Waterloo Region’s housing market shows signs of improvement: WRAR

The federal government is instituting significant changes to Canada's mortgage rules aimed at ensuring homeowners will survive an increase in interest rates. (File image/ The Canadian Press

January home sales in Waterloo Region have increased compared to the same time last year.

According to the Waterloo Region Association of Realtors (WRAR) the housing market shows signs of improvement after 375 homes were sold through the Multiple Listing Service (MLS).

That represents at 25.4 per cent increase over January 2023.

Last month’s sales included 206 detached homes, 85 townhouses, 56 condominium units and 19 semi-detached homes.

“This time last year, we hit an all-time low in January home sales, and while this year has begun with sales below the historical average, the market is showing signs of improvement,” WRAR President Christal Moura explained in a release.

January average home sale prices by property type. (Source: Waterloo Region Association of Realtors)

In January, the average price of a detached home in the region was $911,262, representing a 7.5 per cent increase compared to December 2023.

The sale price of a townhouse increased 2.7 per cent from the month prior, averaging $638,162.

In January, apartment-style condos on average were sold for $446,146 and the price for a semi averaged $631,995.

“We are optimistic that this year will have more stability than last. With the Bank of Canada holding steady at 5.0 per cent benchmark interest rate, they recognize the overall economy has slowed down. However, housing is a key metric, and we expect the bank to maintain a balanced response so long as housing continues with moderate growth in 2024 rather than any dramatic increases,” said Moura.

MLS home price index benchmark price. (Source: Waterloo Region Association of Realtors)

In Waterloo Region, there were 720 new listings added to the MLS system in January. By the end of the month, there were 855 homes available for sale.