Best March EVER with 731 homes sold in Kitchener Waterloo
Click play to watch:
Days on market is down from 55 to 43 for the year.
Sales to active ratio 25.8% was 16.2% in 2009, meaning 1 in 4 listed homes is selling each month, or that we currently have a 4 month supply of listings.
Sales$ to list$ ratio was 98.4% – it was 97.7% 2009. That means that the average home for sale in Waterloo ended up selling for 98.4% of the price it was listed for – so on average, a home listed for sale at 200K is selling for $196,800
Average sale price for a detached home is up 14.2% to $322,974 for the year.
Average sale price for a semi-detached house in Kitchener Waterloo is also up 6.1%, to $213,602 for the year.
Average sale price for freehold townhomes down 8.9% to $228,768 for the year.
New listings up 23.2% for the month to 1133 and number of listings for the year 2892 is up 13.5%.
In terms of the Condo market in Kitchener Waterloo, there were 117 condos sold in march, (MLS areas 1,2,3 & 4), a 51.9% increase from march 2009
Why has March been so busy?
It’s a good question, and I think there are two main reasons, relating to the way you can finance properties.
-As of April 19, people will now have to be able to qualify for a more expensive fixed rate loan, even if they choose a variable rate.
-The new mortgage rules in Canada (see: How will CMHC’s new mortgage rules impact real estate investors in Canada?) that is having the biggest impact, I think, is that Real Estate Investors will have to put down (in most cases) 20% per rental property, whereas now that minimum downpayment rate is 5%. Investors looking to get into the market may be rushing to do so before the rules change
2) Interest Rates Going Up!
I love cheap money, but rates have nowhere to go but up (and that’s actually healthy for our economy). People know that if they buy a house in 6 months, and rates have gone up, that home will cost them more money, even if the price is the same,