The housing market in Waterloo region is returning to a balanced market, according to a new survey by Royal LePage.

The study shows a significant growth in home prices in the second quarter of the year, with the median price of a two-storey detached home costing $515,733 and a bungalow up to $443,572.

While prices are up, it says the market is leveling off as the rate of appreciation slows.

Keith Church, a broker and the owner of Royal LePage Grand Valley Realty in Kitchener, says prices are stabilizing which is good news for both buyers and sellers.

Royal LePage expects home prices will steadily increase over the next quarter with the average time on market sitting at 22 days.