Waterloo Region remains seller’s market as prices continue to climb: realtors

After an initial drop from last year, the price of buying a home in Ontario’s Waterloo Region continued to climb in May, according to the Waterloo Region Association of Realtors (WRAR).

The realtors say the average sale price was $821,828, which is a 3.1 per cent increase over April but is still 5.6 per cent below the price from May 2022.

Those who purchased a detached home in May were paying $964,130, which is an increase of 4.2 per cent over April but a 2.8 per cent decrease from a year earlier.

“Waterloo Region properties remain in high demand. Driven by our diverse economy and the desirability of our community, we continue to be in a seller’s market,” WRAR president Megan Bel stated.

“With limited inventory and a relatively low number of new listings being added to the MLS system, buyers face intensified competition while sellers receive increasingly competitive offers.”

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WRAR says that 788 homes changed ownership last month, which is 10. 9 per cent less than a year earlier and 12.6 per cent below the average from the previous five years.

“The spring market is in full swing with robust buyer and listing activity observed in May,” Bell said. “It’s encouraging to witness a significant uptick in listing activity compared to April, and we remain optimistic that this positive momentum will carry into June.

“However, it’s worth noting that the number of listings being added to the MLS system continues to be historically low.”

The amount of inventory is beginning to climb however as the realtors say there was 1.7 months of inventory available at the end of May. That number shows how long it would take to sell off all the homes on the market and while it is low, it is up 13.3 per cent year-over-year.

In addition, it is now taking 15 days on average for a home to sell, which is almost on par with the previous five-year average of 16 days but four days longer than May 2022.