Edmontonians helping drive hot Okanagan market, resale figures show

That renowned Okanagan heat doesn’t just pertain to its summers lakeside, bountiful vineyards and sun-kissed orchards.

“Last year, Albertans made up 11 per cent of all buyers in the region,” says realtor Jeffrey Sefton with Faith Wilson/Christie’s International Real Estate in Kelowna.

That is the largest group of out-province buyers in the district, he adds.

What’s more, some of the realty firm’s recent data points to growing interest among Edmonton buyers. User traffic to its website grew from 640 total visits in 2020 from Edmonton to 1,412 visits last year.

Sefton says many Edmonton buyers the firm has worked with in recent months are nearing retirement and choosing to make the move before retiring because of the pandemic.

Others are purchasing homes for retirement in places like Kelowna to spend the summer months while aiming to spend winters in the American southwest, he says.

It’s a pricey endeavour relative to the cost of real estate in Edmonton, based on recent real estate data from the region.

January sales figures from the Okanagan region show the average price of a single-family detached home jumped by 30 per cent, year over year, to more than $813,000.

By comparison the average price of a home in Edmonton was about $445,000 last month, an increase of about four per cent over the same month in 2021, Realtors Association of Edmonton figures show.

Despite fast-rising prices, sales in the interior region of B.C. have been slowing with single-family detached sales down 17 per cent (325 transaction total) in January over the same month in 2021. Townhomes — with an average price of nearly $550,000 — saw sales fall 20 per cent, while condominiums — with an average price of about $405,000 — fell the least at three per cent, year over year.

While Edmontonians may make up a share of those buyers, one Edmonton realtor says she is seeing an opposite trend unfolding.

She further notes some B.C. buyers are purchasing investment properties in Edmonton to rent. Others, however, see the city’s “affordability factor is a strong draw,” she says.

When looking at the price differential between the two markets, B.C. “first-time buyers and investors sit up and take notice,” Schmidt adds.

Still, the Okanagan’s lifestyle remains a big draw for Edmonton buyers, Sefton says, noting many seek homes with lake and mountain views among other key features and amenities.

“It’s definitely a great place to live with lots to do: vineyards, lakes, hiking, biking and ski hills,” he says. “There is pretty much something for everybody.”