Not breaking a sales record for the first time in ten months is actually good news for Kootenay real estate, says Kootenay Association of Realtors president Chuck Bennett.
“Very similar to other regions in the province, sales in the Kootenay region have indeed lowered. Having added 553 new listings last month, I feel that this is a good sign. It means that we’re on track to achieving a demand and supply balance in the market. This normal provincial pattern is what we see every year after the first quarter and is indicative of a normal summer market coming ahead, which has always been a good time for Kootenay real estate. A bounce back is expected in the post-pandemic market and with summer already here, we’re confident that our sales figures in June and July will be very strong.”
Not that May wasn’t a good month for sales. It was up 109.7 per cent from May of last year on sales of 367 residential units. The average price was up as well, to $457,960 a rise of 23.5 per cent from the same period last year.
And inventory, though improving is still an issue.
“If you check our YTD sales figures, you’ll notice that in the last decade, 2021 is still the best year for Kootenay real estate,” Bennett said. “Other than inventory, the market has been booming. We must understand that along with high sales, low inventory is the most basic indicator of a hot market. After having a string of record-breaking months, these numbers are bound to stand where they are. I can’t deny that we are far from our average inventory numbers. As the economy is expected to grow faster post-pandemic, a slowdown in demand is unlikely. At the current rate, it may take 12-18 months before we reach our inventory targets.”