Is Kelowna a good place to purchase investment property? (real estate, to rent)

[Daveydoe]

I am thinking of purchasing a lakeside condo as an investment in Kelowna. My thoughts are that this is an area where people with money go to enjoy the weather, the wine tours, etc. and that this should support the vacation property market even in a poorer economy.

Any thoughts on the area's real estate?

It would be in a strata complex right on the lake.

[The_gateway]

You want to rent it out....?
Might get some people from Calgary, or the odd american coming up, but it's hard.
A friend of mine tried that, and one of his two places sat empty much of the year.
There is people with money, but most people buy their own places and go visit them a few times a year. I've personally never really heard of folks renting out their properties to other folks too much.

Best of luck.

[pangpangfish]

If you did that in 2004-2005, and sold in 2008-2009, you would be doing very well.

Lakeside condos are not cheap. You may end up paying $400+ monthly condo fees. Tourist season is June-August. You will have your condo empty for the rest of the year. For the last a couple of years, the number of tourists to Kelowna has gone down sharply.

The property value in Kelowna area has been dropped 30% and is still dropping. Lots of people are stuck and can't sell their houses.

K-town had a couple of boom and bust in the past. We are in the down phase right now.

Originally Posted by Daveydoe

I am thinking of purchasing a lakeside condo as an investment in Kelowna. My thoughts are that this is an area where people with money go to enjoy the weather, the wine tours, etc. and that this should support the vacation property market even in a poorer economy.

Any thoughts on the area's real estate?

It would be in a strata complex right on the lake.