By Cindy-lou Schmidt
Last month, home sales were down 16.6% at 481 residential units sold in the Kitchener-Waterloo area through the Multiple Listing System (MLS® System) of the Kitchener-Waterloo Association of REALTORS® (KWAR).
Still, the year-to-date residential units are comparable to 2016, barely eclipsing last year’s sales by .4% at 5842 homes sold thus far this year.
October’s home sales numbers were consistently below the previous year:
• 289 detached homes (down 20.2%)
• 107 condominium units of any style (down 17.7%)
• 44 semi-detached homes (down 7.3%)
• 38 freehold townhouses (down 2.6%).
October average home sales prices were consistently above the previous year:
• average of all residential properties sold last month (up 14 % to $454,398)
• Detached homes sold for an average price of $541,368, (up 13.1%)
• Average sale price for an apartment style condominium was $249,993 (up 11%)
• Townhomes sold for an average of $349,316 (up 13.7%)
• Semi detached homes sold for an average of $354,668 (up 8%).
Cindy-lou’s Quick points:
1. Days on market- It seems like the market is much slower (compared to our memories of spring) and you are correct in thinking so as we see slower traffic in open houses and fewer multiple offers. However, days on market are comparable to last October, taking 2 fewer days to sell with homes spending an average of 24 days or nearly a month on market.
2. Buyers – Qualifying for a mortgage will be affected. The change effective January 1st, 2018 will require the minimum qualifying rate for uninsured mortgages to be the greater of the five-year benchmark rate published by the Bank of Canada or the contractual mortgage rate +2%. Expect buying activity to continue into December.
3. Sellers – Despite lower outward activity, Kitchener-Waterloo homes continue to carry their value as they have done before, during and after this year’s unprecedented spike in value. What we are seeing is a normalization.
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 October’s K-W Market Update including statistics from Wellesley, Wilmot and Woolwich Townships, click here.