Kelowna's real estate landscape is evolving with the recent relaxation of short-term rental regulations. The city council has aligned local rules with provincial guidelines, allowing homeowners to list their primary residence, basement suite, or carriage house on platforms like Airbnb. This change comes as Kelowna sees a surge in purpose-built long-term rentals and a significant increase in the apartment vacancy rate, now the third highest in Canada.

For homeowners, this shift presents an exciting opportunity. Renting out parts of their homes can become a valuable source of income, especially for those seeking a "mortgage helper." With the city's economy leaning heavily on tourism, the reintroduction of legal short-term rentals is expected to boost local businesses and enhance Kelowna's appeal as a travel destination.

Potential sellers can leverage this change to attract buyers interested in properties with rental income potential. Buyers, on the other hand, can explore the added financial benefits of owning a home in a city where tourism thrives. As Kelowna anticipates an increase in legally-permitted short-term rentals, now is a strategic time to start planning for the future.

In terms of the local economy, this is great news. Tourism was down last year compared to 2023, which already was impacted by the McDougall Creek Wildfires that put a halt on August and September visitors. Over Q3 of 2024, total visitor spending was put at $395 million, well below the reported $401 million during Q3 of 2024. When taking the impacts of the wildfires into account on tourism, if it weren't for this impacting the 2023 figures then the difference would be even more staggering. The lack of AirBnB, VRBO, and other short term rental options also caused the prices of hotels to increase, making visiting the Okanagan more expensive, and resulting in tourism dollars spent here being much more likely to go to a large company, rather than the locals hosting AirBnBs.

This development is a game-changer and a step in the right direction, making Kelowna's housing market more dynamic and lucrative. Explore your options and find the perfect fit in this vibrant city.