High demand and record low supply of houses in Waterloo Region is changing the way sales agents operate.
The recent edition of the print 'Homes' section had something James Craig, president of the Kitchener-Waterloo Association of Realtors, hasn’t seen during his 16 years in real estate — a full page of 'Homes Wanted' ads.
“This market is really forcing sales reps to go back to the old-fashioned way of doing things,” said Craig, noting that a lot of agents have been calling and knocking on doors trying to drum up housing stock.
The lack of supply is a large part of the reason for the spike in housing prices; the numbers back that up. In January of last year, 1,068 residential properties were on the market. During the same period this year, only 367 were on the market.
“It’s forcing agents and buyers to go back to old school brokerage,” said Craig. “It’s very competitive to get the listings right now.”
In January, there were 327 residential properties sold — 194 detached homes and 79 condominium units. Sales also included 32 semi-detached homes and 20 freehold townhouses.
The average sales price also took a significant jump over the last year, at the rate of 19.1 per cent. The average sales price of all residential properties sold in January was $421,104.
In December, the average price of a detached home was $501,821 — the first time it has ever hit the half-million dollar mark.