Seasonal Slow Down and Negative Messages Keep Buyers on the Fence

 

December 8, 2008

Kelowna, BC - The Central Zone of the Okanagan Mainline Real Estate Board (OMREB) reported the number of units listed on the Multiple Listing Service® in the Central Zone was down this month by 6% at 754 listings compared to 804 in November 2007. Total sales dollars of all property types sold on the MLS® in November decreased by 65% compared to November 2007 while the number of units sold also decreased by 59% (149 units sold compared to 364 last November).

 

“November market activity is disappointing but not surprising given that consumers have been inundated with negative messages about the economy,” says Brenda Moshansky, OMREB Director and REALTOR® in the Central Zone. “This wary sentiment has combined with the typical November slowdown as buyers turn their attention to the holiday season. These two factors most certainly have impacted units sold as well as sales volume.”

 

“Units listed continue to decline as those who do not have to sell take their homes off the market in anticipation of a better market ahead,” she adds. “This will begin to bring more balance to the market. For those who need to sell, they will have to take a hard look at their price point and can take some comfort from the fact that if they are buying in the same market, they will find a wide selection of choice and will likely realize a corresponding price decline as a buyer,” Moshansky summarizes. “At some point, Buyers who are now on the fence will realize that these lower prices combined with low interest rates are reason for them to take action.”