As we progress into February, we're excited to bring you a comprehensive outlook for the ever-evolving real estate landscape in Waterloo Region.
In January, the Waterloo Region experienced a notable 25.4% year-over-year increase in home sales with 375 properties sold, as reported by WRAR's MLS® System. Despite this being a traditionally slow month and sales still being 7.4% below the 10-year average, this uplift from last year's all-time low indicates positive signs of market recovery and improvement.
January residential sales included:
206 detached homes, up 15.7% from January 2023, with an average price of $911,262, a 2.9% increase from January 2023 and a 7.5% increase from December 2023.
85 townhouses, up 39.3%, with an average price of $638,162, a 2.0% increase from January 2023 and a 2.7% increase from December 2023.
56 condominium units, up 30.2%, with an average price of $446,146, a 10.0% decrease from January 2023 and an 8.7% decrease from December 2023.
19 semi-detached homes, up 11.8%, with an average price of $631,995, a 2.9% decrease from January 2023 and a 3.1% increase from December 2023.
The average residential property sale price in January was $762,174, slightly down by 0.1% from January 2023 but up 3.2% from December 2023.
New listings rose to 720, a 23.5% year-over-year increase, yet 3.9% below the ten-year average for January.
Active listings reached 855, a 33.4% increase from last January but just below the ten-year average.
Homes took longer to sell, averaging 33 days, compared to 25 days in January 2023 and the 5-year average of 20 days.
There is hope of a more stable year ahead. Currently, the Bank of Canada is maintaining a 5.0% benchmark interest rate resulting in relative calm while slowly creating confidence that we’ll see cuts this year. Lower rates mean greater affordability which tends to move home prices higher. However, we may see continued balance as we see lower rates offset by a slowdown in the overall economy. It is expected that housing will experience moderate growth in 2024, with the Bank aiming for a balanced approach. In January, all housing types are witnessing yearly and monthly price gains, except condo apartments, due to their higher supply.
Anticipating potential rate cuts by mid-2024, now is a prime opportunity to buy a home. A combination of recent sales increases, softer prices, and reduced mortgage costs driven by falling long-term bond yields is indicative of a market that is in the early stages of catching fire. This favorable scenario is further enhanced by strong wage growth and high immigration levels, promising to energize the market. Lower rates are likely to attract more buyers, increasing competition and potentially driving up prices. All this indicates that right now might be a really great time to buy.
If you're considering selling your home this year, contact us today to get the process started. We’d love to hear from you.
Have you ever had a formal photo shoot? Perhaps you’ve had one for work or arranged one for your family. If so, chances are you dressed up and made yourself look your best.
That’s the right mindset to be in when selling your home too. You want to make every room look as attractive as possible because, these days, many buyers will view pictures of your listing – usually online – before they actually come to see it.
So, how do you make your home look “picture perfect”?
An effective technique is to walk around your home with a camera. You don’t need to take any pictures, at least not yet. Just visit each room and view it through the camera lens. Look at the room from different angles – as though you were a Hollywood director planning a shot! Then, ask yourself the following questions:
Will the room look cluttered in a picture?
Does the room appear to be spacious and comfortable?
Is there anything in the shot that stands out as distracting or negative?
Will removing, adding or re-arranging furniture and other items make the room look better in a photo?
Does the room look better at certain times of the day?
Are there any other changes you can make to the room to make it look better in a photo?
After you’ve gone through this exercise, you’ll have a clear idea of what changes you need to make to ensure your listing looks its best in photos and video.
If you’re searching for a new home within a tight time frame or searching for an out-of-town property, you may not have time to make multiple visits. In fact, you might only get a chance to view a property once before deciding whether or not to make an offer. In that case, you’ll need to be sure to get all the information you need from that one viewing. The trick is to be prepared.
Before viewing a property, make a list of all the things you want to know about the home. If it’s an older home for example, you may want to know about possible maintenance issues. So, you’ll have questions about when you should expect that the roof, furnace or air conditioner will need to be replaced. If you’re concerned about bedroom space, you’ll want to bring a measuring tape and confirm the dimensions of those rooms.
Then, when you schedule the viewing, make it clear to the seller that you may need more time than the average buyer. Depending on the property, you may need an extra 30 minutes to an hour.
During the viewing, spend time exploring each of the rooms, especially those that are most important to you. Bring a notebook or use your smartphone to make notes. And, don’t forget to ask all of your questions.
