Simplified Market Update – June 2018 – Strong Home Sales Continue


By Cindy-lou Schmidt

Home sales in Kitchener-Waterloo have continued to heat up along with the great local temperatures! Our summer-like spring has been in line with sales as May 2018 saw a 12.5% increase compared to April 2018.

Cindy-lou’s Simplified Market Summary:

  • In May, 692 residential properties were sold, as compared to April’s 616 residential properties.
  • REALTORS® listed 1068 residential properties in K-W and area last month, down 14.4% compared to May of 2017.
  • There were 1062 Active listings by the end of May totaled 1062, which is 27.9% higher than May 2017.

May’s  residential sales units included (compared to May 2017):

414 detached (down 15.7%)

169 condominium units (down 7.1%) {includes semis, townhomes, apartment, detached etc.}

46 semi-detached homes (down 28.1%)

46 freehold townhouses (down 24.3%).

The average sales price of all residential properties sold last month decreased 6.06 per cent to $482,873 (down 2.4 percent compared to April 2017. Accordingly:

Detached homes sold for an average price of $572,206(down 3.4%)

Average prices for an apartment style condominium was $301,052 (up 2.7%)

Townhomes sold for an average of $365,715 (up 1.3%)

Semis sold for an average of $393,616 (up 2.0%)

What does this mean?

1. There is a trend of slowing sales when compared to last year’s activity

a) Year-to-year : May 2018 was a 15.3% less busy in terms of home sales as compared to the same time last year.

However:

b) Month-to-month:  April-May saw a  12.5% increase in sales, down just slightly from the March-April 13.7%  increase in sales.

2. There is a trend in decreasing sales prices in single detached homes but all other styles continue to climb in price.

The mortgage stress test continues to impact  buyers as the $400,000- $500,000 price range remains very competitive.  This may be part of the reason for the continuing growth in sale prices in townhomes, condos and semi-detached properties as overflow leads many buyers to choose other styles of homes rather than focus on single-detached properties.

Sellers:

It took 20 days on average for a home to sell so you can expect to receive offers with conditions. When working with a Realtor to prepare your home and price it correctly you should be confident in selling your home for good value.

Buyers: 

There were nearly 30% more homes active on the market in May compared to last year, so we are seeing inventory actually be available long enough for buyers to consider their options. You will still want to be savvy and use the help of a Realtor to keep you informed and strategic on writing a winning offer.

If you’d like an accurate valuation of your home, contact us for a complimentary assessment. The condition of your home, location, and other key factors matter. For more on the official report on May’s K-W Market Update including statistics from Wellesley, Wilmot and Woolwich Townships, click here.

Kindly,

Cindy-Lou Schmidt
Cindy-Lou Schmidt

Broker / Manager
 
 
Cindy-Lou is a dedicated Broker/Owner and REALTOR® based in Waterloo who is proud to serve her hometown and community. She is adamant in the value of home ownership both for the financial and wealth benefits, but also as a foundation of healthy communities. With 7 years in the real estate business, and as a private investor since 2005, her experience and strategic approach to homes sales has been pivotal in building loyalty with her clients over the years.

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