Surge in New Listings have Slowed Home Sales in September

I hope you are having a great week and enjoying the beautiful weather we have had so far in October!

With thanksgiving this weekend we have lots to be thankful for and I hope that you are able to spend some quality time with your family.

The Real Estate market is definitly in an interesting place. The past 2 months we have seen a slowing in sales and a spike in inventory which means the market is starting to balance out and in my opinion at the moment even in a buyers market depending on the price range you are looking in .

Lets take a look at the stats…

In September, there were 527 homes sold, representing an increase of 0.2 per cent compared to the previous year and a decline of 27.1 per cent compared to the previous 5-year average for the month.

The number of homes sold last month was very close to last year’s decade-low for the month of September, at the same time, we had a record number of new listings for the month of September.

Total residential sales in September included 302 detached (down 4.7 per cent from September 2022), and 122 townhouses (up 25.8 per cent). Sales also included 68 condominium units (up 9.7 per cent) and 33 semi-detached homes (down 34.0 per cent).

In September, the average sale price for all residential properties in Waterloo Region was $757,753. This represents a 0.7 per cent increase compared to September 2022 and a 0.3 per cent decrease compared to August 2023.

The average price of a detached home was $876,590. This represents a 1.6 per cent increase from September 2022 and a decrease of 0.5 per cent compared to August 2023.
The average sale price for a townhouse was $639,816. This represents no change from September 2022 and a decrease of 2.9 per cent compared to August 2023.
The average sale price for an apartment-style condominium was $500,092. This represents an increase of 9.9 per cent from September 2022 and an increase 3.1 per cent compared to August 2023.
The average sale price for a semi was $673,764. This represents an increase of 5.4 per cent compared to September 2022 and an increase 0.1 per cent compared to August 2023.

MLS® Home Price Index Benchmark Price
	Kitchener-Waterloo			Cambridge
Benchmark Type:	September 2023	Monthly % Change	Yr./Yr. % Change	September 2023	Monthly % Change	Yr./Yr. % Change
Composite	$734,600	-1.4	1.1	$741,300	-2.2	-0.6
Detached	$832,900	-1.7	2.6	$766,100	-2.8	-0.2
Townhouse	$630,300	-0.7	1.8	$677,700	1.2	-0.8
Apartment	$475,300	0.0	-1.5	$501,500	0.1	-8.8

September 2023 HPI Image for Stats Release

There was a significant surge of new listings in September, resulting in the largest number of homes being on the market since March 2016. For buyers with the financing to be house hunting in September, they would have found more favourable conditions in terms of supply than we have seen in a while.

Unfortunatly for Sellers they are going to have to be a little more patient in waiting for an offer or price thier home appropriately to attract a buyer. The only multiple offers we are seeing are on lower to mid range homes that are grossly underpriced when they hit the market.

There were 1,400 new listings, an increase of 52.3 per cent compared to September of last year and a 30.5 per cent increase compared to the previous ten-year average for September.

The total number of homes available for sale in active status at the end of September was 1,448, an increase of 48.8 per cent compared to September of last year and 9.5 per cent above the previous ten-year average of 1322 listings for September.

There were 2.6 months of inventory at the end of September, an 85.7 per cent increase compared to last year and 34.7 per cent above the previous 10-year average. The number of months of inventory represents how long it would take to sell off current inventories at the current sales rate.

The average number of days to sell in September was 18, compared to 23 days in September 2022. The previous 5-year average is 20 days.

With the next scheduled Bank of Canada interest rate announcement set for October 25, buyers might be on the sidelines to see what happens with rates.

Average Sales Price – Municipality