Tri-Cities are highly likely to experience an increase in sales prices and activity this spring
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Toronto has seen a modest increase in its average home price during the first quarter, and major Ontario markets outside the GTA fared even better, according to the Royal LePage House Price Survey released earlier this week.
Home prices in the Tri-Cities went up by 8.9% year-over-year to reach $517,370, making growth in Kitchener/Waterloo/Cambridge among the strongest nationwide.
Two-storey homes significantly boosted the market’s vigour with its 9.6% annual increase to reach a median price of $551,042. Bungalows also posted a strong 6% growth, up to $461,336.
“Activity has been mostly flat, but we cannot discount how the weather impacts the market,” Royal LePage Grand Valley Realty broker and owner Keith Church said. “January was relatively active but sales dropped off in February. However, we are expecting a busy spring this year.”
The pace considerably outstripped that of the GTA, which saw its overall average home price grow by 3.4% during the same time frame to reach $836,425. Richmond Hill, Oshawa, and Markham accounted for much of this relative slowdown, as the first one posted an aggregate home price decrease of 0.8%, while the other two exhibited virtually flat prices.
The next quarter would see the Kitchener/Waterloo/Cambridge region enjoying more active sales amid steady price appreciation, Church stated.
He added that the federal government’s newly introduced home buyer incentives would not considerably impact Ontario’s Tri-Cities.
“While all measures that help qualified buyers to become homeowners are welcomed, it won’t be a game-changer for the region,” Church explained.
“First-time homebuyers are already doing quite well here as the down payment on an average house is $25,000.”
