Michael A. Jones - PREC* | Royal LePage Kelowna

February 2026 brought a mixed picture to Kelowna and the Central Okanagan. Residential sales held nearly flat year-over-year. Prices softened in single family. Days on market increased across all segments. Listings declined.

This is not a collapsing market. It is a market adjusting to higher price points and more buyer choice. Sellers who priced to 2024 expectations are feeling the difference. Sellers priced to current conditions are still closing near asking.

For context, you can revisit last month's report here:
Kelowna & Central Okanagan Market Update — February 2026

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

Market at a Glance (Residential Only)

  • Residential sales: 274 homes (up 1.1% year-over-year)
  • Residential sales volume: $213.1M (down 10.2% year-over-year)
  • New residential listings: 823 (down 8.8% year-over-year)
  • Active residential listings: 2,498 (down 5.4% year-over-year)
  • Average days on market: 77 (up from 69 last year)
  • List-to-sell ratio: 96.08%

Sales volume held nearly flat in unit count but dropped over 10% in dollar volume. That tells you buyers purchased lower-priced properties than a year ago. Fewer listings entered the market, yet inventory still sits at 2,498 active residential properties. Days on market rose 8 days year-over-year. Sellers are waiting longer. But a 96.08% list-to-sell ratio confirms that well-priced homes still close near asking.

Property Type Breakdown

Single Family Homes (Excluding Lakefront & Acreage)

  • Sales: 115 (down from 122 last year)
  • Average price: $1,025,816 (down 10.4% year-over-year)
  • Median price: $873,125 (down 16.7%)
  • Days on market: 78 (up from 71)
  • Inventory: 1,045 homes
  • Sell-to-inventory ratio: 11.00%

Insight: The median price drop of 16.7% is the most significant data point in this report. It does not signal panic. It signals that the mix of homes sold shifted toward lower-priced properties within the single family category. The average also pulled back over $119,000 year-over-year. Buyers have more choice at the 1,045-unit inventory level than they did a year ago. With an 11% sell-to-inventory ratio and rising days on market, this segment favours patient buyers who do their homework on comparable sales.

Townhomes & Duplex-Style Properties

  • Sales: 45 (down from 47 last year)
  • Average price: $759,138 (up 0.9% year-over-year)
  • Median price: $650,000 (down 7.4%)
  • Days on market: 77 (up from 51)
  • Inventory: 355 units
  • Sell-to-inventory ratio: 12.68%

Insight: The 26-day jump in days on market is the standout number here. A year ago, townhouses in the Central Okanagan moved in 51 days. In February they averaged 77. That shift reflects both increased inventory and buyers taking more time to decide. Prices held on average but the median slipped. This segment leads all three property types on sell-to-inventory at 12.68%. Demand exists. Buyers are simply less urgent than they were in 2025.

Condos & Apartments

  • Sales: 74 (down from 78 last year)
  • Average price: $497,379 (down 1.8% year-over-year)
  • Median price: $435,500 (down 1.0%)
  • Days on market: 75 (up from 71)
  • Inventory: 705 units
  • Sell-to-inventory ratio: 10.50%

Insight: Condos showed the most price stability of any segment. Average and median both declined less than 2%. Sales softened only slightly. Days on market rose 4 days. With 705 units of active inventory and a 10.50% sell-to-inventory ratio, this is the most balanced of the three segments. Buyers have choice. Sellers have modest competition. Prices are holding. For first-time buyers or investors watching this market, the window of relative affordability at $435,500 median is worth noting.

How Central Okanagan Compares

The value gap between Kelowna and Vernon remains large.

Single family homes: $873,125 median here versus $759,500 in the North Okanagan. That is a $113,625 difference on median detached homes.

Condos: $435,500 median here versus $275,750 in the North Okanagan. You pay roughly $160,000 more for comparable entry-level units in Kelowna.

Townhouses: $650,000 median here versus $502,500 in the North Okanagan. A $147,500 premium for the same product type.

That gap continues to send price-sensitive buyers north. For buyers who need to be in Kelowna, February's softening prices and rising inventory present a better entry point than most of the past two years.

Bank of Canada Rate Update: The next announcement is March 12, 2026 (view here). The policy rate currently sits at 2.25%. With days on market rising and prices easing in key segments, any rate reduction on March 12 could shift buyer urgency quickly. If you are watching this market, do not wait for the announcement to start your preparation.

Market Takeaway

February confirmed a buyer-friendly environment in the Central Okanagan.

Sales held flat. Prices softened. Days on market rose. Inventory remains elevated relative to recent years. These conditions give buyers negotiating room they did not have in 2024.

The 96.08% list-to-sell ratio still limits how aggressive you can be. Lowball offers on well-priced properties will not succeed. But the gap between list price and realistic value is wider than it was a year ago. Use that.

For sellers, the message is simple. Price to the current market, not the market of twelve months ago. Median prices are down across all three major segments. Buyers know it. Your competition does too. The homes selling in 77 days or less are priced correctly from day one.

March 12 is the next inflection point. A rate cut could bring more buyers off the sidelines before spring inventory peaks. Watch the announcement and act accordingly.

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This blog post is for general informational purposes only and should not be taken as professional advice. Always consult a licensed REALTOR® for real estate matters, a qualified tax professional for tax matters, and a lawyer or notary public for legal matters before making decisions.