K-W Real Estate Market Update
|There were 5,925 residential homes sold through the Multiple Listing System (MLS® System) of the Kitchener-Waterloo Association of REALTORS® in 2019, an increase of 1.6 per cent compared to 2018.|
Contrasted to past years, 2019’s annual sales were 2.3 per cent below the previous 5-year average, and 3 per cent above the previous 10-year average. On a monthly basis, sales dipped 9 percent compared to last year, with 244 home sales in the month of December.
“Overall, it was a steadfast pace of home sales in 2019,” says Colleen Koehler, President of KWAR. “When annual home sales in Kitchener-Waterloo hit near 6000 transactions, I consider it to be a strong real estate market.”
Total residential sales in 2019 included 3,590 detached (up 5.9 per cent), and 648 condominium units (down 7.8 per cent) which includes any property regardless of style (i.e. semis, townhomes, apartment, detached etc.). Sales also included 421 semi-detached homes (down 0.7 per cent) and 1,266 freehold townhouses (down 3.7 per cent).
The average sale price of all residential properties sold in 2019 increased 9.3 per cent to $527,718 compared to 2018. Detached homes sold for an average price of $614,743 an increase of 7.1 per cent compared to 2018.
During this same period, the average sale price for an apartment-style condominium was 332,409 for an increase of 9.6 per cent. Townhomes and semis sold for an average of $409,979 (up 10 per cent) and $439,844 (up 11 per cent) respectively.
The median price of all residential properties sold last year increased 10.1 per cent to $490,000 and the median price of a detached home during the same period increased 8.6 per cent to $570,000.
“In 2019, the lack of supply continued to be a hurdle for anyone who was trying to buy their first home, move-up from their current residence, or downsize. This ongoing state of the market caused further escalation of home prices in 2019. With interest rates expected to stay low in the year ahead combined with Waterloo region’s ongoing growth, I expect 2020 will see more price gains alongside a steady increase in sales,” says Koehler.
The number of months of inventory averaged 1.5 throughout the year, hitting its highest point in May when there was 2.1 months of supply, and ending the year at 0.7 (3-4 months supply is historically normal for Waterloo region). The average days to sell in 2019 was 23 days, compared to 24 days in 2018 and a previous 10-year average of 38 days.
While the majority of residential MLS® System activity is properties for sale, REALTORS® are increasingly representing landlords and tenants. Last year 733 residential leases occurred through KWAR’s MLS® System, which is on par with last year and, 2.5 times as many as just four years ago.
Waterloo’s Wonderful Winterloo
Winterloo is a unique winter festival that will transform Uptown Waterloo into a beautiful winter wonderland on Saturday, January 25th and Sunday, January 26th!
This exciting annual event is jam-packed with a variety of winter-themed events including dog sled rides, an outdoor obstacle course, world-class ice sculpting, the famous Winterloo Chili Cook-off as well as a polar plunge to help raise funds for the Special Olympics!
There are five different themes to explore this year — Winter Sports, Winter Survival, Winter Cultures, Winter Warmth and Winter UpTown.
Locations for Winterloo include the Waterloo Public Square, Waterloo Public Library, the Princess Cinemas and the west side of Waterloo Park.
Be sure to bundle up and get outside to rediscover the joys of winter with a variety of activities that offer something fun for the entire family. Hope to see you there!
Hot Home Trends for 2020
Happy Appys for 2020