March 2018 Kitchener-Waterloo Real Estate Market Report
The Real Estate market in KW continued to show strength in March. Multiple offers on homes and selling prices above list were still prevalent. There were 540 total residential home sales in March – up 43.6% compared to last month and down 25.8% vs March 2017. We are starting to see more listings as the spring market arrives – at the end of March there were 792 active listings which is well below the 10 year average of 1424 active listings but 80% more than at the end of March 2017. Homes on average took 19 days to sell in March 2018 vs 14 days in March 2017.
Here is what sold in March compared to March last year:
310 Single detached homes Down 28.6%
136 Condominiums Down 17.6%
40 Semi detached homes Down 40.3%
52 Townhouses Up 8.3%
The average sale price of all residential sales in the KW area dropped slightly by 0.7% to $490,010.
In each category type here is what the numbers look like versus March 2017:
Single detached average price $582,851 Down 0.1%
Apartment Condo average price $298,361 Up 11.3%
Townhouse average price $375,702 Up 2%
Semi detached average price $396,932 Down 3.7%
The median price of all real estate sold was $457,000 – up 1.3%
The median price of single detached homes sold was $545,000 – up 2.8%
The average home price is doing well and we are on track to repeat 2017. It’s the second half of the year that will tell the tale. I’m excited to see what happens over the next 3 months.
After looking at the percentage of sales in 3 price ranges in the first quarter of 2018 it looks like there has been a slight increase in sales in the lower categories. However, other than total sales being down, the slight move isn’t significant and sales in each of those categories are in line with what happened last year as a percentage of total:
I wanted to share some information on where KW currently ranks in terms of outperforming other areas in Ontario: we are currently sitting in second place behind Ottawa. Here is the story:
Some other interesting information is that Doug Ford, readying himself for the June election, has proposed an agenda that would include scrapping the Foreign Investment tax on Real Estate:
Sales are slower than last year for sure, but prices are holding strong. The economy is doing well and we live in a growing and progressive region. I believe that borrowers and lenders continue to manage risk very well. There is nothing fun about boring, but it sure does increase our real estate wealth every day. Slow and steady my friends!