KAR file

Average home price in Kootenays breaks $500,000 mark

Almost 4,000 homes sold in 2021

Almost 4,000 residential homes were sold in the Kootenay in 2021, and in further good news for sellers — but not necessarily buyers — the average price of a home in the Kootenay has topped $500,000, according to the Kootenay Association of Realtors.

Even so, December 2021 numbers were not quite as hot as December 2020. Total dollar sales volume was down a little over seven per cent. However, the average price was up 20 per cent.

KAR president Bruce Seitz said the annual sales record comes as the Kootenays saw an increase in buyer attention after the COVID lockdowns in the early days of 2021. During that time, 300-250 units were sold every month for most of the past year amid pent up demand.

“While some more popular regions were navigating through high prices and external pandemic-related factors, sellers in the Kootenay region benefited and were able to confidently list and sell properties with the help of agents who skillfully supported them during some challenging times in 2021,” he said.

“As demand for homes in the province was higher than usual last year, the Kootenay region became a more desired residential property location in the province, resulting in nearly 4,000 sales.”

Seitz says that the average price breaking the $500,000 mark has been looming for the past six months.

“There’s no denying the fact that we’ve been in a seller’s market for a long time now and these market circumstances, when coupled with high demand and multiple offer scenarios, are bound to fetch higher prices for properties that would’ve otherwise been sold for less,” he said, adding that inventory numbers are meanwhile dwindling to record-lows.

“As increasing average prices are directly linked to falling inventory, I don’t see any reduction in the upward pressure on average prices any time soon. Sellers will continue to benefit from the high demand for homes in the Kootenay region through 2022 and the year will present a perfect scenario for those who look to derive more value for their properties.”

Year-to-date (YTD), Kootenay residential sales dollar volume in December was $1.79 billion, 33.2 per cent higher as compared to the sum in 2020. YTD residential unit sales were up by 13.4 per cent at 3979 units, while the average residential price (YTD) was up by 33.2 per cent to $451,099 since the start of 2021. There are 621 active residential listings in the Kootenay region as on January 06, 2022.

READ MORE: Luxury home sales driving Kootenay real estate average prices up

READ MORE: Steady sales numbers in Kootenay real estate in October good sign for winter, says KAR



carolyn.grant@kimberleybulletin.com

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