RECORD STAFF
WATERLOO REGION — A diverse economy, strong post-secondary institutions and the planned investment in light rail transit makes Waterloo Region the second best place in Canada to invest in real estate, according to a survey by the Real Estate Investment Network.
Don Campbell, the network’s president, said Waterloo Region finished second behind Calgary in the snapshots of best Canadian cities to invest in between now and 2015. “We looked at what regions will outperform the average over the next five years,” he said in an interview Monday.
The survey by the network, a national organization comprised of real estate investor members, considered a variety of factors, including average household income, population growth and affordability of property, plus factors such as the transportation infrastructure.
The report describes Waterloo Region as the “economic Alberta of Ontario,” in terms of investment potential for residential and commercial real estate, outperforming other cities in the province and in eastern Canada. Hamilton and the Barrie-Orillia area are the two other Ontario locations that made the list of 11 best Canadian places to invest in.
Campbell said a diverse economy and favourable geographic location, along with strong post-secondary institutions, were big factors in why Waterloo Region did so well.
The report also cited the region’s high-tech job growth. The investment in the information technology sector has protected the area from the steep economic downturn that affected other communities, the network’s report said.
The planned light rail transportation system will help to make the region a hot investment location for the future, Campbell said. “That will raise the region up on the world map, because it will be one of the smallest centres with its own regional light rail transportation line. That will be a factor in investment and it will also be a factor in attracting new residents from outside the Waterloo Region.”
Another major factor is the affordability of real estate relative to average household income, he said.
In past years, Waterloo Region has ranked as the best place in Ontario to invest in for real estate. This was the first year the network did rankings for all of Canada, Campbell said.
Tuesday, August 10, 2010
Sunday, August 8, 2010
July 2010 Sales Review
RECORD STAFF
WATERLOO — House sales cooled off in Waterloo Region in July, but the president of the Kitchener-Waterloo Real Estate Board insists the local market remains stable.
Sales were down 23.7 per cent in Kitchener and Waterloo as 499 homes changed hands compared to 654 for the same month a year ago, the board said Friday.
In Cambridge, 237 homes were sold last month, a drop of 16.3 per cent from the 283 sold for the same month a year ago.
While July totals were down, Ted Scharf, president of the Kitchener board, pointed to year-to-date residential sales of 4,135 units, an increase of 9.2 per cent compared to 2009.
“There are only so many buyers in a year. We had a pretty hot spring. Buyers came out in droves,” he said in an interview.
The average sale price rose one per cent to $284,344, another sign that the local market remains stable and values are “in no way inflated,” Scharf said.
July was a busy month last year as the economy emerged from the recession, he noted. The harmonized sales tax, which kicked in on July 1, may also have dampened sales this year, he said.
Instead of the previous five per cent, buyers now pay a 13 per cent HST on real estate commissions, legal fees, appraisals, condo fees, home inspection fees and moving costs.
July’s sales totals were the lowest since 2002.
Last month’s residential sales in Kitchener and Waterloo included 332 detached homes, 80 condos, 39 semis and 41 townhouses. The most popular price range was $225,000 to $275,000. Thirty-per-cent of sales occurred in this category.
While July totals were down in Cambridge, year-to-date sales are up 10.7 per cent. A total of 1,757 properties have changed hands, compared to 1,587 for the first seven months of 2009.
The average sale price increased 14.9 per cent to $287,923 in July.
“We’re continuing to see strong upward pressure on prices,” Bob Peace, president of the Cambridge Real Estate Board, said in a release.
But softer sales and gains in housing supply will likely have a cooling effect on prices in the second half of the year, he noted.
One hundred and five properties sold for under $249,999, the busiest category during July, the board said.
WATERLOO — House sales cooled off in Waterloo Region in July, but the president of the Kitchener-Waterloo Real Estate Board insists the local market remains stable.
Sales were down 23.7 per cent in Kitchener and Waterloo as 499 homes changed hands compared to 654 for the same month a year ago, the board said Friday.
In Cambridge, 237 homes were sold last month, a drop of 16.3 per cent from the 283 sold for the same month a year ago.
While July totals were down, Ted Scharf, president of the Kitchener board, pointed to year-to-date residential sales of 4,135 units, an increase of 9.2 per cent compared to 2009.
“There are only so many buyers in a year. We had a pretty hot spring. Buyers came out in droves,” he said in an interview.
The average sale price rose one per cent to $284,344, another sign that the local market remains stable and values are “in no way inflated,” Scharf said.
July was a busy month last year as the economy emerged from the recession, he noted. The harmonized sales tax, which kicked in on July 1, may also have dampened sales this year, he said.
Instead of the previous five per cent, buyers now pay a 13 per cent HST on real estate commissions, legal fees, appraisals, condo fees, home inspection fees and moving costs.
July’s sales totals were the lowest since 2002.
Last month’s residential sales in Kitchener and Waterloo included 332 detached homes, 80 condos, 39 semis and 41 townhouses. The most popular price range was $225,000 to $275,000. Thirty-per-cent of sales occurred in this category.
While July totals were down in Cambridge, year-to-date sales are up 10.7 per cent. A total of 1,757 properties have changed hands, compared to 1,587 for the first seven months of 2009.
The average sale price increased 14.9 per cent to $287,923 in July.
“We’re continuing to see strong upward pressure on prices,” Bob Peace, president of the Cambridge Real Estate Board, said in a release.
But softer sales and gains in housing supply will likely have a cooling effect on prices in the second half of the year, he noted.
One hundred and five properties sold for under $249,999, the busiest category during July, the board said.
Wednesday, August 4, 2010
Condo sales in Toronto drop for first time in 16 years
Globe and Mail Update Published on Tuesday, Aug. 03, 2010 1:14PM EDT Last updated on Tuesday, Aug. 03, 2010 2:15PM EDT
New condo sales in Toronto decreased for the first time in 16 years in the second quarter, as the market cooled along with the broader housing market .
Sales of new condos have posted quarter-over-quarter sales gains since 1994, said Urbanation Inc, an information gathering company that tracks sales in the Toronto area. There were 4,991 sales in the second quarter, an eight per cent decline from the first quarter’s 5,415.
“Despite the quarter-over-quarter decrease, sales during the past four quarters were near record highs,” said Ben Myers, Urbanation’s executive vice-president. “When we consider the rapid sales pace of the six months prior to Q2/10, the new sales market is softening. Expect a slightly slower sales pace for the remaining two quarters of 2010.”
The amount of time units are sitting on the market has also increased, to 25 days in the second quarter from 22 days in the first quarter. There were 12,638 unsold units available at the end of the second quarter, an increase of 12 per cent over the same time last year.
The resale market held up far better, setting a new quarterly record of 5,076 sales, beating the previous high of 4,854 set in the third quarter of 2009. It’s an 18 per cent increase over the first quarter, and five per cent over a year ago.
Prices held steady, however, with the average selling price rising less than one per cent in the second quarter to $331,000 as buyers had a record 10,997 units to choose from.
“A flush resale supply coming kept resale pricing in check,” Mr. Meyers said. “Many of these resale listings were absorbed during the quarter, bringing the number of resale listings down to 8,714 units, which allowed the strong demand during the spring months to be met without further impacting affordability due to rising resale prices.”
He said prices should remain stagnant in the coming months because of a flood of new supply.
“With almost 6,000 occupied and not yet registered units in the CMA at the end of Q2/10, and the potential for as many as 12,000 completions over the remaining quarters of 2010, it’s possible the addition of that many units to the market will force resale prices to remain relatively flat,” he said.
New condo sales in Toronto decreased for the first time in 16 years in the second quarter, as the market cooled along with the broader housing market .
Sales of new condos have posted quarter-over-quarter sales gains since 1994, said Urbanation Inc, an information gathering company that tracks sales in the Toronto area. There were 4,991 sales in the second quarter, an eight per cent decline from the first quarter’s 5,415.
“Despite the quarter-over-quarter decrease, sales during the past four quarters were near record highs,” said Ben Myers, Urbanation’s executive vice-president. “When we consider the rapid sales pace of the six months prior to Q2/10, the new sales market is softening. Expect a slightly slower sales pace for the remaining two quarters of 2010.”
The amount of time units are sitting on the market has also increased, to 25 days in the second quarter from 22 days in the first quarter. There were 12,638 unsold units available at the end of the second quarter, an increase of 12 per cent over the same time last year.
The resale market held up far better, setting a new quarterly record of 5,076 sales, beating the previous high of 4,854 set in the third quarter of 2009. It’s an 18 per cent increase over the first quarter, and five per cent over a year ago.
Prices held steady, however, with the average selling price rising less than one per cent in the second quarter to $331,000 as buyers had a record 10,997 units to choose from.
“A flush resale supply coming kept resale pricing in check,” Mr. Meyers said. “Many of these resale listings were absorbed during the quarter, bringing the number of resale listings down to 8,714 units, which allowed the strong demand during the spring months to be met without further impacting affordability due to rising resale prices.”
He said prices should remain stagnant in the coming months because of a flood of new supply.
“With almost 6,000 occupied and not yet registered units in the CMA at the end of Q2/10, and the potential for as many as 12,000 completions over the remaining quarters of 2010, it’s possible the addition of that many units to the market will force resale prices to remain relatively flat,” he said.
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