In September, the Waterloo Region Association of REALTORS® (WRAR) reported a slight increase of 0.2% in home sales compared to the previous year, but a notable decline of 27.1% compared to the previous 5-year average for the month. The number of homes sold was close to a decade-low for September. However, new listings set a record for the month.
Total residential sales included 302 detached homes (down 4.7% from September 2022), 122 townhouses (up 25.8%), 68 condominium units (up 9.7%), and 33 semi-detached homes (down 34.0%).
The average sale price for all residential properties was $757,753, a 0.7% decrease from September 2022. The average prices for detached homes, townhouses, apartments, and semi-detached homes were $876,590, $639,816, $500,092, and $673,764, respectively.
New listings saw a significant surge, totaling 1,400, a 52.3% increase from September of the previous year. The total number of available homes for sale increased by 48.8% compared to the previous year, with 1,448 listings in active status at the end of September. The months of inventory were 2.6, indicating a substantial increase from the previous year, representing how long it would take to sell off current inventories at the current sales rate.
The average number of days to sell in September decreased to 18 days compared to 23 days in September 2022.
Considering the upcoming Bank of Canada interest rate announcement on October 25, some buyers might be waiting to see the outcome. WRAR encourages these buyers to consult local Realtors for insights into the current market conditions and tailored guidance based on their needs. Additionally, the association highlighted an affordability crisis in the region, with a significant portion of residents considering moving to more affordable locations.