Persistent and fierce competition combined with short supply cause dramatic increases in the average price of Kitchener-Waterloo homes
There were 597 homes sold in February, an increase of 27.8% compared to February 2020. This is an increase of 66.7% compared to the previous month. The previous 10-year average number of residential sales for February is 407.
Total residential sales in February included 337 detached (up 23.9% from February 2020), and 101 condominium units (up 57.8%). Sales also included 47 semi-detached homes (up 46.9%) and 112 townhouses (up 13.1%).
Average prices rise
In February, the average sale price of all residential properties sold in 2021 increased by 32.1% to $752,289 compared to the same month last year.
The average price of a detached home hit yet another new milestone by exceeding 900-thousand-dollars for the first time, rising to $910,126 an increase of 35.4%.
The average sale price for an apartment-style condominium was $415,322 for an increase of 11.9%.
Townhomes and semis sold for an average of $609,566 (up 37.5%) and $684,787 (up 41.1%) respectively.
Low inventory and mortgage rates are resulting in multiple offers and ever higher prices
There were 737 new listings added to the MLS® System in KW and area last month, an increase of 21% compared to February of last year, and a 15.7% increase compared to the previous ten-year average for February.
The total number of homes available for sale in active status at the end of February was 295, a decrease of 33.6% compared to February of last year, and 73% below the previous ten-year average of 1,096 listings for February.
The number of months of inventory was 0.5 in February and has remained below 1 months supply since October.
The average number of days on the market in February was 10 days, compared to 17 days in February 2020
The previous 5-year average of 33 days.
Intense competition leads to another record-breaking month of home sales
New Benchmarks
The new MLS® Home Price Index composite benchmark price for all residential properties in Kitchener-Waterloo was $709,600 in February.
This represents a 27.9% increase over February 2020 and a 5.6% increase compared to January 2021.
The benchmark price for a detached home was $788,500.
This represents a 28.8% increase from February 2020 and 6.1% increase compared to January 2021.
The benchmark price for an apartment-style condominium was $341,200. This represents a 13.9% increase from February 2020 and a 0.1% increase compared to January 2021.
The benchmark price for a townhouse is $526,700. This represents a 33.1per cent increase from February 2020 and a 6% increase compared to January 2021.
Further reading:
Kitchener-Waterloo Real Estate News
Keith’s real estate blog
Real estate videos
Source: KWAR
