The Kitchener-Waterloo Housing Market saw significant growth in 2016. The average residential sale price rose approximately 10 per cent to $382,697 up from $348,220 in 2015. Many residential listings received multiple offers, with pre-emptive or bully offers being a common occurrence.
Attracting Out-of-Towners – Greater Toronto Area buyers continue to drive demand in Kitchener-Waterloo as they seek out affordable housing options along the GO Train line. Waterloo’s economy and consumer confidence were boosted in 2016 due to substantial growth in its tech sector as the low Canadian dollar encouraged increased investment from American tech companies.
Outlying Towns Heating Up- New Hamburg and Baden, located on the outskirts of Kitchener, are becoming increasingly popular with move-up buyers and retirees. For young families, the areas offer good schools and nice properties at affordable prices, while retirees are attracted to the adult retirement villages, which feature bungalow-style homes, amenities and activities.
First-Time Buyers- First-time buyers are a key driver of the Kitchener-Waterloo market. Young couples looking to enter the market typically prefer low maintenance condo properties that provide easy access to the downtown core.
Condo market – Condo sales were up in 2016 between January and October to 1,358, compared to 1,029 properties sold during the same period in 2015. Due to a surplus of condo inventory near Wilfred Laurier University and the University of Waterloo, it’s expected that some of the housing initially intended for student rentals may eventually shift to wider availability residential rental units.
Source: REMAX 2017 HousingMarketOutlookReport