Home sales in the Central Okanagan dropped last month

Home sales declined last month in the Central Okanagan compared to May 2016. 

The Okanagan Mainline Real Estate Board reports residential sales were down 23 per cent, townhome sales decreased 8 per cent, but apartment sales were up in May by almost 18 per cent.

Board President Tanis Read says the reason for the drop in sales is a lack of inventory - but with increased demand comes higher prices - the average price of a residential home last month was almost $704,000 - up from $601,000 in May 2016..

"One of the girls in our office says her neighbour just sold; a price they thought they would never get, and the buyers were from the U-S and Europe and thought they were getting a bargian," says Read. "Only 19 per cent of the homes that sold in the Central Okanagan last month were priced under $500,000." 

Read adds that 20 per cent of those buying homes in Kelowna in May were from Vancouver. 

Apartment and townhome prices also increased by 9 and 18.4 per cent respectively.