Kelowna & Central Okanagan Real Estate Market Report

Michael A. Jones - PREC* | Royal LePage Kelowna

October data shows a market finding balance despite cautious buyer sentiment. Bank of Canada rate cuts are stabilizing prices and maintaining seasonal activity, but they are not driving demand spikes. Sales fell 5.6% year over year while dollar volume rose 8.5%, reflecting a shift toward higher-priced properties. The sales-to-new-listings ratio printed at 41.96%, signaling a balanced market. Well-priced homes are selling in about 76 days, up 10% from last year. Consumer psychology, not interest rates, is controlling demand. Buyers still have choice.

The Central Okanagan includes Peachland, West Kelowna, Kelowna, and Lake Country.

Bar chart showing total properties listed and sold in the Central Okanagan for October 2025

Overall Market Activity

Total Sales: 386 (down 5.6% YoY, down 3% from September)
Sales Volume: $327.8M (up 8.5% YoY, flat from September)
Active Listings: 3,917 (down 0.25% YoY, down 6% from September)
New Listings: 920 (down 1.5% YoY, down 18% from September)
Absorption Rate: 42.0% (down 4.2% YoY, up slightly from September)
Days to Sell (Avg): 76 (up 10.1% YoY, down slightly from September)

Rate cuts from the Bank of Canada are providing a floor, not a launch pad. Prices are holding stable and seasonal patterns are normal, but demand remains subdued. Inventory tightened heading into winter, with new listings dropping sharply from September. The sales-to-new-listings ratio sits in balanced territory at 41.96%. Sellers who align with the market are closing deals. Those fishing for peak prices are waiting.

Sales-to-New-Listings Ratio: 41.96% (balanced market)

Chart of HPI benchmark prices for single family homes, townhomes, and condos in the Central Okanagan for October 2025

Property Type Breakdown

Single Family Homes (Excludes Lakefront & Acreage)

Sales: 171 (down 4.5% YoY, up 9% from September)
Average Price: $1,024,158 (down 5.7% YoY, down 3% from September)
HPI Price: $1,042,900 (up 0.3% YoY, down 3% from September)
Median Price: $900,000 (down 3.2% YoY, down slightly from September)
Days to Sell: 61 (unchanged YoY, steady from September)
New Listings: 344 (up 4.9% YoY, down sharply from September)

Insight: Single-family sales jumped 9% from September, but prices softened across all measures. Average and benchmark prices both declined about 3% month over month, while median price eased modestly. New listings dropped hard as sellers pulled back heading into winter. The rate cuts are keeping the segment stable, preventing a deeper slide, but buyer caution is limiting upward pressure. Days on market remain consistent at 61. Price discipline wins. Overpricing loses.

Townhomes

Sales: 55 (down 5.2% YoY, up 2% from September)
Average Price: $647,249 (down 9.5% YoY, down sharply from September)
HPI Price: $697,100 (up 1.5% YoY, up 2% from September)
Median Price: $645,000 (down 5.0% YoY, steady from September)
Days to Sell: 62 (down 1.6% YoY, consistent with September)
New Listings: 144 (up 16.1% YoY, down slightly from September)

Insight: Sales held nearly flat from September, up just 2%. The average price fell sharply due to a shift toward smaller or lower-priced units trading hands. The benchmark price, which filters out mix effects, gained 2% month over month and sits 1.5% above last year. This divergence shows underlying stability despite compositional shifts. Days on market stayed steady at 62. New listings eased slightly from September. Townhomes remain balanced. Sharp pricing moves properties.

Condo/Apartments

Sales: 84 (down 9.7% YoY, down 18% from September)
Average Price: $474,107 (down 3.0% YoY, down 5.5% from September)
HPI Price: $489,500 (down 2.2% YoY, down modestly from September)
Median Price: $429,500 (down 2.9% YoY, steady from September)
Days to Sell: 75 (up 13.6% YoY, longer than September)
New Listings: 228 (down 10.6% YoY, lower from September)

Insight: Condo sales dropped 18% from September, the largest decline of any segment. Prices continued to ease, with the average down 5.5% month over month and the benchmark slipping modestly. Median price held relatively steady. Days on market stretched to 75, up nearly 14% year over year. Inventory edged lower, keeping the segment balanced but sluggish. Rate cuts are not stimulating condo demand. Buyer sentiment remains cautious. Well-priced units still move. Overpriced units sit.

Chart showing inventory to sales ratio in the Central Okanagan for October 2025

This report is for informational purposes only. Always consult with a licensed professional before making real estate decisions.

Market Takeaway

Bank of Canada rate cuts are doing their job. They are stabilizing prices and maintaining normal seasonal activity. What they are not doing is igniting demand. Consumer sentiment, not borrowing costs, is the control lever right now. Sentiment remains depressed, so buyers have choice and time. The market is balanced at 41.96%, with inventory tightening into winter but absorption staying modest. Single-family sales rose month over month, but prices softened. Condos slowed sharply. Townhomes held steady. Sellers who price to the market are closing deals. Sellers chasing last year's peaks are waiting longer. Rate cuts have built a floor. Buyer psychology will determine the ceiling.

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