Kitchener Waterloo real estate sales surged in June with 497 residential sales on MLS. Sellers of resale homes benefitted most with unit sales climbing 9% year-over-year. As predicted, price gains have begun to moderate with the average sale price in June rising nearly 1%. Seller received, on average, 98.1% of their asking price in a relatively brisk 34 days.
It wasn't all good news as Kitchener Waterloo home builders saw MLS sales decline by 47%. Regular readers of this Kitchener Waterloo real estate blog will know new home sales account for a small proportion of MLS sales. Nonetheless, I expect more builders to be hiring Realtors to market their homes going forward as sales continue to moderate.
Active MLS listings on the Kitchener Waterloo MLS total 1632. This is up approximately 10% over 2013 which would explain both moderating prices for resales and declining new home sales.
So where do we go from here? I expect the number of homes for sale to continue to rise as mounting consumer debt levels and softening local economic growth collide. It appears the Harper government has gone to the sidelines as the new Finance Minister Joe Oliver struggles to fill the shoes of the late Jim Flaherty. Lenders are offering sub 3% mortgages while tightening lending criteria at the same time. Baby Boomers are attempting to cash out and hoping their home offers enough to attract the Millenials.
My next blog post will look at power of sales in Kitchener Waterloo. Are they rising and if so, why?
Until then, if you have real estate needs, feel free to call, text or email 519-722-7207