March is here, and with it, hints of spring— this time of year stands as the pinnacle moment for the real estate market. It's not just about the warmer weather or the stunning display of your gardens and pools coming to life; it's also about timing. Families are particularly keen to find their new homes now, aiming to get settled in comfortably before the new school year kicks off.
With this vibrant backdrop in mind, let's pivot our focus to the real estate market's recent performance in Waterloo Region this past February. This analysis will provide us with valuable insights into the anticipated trends for the bustling spring season ahead and set the stage for what we might expect throughout the remainder of 2024.
In Waterloo Region, February saw 485 homes sold via the MLS® System of the Waterloo Association of REALTORS®, marking a 9.7% increase from last year but a 19.0% decrease from the 10-year average for the month. February home sales were sluggish, slightly improving from last year's record low but remaining below the February historical norms.
Total residential sales in February included:
Detached home sales rose 9.3% (from Feb. 2023) to 281 with an average price of $889,280, up 0.5% year-over-year but down 2.2% from January 2024.
Townhouse sales increased by 10% to 110, at an average price of $629,734, a 2.2% decrease from the previous year and down 1.8% from January.
Condominium sales jumped 30.4% to 73, with an average price of $459,455, slightly up by 0.2% year-over-year and 3.1% from January.
Semi-detached sales decreased by 14.3% to 24, at an average price of $673,638, marking a 1.0% increase from February 2023 and a 4.2% rise from January 2024.
In February, the average sale price for residential properties in Waterloo Region slightly dropped to $755,934, a 0.7% decrease from the same month last year and from January 2024. New listings increased by 18.7% year-over-year to 800, though this was still 6.9% lower than the ten-year average for February. Inventory levels rose, with 943 homes available, a 38.9% increase from February 2023 but still slightly below the decade average. Homes took longer to sell, averaging 23 days on the market, up from 20 days last year and longer than the five-year average of 16 days.
These stats offer an overview of Waterloo Region's real estate market in February, highlighting mixed conditions for buyers and sellers. The stability observed in Waterloo Region's housing market over the past year, coupled with the expectation of consistent pricing in the upcoming spring market, underscores homeownership as a sound long-term investment.
This sentiment is bolstered by the Bank of Canada's decision to maintain the policy rate at 5% amidst signs of inflation progress, yet with a cautious stance on premature rate cuts. The Bank's vigilance, evidenced by its watch on easing wage pressures, slow employment growth, and economic softening, reflects a balanced monetary policy approach.
With potential hints at easing in April, Macklem’s (Governor of the Bank of Canada) emphasis on a careful balance between restrictive policy duration and inflation control provides a cautiously optimistic framework for the real estate market. This backdrop of strategic monetary policy and market stability signals a promising investment environment for homeownership in Waterloo Region moving forward.
If you have any questions about the real estate market or are thinking about making a move this year, reach out to us today-we’d love to hear from you. We are dedicated to crafting a tailored strategy that maximizes your investment potential, ensuring you achieve the best possible outcome. We are here to guide you through making informed decisions in this dynamic market.
It seems like every month there is a new website offering deals on everything from electronics to travel. In fact, the “coupon industry” is booming.
This trend has conditioned people, more than ever before, to look for bargains and become determined to pay well below the market price for merchandise. There’s nothing wrong with that. We all want a deal!
But when it comes to shopping for a home, bargain hunting can be a bad idea.
First of all, the real estate market is competitive. The overwhelming majority of homes sell for a price that is at, or close to, their respective market values. Your chances of finding a property that is listed significantly below its market value is slim to none.
Secondly, if you become fixated on finding a bargain, you may not notice all the great properties on the market that are within your price range and meet your criteria.
In other words, you may inadvertently pass on what may, in fact, be your next dream home. So when shopping for a new home, focus on finding the right property at the right price, not on finding a bargain.
If you want or need to sell your current home, one thing you might be wondering is, “How will we find and buy our next dream home?” Fortunately, there’s no mystery to how to do that. Simply follow the “golden rules”!
1. Create a profile.
Decide what kind of home you want to buy. Consider the type of building, size, number of bedrooms, property features, and other details. When you have a clear idea of what you’re looking for, you’re more likely to find it. You’ll also be less likely to waste time seeing listings that aren’t a good fit.
2. Target ideal neighbourhoods.
Where do you want to live? What areas are likely to be a good fit with your desired lifestyle? What sort of neighbours do you want? What area features, such as schools, do you need close by?
3. Pre-arrange any required financing.
Will you need a mortgage? Make those arrangements in advance. That will give you peace-of-mind in knowing you’ll be able to buy the home you want. Also, a pre-arranged mortgage makes your offers stronger.
4. Get on an alert list.
Not all new listings are advertised or posted online right way. So, arrange to be immediately alerted to new listings that match your criteria. That way, you’ll be first in line.
Following these tips will go a long way toward getting you into the home of your dreams.
