The price of buying a home in Kitchener-Waterloo continues to climb as the average residential price rose 11.5 per cent year over year in August, according to figures released by the Kitchener-Waterloo Association of Realtors (KWAR) on Thursday.
“More homes selling in the higher price ranges in August were at least partly responsible for the increase in the average sale price,” said KWAR president Tony Schmidt in a statement. “But strong demand on the buying side combined with low inventory on the listing side is continuing to keep upward pressure on prices.”
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Buyers paid $493,358 on average to purchase a new home in Kitchener-Waterloo in August.
The numbers were up across the board as detached homes (up 13 per cent) and condos (up 14.5 per cent) sold for $583,564 and $335,827 respectively. Semis also saw a double-digit increase as the average price rose 13.6 per cent to $401,011. The average cost of a townhome rose four per cent to $350,803.
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For the first time this year, the number of sales in August rose above the amount from a year earlier as 505 properties changed hands as opposed to 482 in 2017.
“On a year-to-date basis, we’re still well below last year’s record-breaking number of home sales, but still in line with historical averages,” Schmidt said.
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However, the rise in the August number was down 0.8 per cent, month over month, from July.
The increase in the number of homes sold was largely driven by the sale of detached homes and condos. There were 301 detached houses sold (up 5.2 per cent and 129 condos (up 25.2 per cent).
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There were 670 new listings by KWAR realtors in August, which was up 12.7 per cent. The number was also above the historical average of 648.
Schmidt hopes that trend will continue in September.
“I certainly don’t see interest in Waterloo region as a place to live and work slowing down anytime soon, so we could definitely stand to see some more housing supply,” he said.
The one trend that did slow in August, year over year, was the average length a home was on the market. It was 28 days in 2018 as opposed to 26 days a year earlier.
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