December Market Stats are in for Houses in Kelowna

December 2024 brought a sense of stability to Kelowna’s real estate market, with trends signalling cautious optimism for 2025. While sales reflected the traditional holiday slowdown, the data reveals intriguing insights into the region’s housing trends.

December’s Market Report

The month recorded 716 residential sales across the Association of Interior REALTORS® region, down from November’s 994 but a significant 30.7% increase compared to December 2023. In Kelowna specifically, sales included 116 single-family homes, 40 townhouses, and 69 condos. This marked an improvement over the December 2023 figures.

New listings in December showed a modest increase of 7.9% year-over-year, and active listings rose by 14.1%, with inventory levels across the Interior REALTORS® region standing at 6,721. This uptick in supply provides potential buyers with more options, a promising development as the market transitions into 2025.

Pricing Trends of Houses in Kelowna 

Kelowna’s benchmark price for single-family homes reached $1,023,700 in December, slightly above November’s $1,013,400 but well below the April 2022 peak of $1,131,800. Townhouses and condos followed suit, with benchmarks of $746,400 and $475,500, respectively. While these prices represent stability compared to recent months, affordability remains a key concern for many.

Since April 2020, when single-family homes averaged $670,000, Kelowna has seen significant price growth, driven by the pandemic-era boom. Although inflation and interest rates began to stabilize in 2024, the market has yet to fully balance, as sellers resist lowering prices and buyers remain cautious about current valuations.

What Does 2025 Hold?

The combination of increased inventory and seasonally typical sales activity hints at a more balanced market for the year ahead. However, sustained listing momentum will be crucial in preventing upward pressure on prices. Buyers may benefit from the current supply levels, but affordability challenges and economic uncertainty could temper activity.

For prospective buyers and sellers, 2025 could bring opportunities if trends continue toward stabilization. Contacting a REALTOR® like me is a great way to ensure your success in understanding the nuances of the Kelowna market!