Why are Properties for sale so expensive in Kamloops ?

We have been looking for a decent family home for a while and it seems like we have been priced out from the buying market. With minimal students coming to TRU, the prices should have dropped a bit but seems like even for properties that are fully run down and need a full redo, the asking price is between $500K-$600K.

Wondering if its realtor greed or are people just trying to recoup their losses for their purchases? Any insights would be helpful. Thank you...