K-W Average Home Price Jumps 14.3 Percent in October

K-W Average Home Price Jumps 14.3 Percent in October

KITCHENER-WATERLOO, ON (November  3, 2010)The cooler fall weather was echoed by a decrease in residential home sales in October, however, sales for the year are at their second highest level ever.

Year-to-date, there have been 5,570 residential units sold, a 1.9 percent increase over last year.

On a year-over-year basis, sales declined 22.4 percent in October compared to the same period last year.  Ted Scharf, President of the Kitchener-Waterloo Real Estate Board reminds consumers, “It’s always a good idea to look at year-over-year comparisons with some measure of caution. Last October the housing market was in the midst of a rebound and we saw a record number of homes being purchased and sold in that month.”

Home sales last month totalled $134,352,425 and included 288 detached homes, 93 condominium units, 35 semis, and 26 townhouses.

The average price of all residential properties sold through the MLS® System of the KWREB last month was $302,596 a 14.3 percent increase over October  2009.

“This seems like an incredible jump in the average price,” says Scharf, “but this time last year 54 percent of the sales were happening under the $250,000 mark. Last month, that figure was just under 40 percent.”

The average price of detached homes sold last month increased 13.5 percent to $346,436 relative to one year ago. Condominiums sold for an average of $207,328 in October, a 14.3 percent increase on a year-over-year basis.

“Though sales slowed somewhat in October, prices continue to do well,” says Scharf. “All those first time buyers who got into the market last year must be feeling good. Now that much of that demand has been satisfied, we should see a return to a more steady and stable real estate market.”

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