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Waterloo Region Real Estate Market Update – August 2018

Real Estate Inventory, Sales Volume & Prices

August 2018 is in the books, so where are our real estate markets at? In our latest blog post we are taking a look into inventory numbers, sales volume, and price trends. Our goal is to keep you on the forefront of our real estate markets. By monitoring key stats and indicators we will determine where our markets are at now, and where they are heading.

MLS Listings Monthly Stats – Waterloo Region August 2018

Below is a standard “monthly stats” chart for the past 12 months. We monitor this chart on a month-by-month basis to get clarity on the direction and speed in which our markets our heading. We can see that the median days to sell increased from 13 to 16 from July to August this year. Looking at the blue line we can see that prices remained similar over the past 4 months with an upwards trend in the first few days of September 2018. This chart is a great starting point to see how long properties are typically on the market before they sell firm and if the prices homes are selling for is changing.

 

Competition in Waterloo Region Real Estate

For the residents of Waterloo Region the real estate markets over past two years has been a very intense experience. Properties selling in multiples, in a few days or even just a few hours like last spring is something our markets have not seen for many years. This competitive landscape has a lot of homeowners opting to stay at their current home to avoid the stress and worry of competing. When monitoring competition, especially for those considering buying and selling in a competitive market, list-to-sale price ratio is a great tool!

The chart below shows the ratio of the listing price to the price a property actually sold for. Note that this is an average of all listings in the Waterloo Region over the last 12 months. Ever property, situation and seller is different and there are different strategies for listing and selling property. Overall, if the average listing to sale price ratio is above 100%, we can assume that there is very strong competition. For reference, any List/Sale price ratio above 99% is historically strong. For additional context, review the blog post from June 2018 here we explain this key market statistic relating to Spring 2017.

Inventory & Sales – August 2018

Below is a chart displaying the number of listings sold and months of inventory in for the past 5 years. In August 2018 there were 671 Listings sold. As of August 31st Waterloo Region had just under two months of inventory. Months of inventory measure how long it would take for any market to run out of available properties if no new listings came to market. To put our current inventory levels into perspective, anything between 0-4 months is considered a “seller’s market”. Inventory levels between 4-6 months is a “balanced market”, and 6 months+ is a “buyer’s market”.

Looking back we see that we have not had 4+ months of inventory since Spring/Summer 2014.. yikes. We also see seasonal trends in our marketplace. Blue peaks in Winter and Summer months while green drops. This shows that we have more inventory available in off season months and fewer sales being made.

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Houses For Sale Cambridge, Waterloo, Kitchener & Guelph Monthly Update

MLS Listings Stats – July 2018

The unofficial closing season has since passed with the Canada day and August long weekend behind us. Does that mean there are more houses for sale? Are prices going to drop? Are there lots of homes on the market? Answers to these questions and more below!

 

More Houses for Sale in Cambridge, Kitchener, Waterloo & Guelph Markets?

Our communities are still talking about the wild Spring market of 2017! Will prices fall? When will more inventory come? If you find yourself asking yourself these questions you are not alone. Let’s face it, we had a CRAZY spring market in 2017. A market where prices went higher and faster than previously thought possible. Since then real estate markets have been hit with mortgage regulations, rising interest rates and a real shift in how buyers and sellers view real estate markets in our community.

At Prime Properties Ontario we value statistics over opinion. We encourage everyone to do some research, ask some hard questions, and consider the underlying variables that affect your local real estate market.

 

CAMBRIDGE INVENTORY

The city of Cambridge has held above 350 Active listings since April 2018. In comparison between the active listings count from 2017 we are looking at fairly comparable number of listings. With no noticeable trends upwards, or downwards so far in 2018 we can expect our Cambridge market to remain a seller’s market for now.

 

 

 

 

KITCHENER INVENTORY

The number of active listings in Kitchener has remained close to the 500-550 active listings since March 2018. In comparison to Spring/Summer 2017 the number of active listings is not significantly different. We can also see that we have experienced a slight downward trend in the number of houses for sale since May 2018. If this trend continues, and become more rapid than the typical seasonal trends, it may put more pressure on buyers to scoop up properties quicker.

 

WATERLOO INVENTORY 

The city of Waterloo has had more than 500 active listings on the board since April 2018. This is the most in well over a year! What’s the deal?! The most likely cause is the construction of more properties. With the completion of some major condo projects and communities in the Vista Hills, Laurelwood and Uptown neighborhoods there has been more new build units on the market. Since May 2018 inventory has slid, this is expected as volume of active listings is highest in the Spring.

 

GUELPH INVENTORY 

The City of Guelph active inventory has fluctuated the most compared to the other 3 major markets in our areas. While fluctuating between 300 and 475 active listings in the Spring of 2017 the Guelph market also saw extremely low level of active listings in ealy 2017 and 2018. With the number of active listings staying below 200 units from January 2017 to May, and hitting that mark again in December 2017. 200 Active listings for a market the size of Guelph is LOW. With such little selection and demand for real estate so high it is no wonder Guelph experienced such aggressive jumps in prices.

 

Realtor Commentary

To summarize our local markets underlying statistics have not changed dramatically since 2017. Inventory in each of the largest market centers is comparable what we saw last year. What does that mean for prices though?  Stay tuned for Waterloo region and Wellington county price data! Join us on Facebook here: www.facebook.com/primepropertieson for updated market stats, the best resources an listings updates. Drop a comment if you want to see a specific topic or get connected with automatic blog or social media updates.

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Real Estate Review June 2018: Inventory Dips – Fewer Houses For Sale in Waterloo Region

Month in Review – June 2018

As the Spring market of 2018 came to an end our markets saw fewer houses for sale in Waterloo compared to May. Inventory slipped down to 1356 active listings in June compared to 1439 in May. In Waterloo region, like most of southern Ontario, we can expect inventory to slide after the Spring primarily due to seasonal trends. In summary, we experienced a steady increase to monthly inventory leading up to May. This was followed by a slight decline in active listings in June and into July.

June 2018 brought few surprises in the Waterloo Region real estate. Low inventory and strong buyer demand continued to move our market along quickly and continue upward pressure on prices. A great tool to gauge how quickly a real estate market is moving is to review average days on market and price appreciation.

Here we can view the green portion of the chart and see that the media days to sell increased over April, May and June. In bother April and May the media days to sell was 13 compared to 15 in June meaning the market moved a little quicker over April and May. To put into perspective, historical averages for average days on market is around 21-25 days for most medium to large sized markets in southern Ontario. Also note, that in our market days to sell will be lower in freehold properties under $550,000 compared to freehold properties in a higher price point.

The blue line represents the median list price for houses for sale in waterloo region. In May the media list price was $474,900 compared to $489,900 in June.

 

 

 

Are Houses for Sale in Waterloo Going in Multiples?

We get a lot of questions from both buyers and sellers asking about bidding wars. Are they still happening? The short answer is: sometimes. For properties in more competitive price points (typically below $550,000) and sellers that intentionally list their property under market value we do still see some bidding wars. That being said the majority of listings sell very close to asking price.

Close price to list price is the ratio between what a seller listed their home for, and the final price it actually sold for. Since Feb 2018, on average, this ration has been 100%. That means that properties have sold for 100% of their asking price on average for the last 5 months. This compare to the historical average of 98%, and 111% that we experienced last Spring.

Overall June 2018 yielded few surprises. Prices have increased consistently over 2018 even with rising interest rates and tightening mortgage regulations. Well priced houses for sale in Waterloo Region move very quickly and occasionally get multiples. However, listings typically sell within 2 weeks and around asking price.

If you are looking for more information or advanced stats on specific neighborhoods/properties send your inquiries to zack@primepropertieson.com. Want more information on where we see opportunities in our local real estate market? Drop a comment or contact us directly!

 

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Real Estate Market – May 2018

Month in Review – More Homes For Sale

This week we will review the real estate market for the past week and the month of May 2018, spoiler, there are more homes for sale! On a week-to-week basis tracking new listings, sold pending and conditionally sold listings gives great insight into the current state of the market. Reviewing monthly numbers helps give perspective on how our current market compares to previous season or months. Below are the weekly stats followed by some additional numbers and commentary to help you stay in touch with our local real estate markets.

Waterloo & Wellington Region Real Estate Markets – MLS Listings Weekly Stats

New Listings: 418

Sold Pending: 348

Sold Closed: 439

Cancelled & Expired: 159

Active Conditionally Sold & Not Showing: 175

Price Increase: 8

Price Decrease: 121

Back on Market: 40

MLS Listings Weekly Review

MLS Data shows fewer new listings and more sold pending listings that the previous week. There were 418 new listings and 348 sold pending listings last week compared to 459, and 275 the previous week. In addition, there were 439 sold closed last week compared to 153 the previous week. This is fairly common to see significantly more closings at the end of the month, especially in the Spring and Summer months. It is also important to note that there were 121 price decreases, up from 95 last week. Heads up bargain shoppers! We can expect more and more price decreases in June/July as motivated sellers try and get a done deal prior to the end of the Summer.

May 2018 Monthly Review & Realtor’s Notes

 

Reviewing weekly numbers is a great way to stay in-tune with our real estate markets. We also want to help our community gain perspective as well. Below is a overview of the inventory of active listings in Waterloo and Wellington region for the past 5 years.

 

Taking a quick look at the graph we can see the sharp decline in active listings in July 2016. This was the last time our markets had over 2,500 active listings. This was the beginning of the wild market that was 2017..

In May 2018 our markets had 2,533 active listings which is the most we have seen since Jun 2016 (2,698 active listings) and almost 500 more active listings than May 2017 (2,071). This is an encouraging sign and is pointing towards a more balanced market than we have seen in almost 2 years. If there are homes for sale in Kitchener, Waterloo, Cambridge and Guelph will reduce the competition between buyers.

A question we get a lot is “Are prices going to decrease?”. The short answer is “We don’t have a crystal ball”. Our view on the market is that there are always opportunities available, sometimes it is just harder to find them. In the short term will prices decrease? Not likely. We expect prices to continue to slowly increase throughout 2018. Inventory has increased but there are not enough available listings to meet buyer demand in our regions.

Have some real estate questions? Want to see other stats? Let us know what we can share to help you! Drop us a comment or contact us.

 

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Real Estate Market Update – MLS Kitchener, Waterloo, Cambridge and Guelph May 27th, 2018

MLS Kitchener, Waterloo, Cambridge and Guelph Stats

Data for MLS Kitchener, Waterloo, Cambridge and Guelph shows an increase in new listings compared to last week. New listings jumped from 347 the previous week to 459 in the past 7 days. MLS Listings stats shows a total of 1355 active listings in the Waterloo Region and 562 in the Wellington region. Below is the breakdown of the past week in real estate and analysis on what we are seeing in the Waterloo and Wellington region real estate markets.

Waterloo & Wellington Region Real Estate Markets – MLS Listings Stats Breakdown

New Listings: 459

Sold Pending: 275

Sold Closed: 153

Cancelled & Expired: 110

Active Conditionally Sold & Not Showing: 168

Price Increase: 26

Price Decrease: 95

Back on Market: 37

MLS Listings Analysis – More Inventory But Not Enough

MLS Kitchener, Waterloo, Cambridge and Guelph experienced an increase of 112 new listings in the past week moving up from 347 to 459. As noted in previous posts this is mainly due to the May long weekend as sellers typically bring their home to market a week or two before, or after, the holiday weekend. Sold pending listings were 275 compared to 251 the week prior, an increase of just 24. This widens the gap and provides slightly more inventory for the active buyers out there but not enough to sway from our current seller’s market to a buyer’s market.

In addition to the key metrics MLS listings stats show very comparable numbers for conditionally sold listings and properties that made price changes. Last week our real estate markets had 145 conditionally sold listings compared to 168 this past week. As well, there were 107 listings that had price changes two weeks ago compared to 121 that either increased or decreased their listing price.

Realtor’s Notes

Waterloo and Wellington region real estate markets keep chugging along matching seasonal norms and expectations. We are still in a seller’s market with listings selling in 25 days on average (compared to just 17 days the same time last year). For the last 18-24 months listings have sold quicker than historical averages which makes it even more difficult for inventory to catch up and pushes prices higher. To compare, the media listing price for properties in Waterloo and Wellington region in April 2017 was $439,000 compared to $479,900 in April 2018. Average days on market is a great indication on how quickly listings are moving and overall competition for buyers. As well, median price on a month-to-month basis is a great tool for buyers and sellers to keep tabs on the overall price trends for the real estate market.

For buyers looking to get into the market review our previous Buying Smart Guide. We also discuss selling and investing in real estate regularly on our Facebook Page with great links, tips and conversation to help our friends in the community navigate our rapidly changing real estate markets. Is there a topic or question you want covered? Leave us a comment or get in touch!

 

 

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Real Estate Market Update – MLS Listings May 22nd, 2018

MLS Listings Waterloo & Wellington Region

Taking a look at real estate data for the past week there were just 347 new listings in the Waterloo and Wellington region markets. This is down from 491 in the second week of May. As noted in last weeks market update blog post a decline in new listings the week of a holiday long weekend is typical. View the market watch real estate stats and commentary below for full details!

Waterloo & Wellington Region Real Estate Markets – MLS Listings Stats Breakdown

New Listings: 347

Sold Pending: 251

Sold Closed: 204

Cancelled & Expired: 112

Active Conditionally Sold & Not Showing: 145

Price Increase: 19

Price Decrease: 88

Back on Market: 48

MLS Data Shows Long Weekend Slowdown in New Listings

Our real estate markets showed fewer new houses for sale in Kitchener, Waterloo, Cambridge, Guelph and surrounding markets than the previous week. With 347 new listings, compared to 491 the week before our market saw 144 less new properties hit the board. As noted in last week’s commentary a decline was expected due to the Victoria Day long weekend. It is important to note this is typical for long weekends and holidays. Expect a significant increase in more new listings coming to market this week and next as we reach the unofficial mid-point of our Spring market.

In review of other key market data there were comparable numbers of sold pending listings with 251 this past week versus 270 the week before. Note, an increase in sold closed listings from 137 two weeks ago compared to 204 this past week. This is in line with market norms of more closings happening prior to long weekends/holidays as well as at the beginning and end of each month. Finally, there were similar amounts of listings that experienced price changes and were conditionally sold compared to seasonal norms and the past few weeks.

Realtor’s Notes

There have been no real surprises in the past few weeks of MLS Listings data. Waterloo & Wellington region are experiencing low inventory but are far less competitive than this time last year. That being said, new listing and overall active listing inventory still remains low enough that we remain in a seller’s market. Until we see more new listings coming to market on a consistent basis the Waterloo and Wellington regions will remain in a sellers’ market.

Look for a flood of new listings coming to market this week and next. Typically after long weekends in the Spring and Summer sellers’ have used the extra time off to prepare their home for market.

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Real Estate Market Update – May 13th, 2018 More Houses for Sale!

Houses for Sale in Waterloo & Wellington Region

Spring continues to bring more houses for sale to market in Kitchener, Cambridge, Waterloo and Guelph! MLS listings stats show a notable increase in new listings for the second week of May. Additional inventory is still welcome in the Waterloo and Wellington region real estate markets, both of which have been in sellers’ markets for extended periods of time now. Even though more inventory is coming to market we can expect competition to remain tight amongst buyers. Check out the MLS listings stats breakdown and realtor commentary below for more information!

Waterloo & Wellington Region Real Estate Markets – MLS Listings Stats Breakdown

New Listings: 491

Sold Pending: 270

Sold Closed: 137

Cancelled & Expired: 101

Active Conditionally Sold & Not Showing: 162

Price Increase: 17

Price Decrease: 102

Back on Market: 31

Boost to New Listings Means More Houses for Sale

Comparing the second week of May 2018 to the first week, our markets had a larger net increase to inventory! MLS Listings stats show 491 new listings in the past seven days. This compared to 437 new listings that came to market the previous week. It is also important to note the number of sold pending listings which was 270 this past week. That is comparable to 283 new listings just one week prior. Reviewing these two key metrics shows that the Waterloo and Wellington real estate markets had a net increase (New listings minus sold pending listings) of 221 listings this week compared to 154 in the first week of May 2018. A net increase indicated more inventory for buyers.

To summarize other key market stats Waterloo and Wellington region real estate markets had very comparable numbers of conditionally sold listings as well as listings that made price adjustments and came back to market. Note that there was a significant drop in sold close listings. This is fairly standard as we typically see a larger volume of close listings the first week of every month between May and September.

Realtor’s Notes

More new listings means more homes for sale in Cambridge, Kitchener, Waterloo and Guelph!  Now we are in the thick of the Spring market and Sellers are rushing to list their homes. A similar story on the buyer side of the market as more and more buyers are becoming active as the spring market hits full stride. We are approaching a significant holiday in the May long weekend. Typically fewer listings come to market over the long weekend as southern ontario residence flock to cottage country and family gatherings for the first holiday of the Spring. Expect a large increase in new listings for the weeks following this coming holiday.

 

If you are navigating the spring market and have questions drop us a comment or get in touch via the contact page on our website! Let us show you how we find great value for our buyers and maximize returns for our sellers with our proven systems and models.

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Real Estate Market Update – Week Ending May 6th, 2018

May Market: Spike in New Listings & Closings

New listings increased in the past week to start May off with a bang! Local real estate markets have more houses for sale in Cambridge, Kitchener, Waterloo and Guelph providing some more opportunity for buyer’s. As we approach the middle of the Spring market our real estate markets have spiked in new listings and sold closed listings. This is mainly do to the seasonality of our southern Ontario markets with late-winter buyer’s moving into their new homes, and sellers bringing their home to market during peak shopping time for buyers!

Are you considering making a move? Check out our buying smart series for buyer tips: https://primepropertieson.com/real-estate/buying-smart-series-march-2018/ . Selling or wants some tips? Head to our Facebook page where we are posting great content reviewing our Spring Seller Series: https://www.facebook.com/pg/primepropertieson/posts!

Waterloo & Wellington Region Real Estate Markets – MLS Listings Stats Breakdown

New Listings: 437

Sold Pending: 283

Sold Closed: 433

Cancelled & Expired: 161

Active Conditionally Sold & Not Showing: 143

Price Increase: 17

Price Decrease: 107

Back on Market: 31

Local Markets Match Seasonal Trends

Here in the Waterloo and Wellington real estate markets we saw a slight increase in new listings and a significant jump in Sold Closed properties. New listings increased from 411 to 437 where sold close properties jumped from 200 to 433. The slight increase in new listings is in line with seasonal trends. Now that we are in May and the weather is more cooperative we should continue to see over 400 new listings hit the board on a weekly basis. The large increase in sold closed properties is fairly standard for the first week of a new month in the spring and summer. We can expect that number to drop to the 200’s until the first weekend of June (which is also Canada Day long weekend, traditionally the busiest day for residential real estate closings each year).

In addition our markets experienced a decreased of 17 sold pending listings from 300 to 283. There were a comparable number of price adjusted listings and conditionally sold properties as well. Nothing noteworthy to report there!

Realtor’s Notes

We can expect more listings to hit the board this week, and possibly next week as sellers rush to bring their home to market before May long weekend. During the Spring and Summer months there is typically a jump in new listings a week before, and the week after a long weekend. In Summary we are in a sellers market. We will will continue to be until we see a significant jump in listings inventory.

 

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Real Estate Markets – Week Ending April 29th, 2018

Spring Weather Brings Inventory to Local Real Estate Markets

The newest installment of our weekly real estate markets update shows an uptick in new MLS listings! After weathering a Spring ice storm just two weeks ago we see that more houses for sale in Cambridge, Waterloo, Kitchener and Guelph have come to market. For a market hungry for more inventory buyers welcome any new listings.

Are you considering making a move? Check out our buying smart series for buyer tips: https://primepropertieson.com/real-estate/buying-smart-series-march-2018/ . Selling or wants some tips? Peak our Facebook page where we are posting great content reviewing our Spring Seller Series: https://www.facebook.com/pg/primepropertieson/posts!

Waterloo & Wellington Region Real Estate Markets – MLS Listings Stats Breakdown

New Listings: 411

Sold Pending: 300

Sold Closed: 200

Cancelled & Expired: 95

Active Conditionally Sold & Not Showing: 138

Price Increase: 13

Price Decrease: 90

Back on Market: 26

Sunshine Brings Few More Listings To Real Estate Markets

For the week ending Sunday April 29th, 2018 our MLS Listings stats show an overall increase in volume. The Waterloo and Wellington region real estate markets had 411 New Listings, 26 more than the previous week. In addition our real estate market had 300 Sold Pending listings, 21 fewer than the week before. Conditionally sold listings for the past week totalled 138 compared to 142 the previous seven days. The spread between sold pending listings and new listings grew this past week. This means slightly more inventory for buyers!

To summarize the other stats our real estate market had 200 listings sold closed as well as 95 expired and cancelled listings. There were 103 listings with price changes compared to 85 the previous week.

Realtor’s Notes

The real estate market stats for the past seven days are in line with seasonal expectations. It is nice to see more inventory but our market has yet to receive a significant increase in available listings. We will remain in a seller’s market until we get more inventory or buyer demand cools significantly. Overall a fairly predictable week in the Waterloo and Wellington region real estate markets.

 

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MLS Listings Stats Week Ending April 22nd, 2018

Sellers’ Market Continues to Roll!

MLS Listings stats from Waterloo and Wellington region reveal little surprises for the week ending April 22nd, 2018. Marginal increases to new listings and sold pending listings are in line with seasonal trends. Now that the sun is out, and the snow is gone until next winter (hopefully) we can expect to see a steady increase of new listings coming to market over the next month or two. With slight increases in new listings, we can expect to see comparable increases to sold pending and conditionally sold listings. THis is because there are a comparable number of buyers to sellers currently active in our markets. If we continue to see comparable increases to sold and new listings we can expect our sellers market to remain for the time being.

Waterloo & Wellington Region Real Estate – MLS Listings Stats Breakdown

New Listings: 385

Sold Pending: 321

Sold Closed: 158

Cancelled & Expired: 70

Active Conditionally Sold & Not Showing: 142

Price Increase: 12

Price Decrease: 73

Back on Market: 29

Another Spring, Another Sellers’ Market

After braving the spring snow storm just one week ago our real estate markets experienced a slight increase in overall volume. MLS statistics showed 385 new listings this past week compared to 348 new listings the previous week, an increase of 40. This past week out markets saw 321 sold pending listings compared to 308 the previous week. These marginal increases to both key metrics are in line with seasonal trends. As well, their increases are comparable to each other meaning we are still in a sellers’ market. This is remain the case until we see a significant increase to new listings compared to sold pending and conditionally sold listings, leaving more inventory for buyers.

In review of other numbers there was a 50% increase in sold closed listings compared to the previous week. Price adjusted, cancelled and back on market listings were all fairly comparable to the previous week’s figures.

Realtor’s Notes

Overall the MLS listings stats for Waterloo, Kitchener, Cambridge, Guelph and the surrounding cities are showing that we are still in a fairly strong sellers’ market. This trend is expected to continue as inventory remains low and mortgage financing remains historically inexpensive. Inventory remains low as the development process remains slow and construction costs remain high. As for mortgage financing, we are expected to see interest rates increase this year, at least once. This will likely squeeze those that are on the fringe out of the market. Increases to interest rates will be marginal and are not expected to push a significant number of buyers completely out of the market.

For more commentary on real estate markets and how they are changing join us on Facebook www.facebook.com/primepropertieson/. Want more details, to share your opinion or talk real estate? Drop us a comment or get in touch via our contact page!