As I drive down the expressway, in this video, I discuss what lies ahead for real estate in 2014 for Kitchener Waterloo. I discuss last year’s prediction of a soft landing, which was wrong in Waterloo Region. There was no landing at all.
No landing, no slowdown, no correction
According to Royal LePage, prices will rise by 3.7% in 2014.
‘‘We expect no landing, no slowdown, and no correction in the near-term. Conditions are ripe for as strong a market as we saw in the post-recessionary rebound of the last decade.” – Phil Soper CEO Royal LePage.
Last year, the average cost of a standard two-storey home rose 3.6% in year over year value. Bungalows went up 3.8% and condominiums rose by 1.2%.
The momentum established in the last half of 2013 will continue through into the new year. We are expecting a very busy spring.
“We expect a market tipped decidedly in favour of sellers for the first half of the year, after which we project a shift to a more balanced market,” said Soper.
In addition to normal demand, housing prices will be influenced by buyers who put off buying last year. In Kitchener Waterloo, the majority of our real estate activity last year was in the “move up” market – buyers moving into their second (or next) house not first time home buyers.