Tuesday, June 30, 2009

Kelowna Realtors thoughts on Condo Rentals

Former president of the Okanagan Mainline Real Estate Board and Managing Broker of Premier Canadian Properties Bert Chapman (Toll Free 1-866-765-0579 - bert@pcrealty.ca) writes - responding to a recent article by Ozzie Jurock in which was a report on rental condos at 169,000 and up in the Kelowna Market.

In Kelowna there are indeed $169,000 two-bedroom condos in rentable buildings - BUT. Said Bert (who is also a multi year subscriber):

"I did the research and there are only 2 such units, both in the same 27 year old building in North Kelowna. There are 2 more units in the same building at $179,000 and $195,000, also rentable. There are 6 rentable units in Kelowna South listed between $179,900 and $195,000 and 6 rentable units in Rutland in 30 year old building listed from $159,900 to $189,900.That's it! Everything else is age restricted over 55, on lease land or priced over $200,000."

He adds: "In fact - it is difficult to find rentable units because of the high percentage of owner occupied units. These owners tend to vote for strata rules that limit the number of rentals. The buyers need to be aware that just because you buy a unit that is occupied by a tenant, this does not necessarily mean you can continue to rent it. The original buyer is governed by the Developers Disclosure Statement as to whether they can rent or not. Subsequent buyers are governed by the Strata rules which can be, and frequently are, changed by the Strata Council to limit rentals. There are also a few projects with resort zoning which permits short term rentals 3 nights or more. These are typically on the lakeshore or on golf courses. This cannot be changed by a Strata Council."


Major Point: This applies of course to many areas in BC. Even though local markets are often depressed, because of tight rental rules (strata council imposed) investors can't step in to 'lighten the load'. Buyers should always retain an experienced Realtor in an area that they are not familiar with - particularly when buying rental units.

Bert Chapman
Office: 6-3185 Via Centrale,
Kelowna, B.C, V1V 2A7
Phone: (250) 765-0570
TollFree: 1-866-765-0579
Fax: (250) 765-0577
Email: bert@pcrealty.ca
Website: http://www.premiercanadianproperties.ca/

1 comment:

condo manila said...

Beautiful place with a great view outside.

Arrielle P