02/06/2026
On January 28, 2026, the Bank of Canada opted to maintain its key policy rate at 2.25%. Governor Tiff Macklem noted that while inflation is nearing the 2% target, heightened global uncertainty—particularly regarding U.S. trade policies and potential tariffs—warranted a cautious "wait-and-see" approach. Despite the holds on the BOC rate, some lenders have decreased their rate offering fixed rates just under 4% for 3 years fixed.
The North Okanagan real estate market is navigating a typical seasonal "cooldown," characterized by a strategic tug-of-war between inventory and pricing. Single-family homes saw a notable 20% decline in sales volume and a 31% drop in new listings compared to last year. The townhome sector has become a focal point for activity; while median prices dipped 14% to $527,000, the number of sold listings increased by 125%, suggesting that buyers are actively hunting for value in the mid-range market.
The apartment segment is showing the most agility, with "days on market" plummeting 43% to just 62 days. Despite a 21% dip in sales, new listings are up 17%, providing much-needed selection for entry-level buyers. Across all sectors, the List-to-Sell ratio remains lean—ranging from 9% to 14%—indicating a market that currently favors patient buyers. With total inventory for single-family homes down 10% year-over-year, the scarcity of detached housing continues to provide a floor for prices even as transaction speeds fluctuate.
Although the market seems slow right now, we normally see decreased activity during this time of the year. Buyer confidence is down right now due to economic uncertainty of ongoing tariff threats, decline in the US dollar as well as US/ world tensions. People are waiting to see how Canada is going to deal with all of these changes. We could see buyer confidence quickly rebound as it seems there is a lot of pent up demand. Now can be a great time to list as competition is lower than usual getting ahead of the spring rush.
