Kitchener-Waterloo Real Estate Market August 2021

Very low inventory combined with strong demand keeps K-W home prices humming in July.

A total of 611 residential homes sold last month through the Multiple Listing Service® (MLS® System) of the Kitchener-Waterloo Association of REALTORS® (KWAR).

This was a decrease of 17 per cent compared to the record-setting results of July 2020, but still an above-average number of sales for the month of July. 
 
“Although home sales slowed down to some degree in July compared to June, overall demand remains very strong,” says Nicole Pohl, President of KWAR.

“The current inventory of homes available for sale in the Kitchener-Waterloo and area is extremely low, making Waterloo Region one of the most competitive markets in Ontario.”   
 
Total residential sales in July included 339 detached (down 27.1 per cent from July 2020), and 91 condominium units (up 30 per cent). Sales also included 46 semi-detached homes (down 4.2) and 135 townhouses (down 11.8 per cent).  
 
In July, the average sale price for all residential properties in the Kitchener-Waterloo area was $755,681. This represents a 18.2 per cent increase over July 2020 and a 0.6 per cent decrease compared to June 2021.
 
The average price of a detached home was $907,192. This represents a 21.9 per cent increase from July 2020 and a decrease of 1.4 per cent compared to June 2021.

The average sale price for an apartment-style condominium was $429,630. This represents an increase of 6.7 per cent from July 2020 and a decrease of 3.6 per cent compared to June 2021.

The average sale price for a townhouse was $623,732. This represents a 33.8 per cent increase from July 2020 and an increase of 5.4 per cent compared to June 2021.

The average sale price for a semi was $667,570. This represents an increase of 28.6 per cent compared to July 2020 and an increase of 2.9 per cent compared to June 2021.
 
KWAR cautions that average sale price information can be useful in establishing long-term trends but should not be used as an indicator that specific properties have increased or decreased in value.

The MLS® Home Price Index (HPI) provides the best way to gauge price trends because averages are strongly distorted by changes in the mix of sales activity from one month to the next.
 
The MLS® HPI composite benchmark price for all residential properties in Kitchener-Waterloo was $748,700 in July. This represents a 30.5 per cent increase over July 2020 and a 0.4 per cent increase compared to June 2021.
 
The benchmark price for a detached home was $822,300. This represents a 31.1 per cent increase from July 2020 and 0.2 per cent increase compared to June 2021.

The benchmark price for an apartment-style condominium was $385,900. This represents a 19.5 per cent increase from July 2020 and a 3.3 per cent increase compared to June 2021.

The benchmark price for a townhouse is $564,500. This represents a 40 per cent increase from July 2020 and a 0.4 per cent decrease compared to June 2021.
 
“The housing market took a bit of a breather last month,” notes Pohl. “July is typically a quieter month when families take a vacation, and with the region coming out of lockdown there were certainly more staycations happening. But we do anticipate the market will pick up steam again and it will be another busy fall.”
 
There were 675 new listings added to the MLS® System in KW and area last month, a decrease of 24 per cent compared to July of last year, and a 14.4 per cent decrease compared to the previous ten-year average for July.
 
The total number of homes available for sale in active status at the end of July was 281, a decrease of 52.7 per cent compared to July of last year, and 79.1 per cent below the previous ten-year average of 1,346 listings for July.
 
The number of months of inventory was 0.4 in July, a decline from 0.5 months in June. Inventory has numbered less than 1 month since October. The number of months of inventory represents how long it would take to sell off current inventories at the current rate of sales.
 
The average number of days to sell in July was 11 days, compared to 17 days in July 2020 and a previous 5-year average of 22 days.

Now That’s a Smooth Move

Moving to a new home is an exciting life change but it can also be stressful.

The best way to ensure a smooth move is to write out a plan of action with a checklist and timeline that clearly states what needs to be done.

Start off by packing non-essential items like pictures and books. This is the perfect time to ruthlessly purge your “stuff” and either donate or sell any items you no longer use. Here are a few packing tips for the rest of your things:

• unscrew light bulbs from lamps
• water plants the day before the move
• take a photo of how your electronics are connected
• lay towels between pictures before bundling them up
• label the sides of boxes so you can read them when they’re stacked

Make sure to pack and label a box of essential items (sheets, towels, toilet paper, coffee, dishcloths, garbage bags, etc.) to help see you through the first few days in your new home. You’ll also want to:

• disconnect and reconnect your utilities
• submit your change of address to the post office
• ensure your insurance policy covers you during the move
• reserve the service elevator if you’re moving to a condo
• transport small valuables and personal documents yourself

The more organized you are, the less stress you’ll endure and the more fun you’ll have. If you follow these tips, you’ll have fond memories of the last day in your old home. Just don’t forget to take one last family photo before you leave!

Food for Thought in K-W

Supporting local businesses has been crucial to our community during the pandemic.

Buying locally grown “farm to table” food from places such as the Kitchener Farmers Market also helps support our amazing local farmers. Here’s some food for thought:

Nutritious
Minimizing transportation reduces damage and helps produce retain its nutritional value.

Greener
Transporting food long distances is detrimental to the environment as it requires extra packaging and fuel emissions.

Tastier
With no need for long-distance travel, produce is picked at peak freshness so it’s loaded (pardon the pun) with taste.

Preservation
Buying locally grown food helps protect farmland and wildlife from sprawling urban development.

Convenient
Many neighbourhoods have agricultural groups such as Bailey’s Local Foods that provide a weekly box of fresh, locally grown produce that can oftentimes be delivered right to your door!

So there you have it – buying local is miles better! For a fun day out, visit a “pick your own” fruit farm. Not only will you be able to eat the tastiest fruit around but you’ll also help the environment by cutting down on packaging.

A Fresh Take on Movie Stars

There’s nothing like watching your favourite movie stars while relaxing under the stars.

Transforming your backyard into your very own outdoor movie theatre is easier than you might think!

To get started, figure out where you’re going to set up your screen and projector. A smooth wall or a well-ironed white sheet hung from a laundry line or tree can be used for a quick and easy screen.

You’ll want the screen as smooth as possible so if you’re using a sheet, pull it taut so that it doesn’t wrinkle. If you love to DIY, you can make a sturdy frame or go all out and purchase a portable screen or even an inflatable screen!

For sound, you can use your projector’s speakers or to liven things up, you can hook up some Bluetooth speakers for true cinema sound.

To create a comfortable stylish feel, spread out a few blankets and pillows, hang up a hammock and string up some outdoor lights for a relaxed ambiance.

Finally, turn things up a notch by setting up a popcorn station or serving a fun, sweet treat at “intermission” and decorate around the theme of the movie.

This fun and unique set-up is great for family movie nights, a romantic evening for two, a birthday party or watching your favourite sports team. For an even more memorable night, set up a tent and enjoy an outdoor sleepover after the movie!