Kelowna Real Estate Market: Have We Finally Turned the Corner? It’s easy to get caught up in headlines about Canada’s housing market — rising interest rates, economic uncertainty, and global trade tensions — but what’s actually happening in Kelowna tells a much more balanced story. Yes, sales are lower than our long-term averages, and yes, some listings are sitting longer. But underneath those numbers, something important is shifting: stability is returning. The Big Picture: 2025 in Context After several volatile years, the 2025 housing market feels different. We’re seeing steady activity, more confident buyers, and prices that have largely held firm despite a slower national economy. The numbers speak for themselves: Market Segment 2025 YTD Sales 10-Year Average (2015–2024) % vs 10-Year Avg 2025 Median Price Single-Family Homes 1,715 ~2,450 –30% $930,000 Townhomes 682 ~710 –4% $645,000 Condos 1,379 ~1,550 –11% $440,000 Total Market 3,776 ~4,700 –20% $730,000 While total sales are still below Kelowna’s 10-year average, the market’s direction is changing. 2025 has already outperformed 2023 by a wide margin, and confidence is clearly improving — especially among buyers relocating from higher-priced urban centers like Vancouver, Toronto, and Calgary. Single-Family Homes: Quality Over Quantity If you’ve been looking for a single-family home and can’t find the right fit in your price range, you’re not alone. Demand for well-maintained, move-in-ready homes remains strong — especially those with suite potential or secondary income options. Homes that show well and are priced right still sell quickly. But listings that need major upgrades, or that are priced as if it’s 2021, tend to sit. Investor interest in this segment has eased slightly due to softening rental returns and the higher cost of improvements. Still, the long-term outlook remains very strong. With Bill 44 now encouraging more small-scale multi-unit housing — and with no major new single-family subdivisions planned — detached homes will continue to appreciate faster than most other property types. In short: supply is finite, and that’s powerful for long-term value. Townhomes: The Tightest Market in 2025 Townhomes have quietly become one of the most balanced and resilient parts of Kelowna’s market. Year-to-date sales are almost on par with the 10-year average — one of the few segments that can make that claim. But it’s important to note why: Kelowna is simply building more of them. Townhomes now make up a much larger share of new housing, so naturally, their sales volume is rising as well. However, pricing tells a more complicated story. Units built before 2021 — when land and construction costs were lower — remain attractive to buyers and investors. In contrast, newer projects are facing tougher economics due to higher land values, inflated build costs, and tighter lending conditions. For developers, it’s getting harder to bring projects to market that both sell and make sense financially. Condos: The Affordability Anchor The condo market remains Kelowna’s entry point for first-time buyers and downsizers, but it’s also where we’re seeing the most dynamic change. Condos priced between $400,000 and $475,000 are still moving, but higher-priced units are taking longer to sell. Rents have started to ease, and most of the active new construction pipeline — from Aqua and Movala to Water Street by the Park — is geared toward purpose-built rentals rather than resale units. Once these large projects are fully absorbed, Kelowna could face a short-term shortage of resale condos, followed by a potential oversupply in the next 2–5 years as more towers complete. In other words, the condo market will likely remain the most price-sensitive part of the city’s housing mix — with affordability driving demand. Submarkets Within the Market It’s easy to think of “the Kelowna market” as a single entity, but each neighborhood, property type, and price bracket behaves differently. For example: Move-in ready homes in Upper Mission or Dilworth are moving faster than dated properties in outer suburbs. Townhomes in newer developments like McKinley or Tallus Ridge attract more lifestyle buyers than investors. Downtown condos are seeing competition from purpose-built rentals offering incentives and shorter-term flexibility. So if you’re a buyer wondering why you can’t find “the right one,” you’re not alone. The best listings still go fast — but homes that need work or aren’t positioned properly can sit for months. That’s the definition of a balanced market: when quality, presentation, and pricing make the difference. What It Means for Buyers and Sellers For buyers, this is the most strategic market we’ve seen in years — fewer bidding wars, more time to make informed decisions, and opportunities in segments that had been unreachable during the boom. For sellers, strategy matters more than speed. Pricing to the market, presenting your home properly, and understanding how buyers are comparing your property to newer inventory can make the difference between selling now or sitting through winter. The Kelowna Advantage Despite broader economic uncertainty — from inflation pressures to trade tensions — Kelowna remains one of the most stable real estate markets in Western Canada. Our strength isn’t tied to heavy industry or volatile job sectors. Instead, it’s rooted in lifestyle, livability, and long-term desirability — three things that continue to draw both new residents and investors alike. Whether you’re considering buying, selling, or simply watching from the sidelines, the key takeaway is this: the market isn’t crashing — it’s recalibrating. And for those who plan ahead, this type of market often produces the best long-term results.

Kelowna Real Estate Market: Have We Finally Turned the Corner?

It’s easy to get caught up in headlines about Canada’s housing market — rising interest rates, economic uncertainty, and global trade tensions — but what’s actually happening in Kelowna tells a much more balanced story.
Yes, sales are lower than our long-term averages, and yes, some listings are sitting longer. But underneath those numbers, something important is shifting: stability is returning.

The Big Picture: 2025 in Context

After several volatile years, the 2025 housing market feels different. We’re seeing steady activity, more confident buyers, and prices that have largely held firm despite a slower national economy.

The numbers speak for themselves:

Market Segment	2025 YTD Sales	10-Year Average (2015–2024)	% vs 10-Year Avg	2025 Median Price
Single-Family Homes	1,715	~2,450	–30%	$930,000
Townhomes	682	~710	–4%	$645,000
Condos	1,379	~1,550	–11%	$440,000
Total Market	3,776	~4,700	–20%	$730,000

While total sales are still below Kelowna’s 10-year average, the market’s direction is changing. 2025 has already outperformed 2023 by a wide margin, and confidence is clearly improving — especially among buyers relocating from higher-priced urban centers like Vancouver, Toronto, and Calgary.

Single-Family Homes: Quality Over Quantity

If you’ve been looking for a single-family home and can’t find the right fit in your price range, you’re not alone. Demand for well-maintained, move-in-ready homes remains strong — especially those with suite potential or secondary income options.

Homes that show well and are priced right still sell quickly. But listings that need major upgrades, or that are priced as if it’s 2021, tend to sit.

Investor interest in this segment has eased slightly due to softening rental returns and the higher cost of improvements. Still, the long-term outlook remains very strong. With Bill 44 now encouraging more small-scale multi-unit housing — and with no major new single-family subdivisions planned — detached homes will continue to appreciate faster than most other property types.

In short: supply is finite, and that’s powerful for long-term value.

Townhomes: The Tightest Market in 2025

Townhomes have quietly become one of the most balanced and resilient parts of Kelowna’s market. Year-to-date sales are almost on par with the 10-year average — one of the few segments that can make that claim.

But it’s important to note why: Kelowna is simply building more of them. Townhomes now make up a much larger share of new housing, so naturally, their sales volume is rising as well.

However, pricing tells a more complicated story.
Units built before 2021 — when land and construction costs were lower — remain attractive to buyers and investors. In contrast, newer projects are facing tougher economics due to higher land values, inflated build costs, and tighter lending conditions. For developers, it’s getting harder to bring projects to market that both sell and make sense financially.

Condos: The Affordability Anchor

The condo market remains Kelowna’s entry point for first-time buyers and downsizers, but it’s also where we’re seeing the most dynamic change.

Condos priced between $400,000 and $475,000 are still moving, but higher-priced units are taking longer to sell. Rents have started to ease, and most of the active new construction pipeline — from Aqua and Movala to Water Street by the Park — is geared toward purpose-built rentals rather than resale units.

Once these large projects are fully absorbed, Kelowna could face a short-term shortage of resale condos, followed by a potential oversupply in the next 2–5 years as more towers complete.

In other words, the condo market will likely remain the most price-sensitive part of the city’s housing mix — with affordability driving demand.

Submarkets Within the Market

It’s easy to think of “the Kelowna market” as a single entity, but each neighborhood, property type, and price bracket behaves differently.
For example:

Move-in ready homes in Upper Mission or Dilworth are moving faster than dated properties in outer suburbs.
Townhomes in newer developments like McKinley or Tallus Ridge attract more lifestyle buyers than investors.
Downtown condos are seeing competition from purpose-built rentals offering incentives and shorter-term flexibility.

So if you’re a buyer wondering why you can’t find “the right one,” you’re not alone. The best listings still go fast — but homes that need work or aren’t positioned properly can sit for months.

That’s the definition of a balanced market: when quality, presentation, and pricing make the difference.

What It Means for Buyers and Sellers

For buyers, this is the most strategic market we’ve seen in years — fewer bidding wars, more time to make informed decisions, and opportunities in segments that had been unreachable during the boom.

For sellers, strategy matters more than speed. Pricing to the market, presenting your home properly, and understanding how buyers are comparing your property to newer inventory can make the difference between selling now or sitting through winter.

The Kelowna Advantage

Despite broader economic uncertainty — from inflation pressures to trade tensions — Kelowna remains one of the most stable real estate markets in Western Canada.
Our strength isn’t tied to heavy industry or volatile job sectors. Instead, it’s rooted in lifestyle, livability, and long-term desirability — three things that continue to draw both new residents and investors alike.

Whether you’re considering buying, selling, or simply watching from the sidelines, the key takeaway is this: the market isn’t crashing — it’s recalibrating.

And for those who plan ahead, this type of market often produces the best long-term results.

Mark and Maddie Coons

Selling Kelowna Real Estate Group

Tel: 778-744-0872

email: [email protected]

Kelowna Real Estate Market: Have We Finally Turned the Corner?