Housing costs are a common and sometimes controversial topic of conversation in Kelowna these days, as the real estate market that continues to boom. According to the Okanagan Real Estate Board, the benchmark price for single-family homes in October was $961,600, representing an almost 30% increase over October 2020, and condominiums reached an average sales price of $477,700, up 22.5% over the previous year.
However, Kelowna wages aren’t on track with sky-high housing prices, even with the city’s active economy and low unemployment rates. Statistics Canada reports that the median income in Kelowna is just over $45,000 per year, so real estate costs in Kelowna have effectively placed many buyers out of the market, particularly young and first-time homeowners. Renters face an equally difficult challenge, with Zumper.com reporting the average rent for a one-bedroom apartment at $1644 per month in October, a 7% year over year increase, making it one of the most expensive rental markets in Canada.
With the common financial recommendation that no more than 30% of one’s gross monthly income should be spent on housing, many young Kelowna residents struggle to manage monthly rental payments and have limited opportunity to purchase a property of their own. But Millennial Developments is changing the outlook on real estate for many Kelowna residents with the Five Crossings project.
Centrally located in the Capri-Landmark district, this studio, one and two-bedroom condo development will offer prices starting in the mid-$200,000s, a price tag that is generating a lot of interest from first time homeowners looking for an opportunity to get a foothold into the booming local real estate market.
Five Crossings, which focuses on smaller space living with a wide variety of communal spaces that encourage living beyond one’s four walls, including a recreational space with a pool table, golf simulator, a stage for karaoke nights, a projection television for screening movies or sports events, and a communal kitchen and bar, as well as a large co-workspace and tech-friendly features, a cutting-edge gym with Peloton equipment, community garden and park space, and a rooftop lounge with covered atrium, outdoor barbeque center, and yoga platform.
The project is slated for sales launch in Spring 2022 and open for investment through the Five Bridges Development Project with North America Home Finance.