One of the questions this real estate blog answers on a monthly basis is how's the real estate market in Kitchener Waterloo? I find by educating and informing my clients, friends, family and the general public, I can avoid having them duped by the news media like the example above.
Here's what you need to know from November. The number of sales were down 22% year-over-year. Active listings were up 50% and currently sit at 558. However, we've gone from a 1 month supply to 2 so we have a long way to go before we get to a buyer's market. It took 24 days, on average, to sell a home in November which was exactly the same as last year. Successful sellers received 99.3% of their asking price on average versus 100% last year at this time.
What about prices? Average sale prices in November were $439,383 representing a 9% increase over last November. Of interest, November 2015 average sale prices were $341,238 meaning prices are up 29% in the last 2 years.
So where do we go from here? There remains pent-up demand in the local marketplace and some sellers are still receiving multiple offers. Until that subsides and supply increases significantly, it will be more of the same.
For those of you waiting for the great real estate crash of 2018, ask yourself what would the outcome have been if you had taken the advice of the "experts" at Macleans magazine? If you had sold your house or postponed your purchase in 2013 in anticipation of a correction, you'd have missed out on gains of 46% as the average sale price in Kitchener Waterloo rose from $301,083 to $439,383. That works out to a tidy 9% annually.
Mark Twain famously said "I have spent most of my life worrying about things that never happened."
As always, for advice you can count on, feel free to contact me at 519-505-4488 firstname.lastname@example.org