Waterloo Region Real Estate: A December 2024 Market Recap and What to Expect in 2025
As we begin 2025, it is a great time to reflect on the 2024 Waterloo Region Real Estate Market and ponder what this year may bring.
Residential Sales Trends in 2024
In all of 2024, total residential sales included 4,100 detached (up 5.5% compared to 2023), and 1,368 townhouses (up 2.6% compared to 2023). Sales also included 821 condominium apartments (down 8.8% compared to 2023) and 477 semi-detached homes (up 5.5% compared to 2023). To summarize, while the number of homes sold in 2024 is well below low-term averages, sales volume IS trending up again (except for condo apartments, which continue to struggle). This was particularly evident in the last 3 months of 2024.
December 2024 Insights: The Waterloo Region Market
In December 2024, the average sale price for all residential properties in Waterloo Region was $763,840. This is a 3.3 per cent increase compared to December 2023 and a 1.4 per cent increase compared to November 2024.
- The average price of a detached home was $898,204. This represents a 6.0% increase from December 2023 and an increase of 4.0% compared to November 2024.
- The average sale price for a townhouse was $630,676. This stands for a 1.7% increase from December 2023 and an increase of 2.7% compared to November 2024.
- The average sale price for an apartment-style condominium was $475,006. This is a 3.7% decrease from December 2023 and an increase of 5.5% compared to November 2024.
- The average sale price for a semi was $644,786. This represents an increase of 5.1% compared to December 2023 and an increase of 0.2% compared to November 2024.
Interest Rates and Their Impact on the Market
The Bank of Canada has lowered their key interest rates at each set announcement date since June 2024 and currently sits at 3.25%, bringing some much-needed relief to Canadians carrying debt tied to the rate and/or contemplating mortgage renewals in the near future. Further cuts are widely predicted – most likely we will see a further 0.25% cut on the January 29 announcement date.
2025 Market Outlook: What to Expect
As we move into 2025, housing is a financial decision, of course, but also very much a necessity and very often a lifestyle decision. Increasingly, we see that first time buyers who can do so are feeling comfortable getting into the market and both those seeking to upsize and those seeking to downsize are moving ahead with plans to move to meet their needs.
The spring real estate market will almost certainly get underway early this year and it promises to be a strong year.
Thinking of Buying or Selling? Let’s Talk Strategy
If you are thinking of a move this year, it is never too early to reach out to us for advice on strategy and timing.
More about the Waterloo Region Market: Market Update Archives
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