A hot streak in the Kamloops real estate market came to a grinding halt in March. Unit sales were down 24% compared to March of last year, a difference of nearly $18 million following an otherwise strong start to 2018.

President of the Kamloops and District Real Estate Association, Doren Quinton is attributing the sales drop to lower inventory, as the market saw an 18% drop in new listings last month.

A slower March pushed year-to-date unit sales below last year’s pace. Despite a booming January that saw a 20% increase in unit sales and a steady February, year-to-date unit sales are down 6%.

“Last year was a record year, so we’re only 6% off our record pace,” Quinton said. “Really, the next month is going to show us quite a bit on whether we’re going to stay close to those record levels or whether we’re going to keep dropping like we did in March.

“I talked to the B.C. economist yesterday. Everyone is predicting lower sales this year, I think that’s a foregone conclusion. It’s going to be a question of how much lower. . . I don’t think it will be a 24% drop, but we’ll probably be 10% lower or something like that.”

Low inventory continues to pose a challenge with 20% fewer homes on the market compared to this time last year. Quinton said strong demand and weak supply continue to drive the median and average price up.

“I don’t know if the number of listings needs to correct or if the demand is going to drop as some of these new builds come on,” he said. “The market is starting to stabilize. I think that’s going to be a continuing problem, though, and it is across the country, it’s not just a Kamloops problem.”

The highest number sales by price category was in the $600,000-plus range, which pushed the median residential price to $462,500 for March. There were 28 homes sold in that category, with the second-highest number of homes (23) selling in the $360,000 to $399,999 range.

Sahali was the hot spot for sales activity, with 25 homes changing hands, followed by 19 in Brocklehurst and 16 in Aberdeen.