Shifting Trends in the BC Housing Market: What’s Next for Buyers and Sellers in Kelowna?
The real estate market in Kelowna, BC is evolving as more people reconsider where they want to live. Recent data from U-Haul’s City Growth Report shows that Kelowna has dropped to #23 on the list of growing Canadian cities, after consistently ranking in the top 10 over the past five years.
This shift reflects broader trends in home buying and renting, affecting both buyers and sellers in Kelowna’s real estate market.
BC’s Changing Migration Patterns: More Residents Moving Out Than In
A major factor influencing the market is interprovincial migration. As of Q3 2024, British Columbia has seen five consecutive quarters where more residents left than arrived, with most relocating to Alberta.
Why Are People Moving to Alberta?
- Lower cost of living
- Better job opportunities
- More affordable housing options
Cities like Calgary (#1 for growth) and Edmonton (#2) continue attracting buyers, while Kelowna home sellers adjust to shifting demand.
Why Buyers Are Still Interested in Kelowna Real Estate
Despite these changes, Kelowna remains highly desirable thanks to its natural beauty, mild climate, and lifestyle appeal. With Alberta’s real estate prices rising due to increased demand, Kelowna could regain traction as more buyers re-evaluate their options.
In fact, Kelowna’s real estate market is already seeing increased sales activity, driven by first-time buyers and move-up buyers.
- First-time buyers accounted for 23% of all purchases in 2024.
- Upcoming mortgage rule changes in 2025 could increase demand for homes priced between $1M - $1.5M, making it easier for buyers to qualify for financing.
- Baby boomers may accelerate downsizing as they seek more manageable living options, creating new inventory for move-up buyers.
As people adjust to these new trends, there are still great opportunities for buying and selling, especially for those staying within the same market. Keeping up with these changes will help buyers and sellers make smart decisions.
That said, these reports show past trends, and new ones are already forming.
These factors present new opportunities for sellers, buyers, and real estate investors in Kelowna.
Interest Rates and Market Outlook for 2025
One of the biggest influences on Kelowna’s real estate market will be interest rates. With rates starting to decrease, buyers will have greater purchasing power, and seller confidence will rise.
💡 What does this mean for you?
- Buyers: Now may be a smart time to lock in a home before competition increases.
- Sellers: As demand returns, listing your home strategically could maximize your sale price.
- Developers & Home Builders: Infill multifamily projects in Kelowna may see renewed interest as affordability improves and more people seek modern housing options.
What’s Next for Kelowna’s Real Estate Market?
The spring market will be a critical turning point. If you’re considering buying, selling, or investing in Kelowna real estate, staying informed on market trends is key.
🏡 Thinking of selling your home? Find out what your property is worth today.
📲 Searching for a home? Download our exclusive MLS® home search app: https://goagent.ca/33DC752D (Access Code: 33DC752D).
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👉 For expert advice on navigating Kelowna’s evolving real estate market, contact us today!
Mark and Maddie Coons
Selling Kelowna Real Estate Group
Tel: 778-744-0872
