A Kamloops Relator says high prices for single-family homes in Kamloops are due to a shift in new builds.

Quinn Pache with Pache Latta Realty says there are around 274 single-family homes on the market in Kamloops currently, which is lower than normal.

He says this is because many builders and developers have shifted their focus to building multi-family homes.

“Because of the housing shortage and because of the incentives that the province and federal government are putting out, a lot of builders are saying; ‘I can build this multi-family, I can rent it undervalue for however many years, and then have some government funding to help me with that – and at the end of the day, I’m left with a good asset.'”

He says it also comes as single-family homes are becoming increasingly more expensive to build, noting the lot alone is costing around $400,000.

Pache says it is causing there to be more townhomes and apartment options coming up for sale.

“For people who want a single-family home in Kamloops, this is what is keeping the prices high, is there are limited options. What you could get two years ago for $650,000 is now realistically an $850,000 to $900,000 plus house.”

As Pache goes on to say, it is causing many buyers to look elsewhere.

“We are seeing people who originally wanted houses, to say; ‘If I want a single-family house, I am going to move out of province – because that is how I can afford it,” explained Pache.

“But people who say ‘No, I want to live in Kamloops,’ we are seeing them now make that decision to buy those townhouses or apartments and stick it out here longer.”