interior REALTORS©. In February 2022, the Association merged with the Kootenay and Kamloops real estate boards. **The former Northern Lights Board, which was merged with SOREB in 2011, will now be called the South Peach River Region and is part of the new Association of Interior REALTORS©. ***Numbers may not be added due to rounding.

A recent forecast from Central 1 Economics suggests that the BC housing market is set to rebound starting in 2024, but they warn challenging affordability will restrict price growth. Their full report here.

They predict a 15.6% rise in sales during 2024, and 12.3% in 2025.

These forecasts assume interest rates will start to come down from their peak, this Spring, and continued population growth, which will pave the way for a resilient market that continues to attract buyers despite elevated prices.

A key uncertainty is the potential impact of the newly enacted BC Provincial Short-Term Rental Regulations, set to take effect on May 1, 2024. There is concern that these regulations could prompt a surge in listings, particularly within the condominium market, as Owners adjust.

If you’re looking for straightforward advice on buying or selling in Kelowna this Spring, I’m here to help!

Please feel free to contact me for expert assistance tailored to your needs. Let’s make your real estate goals happen!

Trish Cenci

Tel 250 864 1707