A recent report from Re/Max had a lot to say about the Kitchener Waterloo area. As a working realtor, I am experiencing all of these developments in the region first hand. As a matter of fact, I have several clients looking to buy into the condo market in Kitchener Waterloo. I am also working with baby boomers and seniors who are looking to move into townhomes, apartment style condos and bungalows. I expent this trend will continue for the months and years to come. I am really interested to see what the Barrelyards will be like once the hotel is finished and they start building the condos and townhouses.

Here is the excerpt that Re/Max wrote about Kitchener Waterloo.

Changing consumer appetites have supported the most recent evolution in Kitchener-Waterloo’s housing mix, improving the quality of homes and propping up all types of new construction throughout the region. The trend has contributed to rising average price, urban and suburban growth and-most notably-a considerable upswing in the city’s burgeoning condominium segment.

The most significant boost to Kitchener-Waterloo’s housing stock came over the past decade, when renovation and new construction pushed the value of building permits to an unprecedented $6 billion-two and a half times the amount spent just one decade earlier. Incidentally, during the same period, average price-also supported by a number of additional solid fundamentals-climbed 84 per cent, from $167,317 in 2000 to $289,041 in 2010.The upswing in the renovation trend in recent years has improved the quality of listings. Today’s purchasers have higher expectations than in generations past and are driving demand for properties with better finishing’s and features. Renovated homes in mature neighbourhoods, offering the latest bells and whistles, are still generating multiple offers, while the overall market has moderated to some extent.

Builders have also answered the call, with new subdivisions prompting the emergence of up-and coming areas on the peripherals of the city. Immigration and a higher cost of living may impact the evolution of the traditional detached home, as an increasing number of newcomers begin to seek out two-family homes or those offering a separate apartment. Although this type of housing remains hard to come by, it will be a trend to watch going forward.

Young buyers, investors and baby boomers have seriously embraced higher-density residential developments throughout Kitchener-Waterloo. These units have gained so much traction that they may well over take the long sought-after bungalow as the product of choice for both first-time buyers and downsizers in the years ahead. Lifestyle is foremost, with momentum strongest in Downtown Kitchener and Uptown Waterloo. Affordability is one reason, with units starting from $150,000.A tightening vacancy rate and rising rental costs are also playing a role. The city is home to its fair share of exciting developments. Recently completed and ongoing projects in Kitchener include the trendy Kaufman and Arrow Lofts, The Intowns, City Centre Condominiums at the former Centre Block site, as well as Icon condos.

Uptown Waterloo continues to be transformed, with residents drawn by proximity to the hospital, university and major businesses, as well as culture, shopping and festivals may yet be the Barrel Yards development the large stand most ambitious brownfield redevelopment to date, which, when complete, will be home to a luxury hotel, condominiums, townhomes, live-work units, rentals, a senior’s residence, offi ce and retail space, a park and underground parking for 2,400 cars.

Condominium townhomes have also emerged as an increasingly sought-after bridge between condo apartment ownership and the detached home for first-time buyers. Boomers are also looking to townhomes as an alternative to apartment-style living and new product such as quads and brownstones have raised the bar and the appeal. Infill, redevelopment, new construction and renovation will continue to drive the revitalization of the region, supporting intensification efforts, population growth and propping up average price in the years ahead. Currently, year-to-date (September) average price hovers at $295,845 in Kitchener-Waterloo, up about four per cent from 2010, while sales, at 3,670units, are off last year’s pace by approximately five percent.

An influx of new listings is expected to keep prices in check in the short-term, with modest appreciation of three to four per cent projected by year-end 2011.

Source: Re/Max Ontario Atlantic Housing Evolution article

Thanks for reading!

Warren & Melanie McNeil | Sales Representatives, Team McNeil RE/MAX Twin City Realty, Brokerage ( 519.579.4110 | 519-498-8118
Connect with us on the following social networks Facebook: www.facebook.com/TeamMcNeilRemax
websites: www.TeamMcNeil.com, www.ClickThatHouse.com, www.KitchenerLofts.com, www.ElmiraRealEstate.ca

Demand for luxury homes intensifies amid rising Canadian and global wealth

Mississauga, ON (May 18, 2011) – Improved financial standing among high net worth individuals is the major factor driving strong sales activity at the top end of Canadian housing markets, according to a report released today by RE/MAX.

RE/MAX Ontario-Atlantic Canada and RE/MAX of Western Canada examined 12 major centres from coast-to-coast and found that luxury sales have surged in close to two-thirds of housing markets between January 1 and April 30 of this year, compared to the same period in 2010. Leading in terms of percentage increases over the four-month period were Greater Vancouver (118 per cent) – where foreign investment has also played a major role – Ottawa (59 per cent), Calgary (51 per cent), Halifax-Dartmouth (27 per cent), Winnipeg (24 per cent), Hamilton-Burlington (13 per cent) and Greater Toronto (nine per cent). Six of the seven major cities – with the exception of Calgary – are poised to set new records in top-end activity by year-end. Several are just short of peak levels reported in 2010, such as Victoria, Regina, and London-St. Thomas.

The areas of these homes are, Lincoln Heights(Kiwanis Park), Colonial Acres/Eastbridge, Bridgeport, Stanley Park/Centreville, Grand River North, Idlewood/Lackner Woods, Hidden Valley, Doon/Pioneer/Wyldwoods, Uptown Waterloo, Beechwood, Upper Beechwood and Laurelwood. As you can see there are luxury homes spread right across the city so if you want to be in a particular area, you should be able to find something that suits your taste in the area that you prefer. In addition to the luxury housing there are many luxury condos as well. Some of the new developments are offering condos upwards in the million dollar range. We also have some pretty nice luxury townhomes as well.

Here are a couple of maps showing the locations of all the luxury homes in the different areas around Kitchener Waterloo.

Thanks for reading!

Warren & Melanie McNeil | Sales Representatives, Team McNeil RE/MAX Twin City Realty, Brokerage ( 519.579.4110 | 519-498-8118
Connect with us on the following social networks Facebook: www.facebook.com/TeamMcNeilRemax
websites: www.TeamMcNeil.com, www.ClickThatHouse.com, www.KitchenerLofts.com, www.ElmiraRealEstate.ca

By Warren McNeil  

The Table below shows the most relevant Kitchener Waterloo real estate data for the Month of March 2011 and compares it with the same month in the previous year. This information is for single detached only in all areas.

Single Family Detached Homes only

The above information is believed to be correct errors and ommissions accepted

KITCHENER-WATERLOO, ON (April 5, 2011) – Sales of residential properties via the Multiple Listing System (MLS®) of the Kitchener-Waterloo Association of REALTORS® (KWAR) ran slightly above the five-year average for the first quarter.

During the first quarter of 2011, there were a total of 1474 home sales, 10.4 percent below last year’s record for the same period.

“Residential real estate sales in the area continue to perform well,” says George Patton, President of KWAR. “We’ve not set any records yet this year, but a stable market is a good market.”

Home sales for the month of March totalled 608 units, 15.4 percent lower than the same month a year ago —also a record breaking period. Of those sales, there were 385 single detached homes, 116 condominium units, 61 semi-detached and 40 freehold townhouses.

Patton says he is paying attention to see what effect the recent mortgage rate increases by several of Canada’s big banks will mean for the typically busy spring real estate market. “By historical standards, mortgage rates are still pretty low,” he said. “With the economy continuing to strengthen, the housing market should stay balanced.”

While the most popular price range selling in March of last year was in the $225,000 to $250,000 category, making up 16.7% of the residential market, this month’s sales activity shifted to the higher price ranges, with nearly 15% of sales occurring in the $300,000 to $350,000 price range.

This has pushed the average sales price for all residential properties in the month of March up 5.4% to $298,671 compared with the same month a year ago. However, on a year-to-date basis, the average sale price has increased more gradually with a one percent increase to $290,148 relative to last year.

The KWAR cautions that average sale price information can be useful in establishing long term trends, but should not be used as an indicator that specific properties have increased or decreased in value. Those requiring specific information on property values should contact a REALTOR®

The median home price is one of the most common measurements used to compare real estate prices in different markets, areas, and periods. It is said to be less biased than the mean (average) price since it is not as heavily influenced by small number of very highly priced homes.

If we take 7 houses that were sold and sort their prices from lowest to highest in 1000s of Canadian Dollars.

225, 250, 275, 280, 300, 330, 350

Median price is 280, because it is right in the middle of the range – there are 3 prices that are lower and 3 prices that are higher.

How median price is different from average price?

To calculate average price we have to sum all of the prices and then divide by the number of units sold, therefore

Average price = (225 + 250 + 275+ 280 + 300 + 330 + 350) / 7 = approximately 287

What median price shows?

It shows who rules the market in a certain place (suburb or area) at certain time (i.e. 3 or 6 months or a year): if there are more people buying expensive houses than cheap ones, it will go up, but if there are more people buying cheap property than expensive – it will go down.

Thanks for reading!

Warren & Melanie McNeil | Sales Representatives, Team McNeil RE/MAX Twin City Realty, Brokerage ( 519.579.4110 | 519-498-8118
Connect with us on the following social networks Facebook: www.facebook.com/TeamMcNeilRemax
websites: www.TeamMcNeil.com, www.ClickThatHouse.com, www.KitchenerLofts.com, www.ElmiraRealEstate.ca

By Warren McNeil

     The Table below shows the most relevant real estate data for the month of Sept 2009 and compares it with the previous month and the previous year, Aug 2009 and Sept 2008, respectively. This information is for single detached only.

If you can’t view the table below, see
http://www.teammcneil.com/blog/2009/10/08/kitchener-waterloo-real-estate-board-statistics-for-september-2009

In addition to the above stats, the board is reporting a record month for home sales in the Kitchener-Waterloo area. 531 houses sold in September. Here’s a quote from the media realease.

“Sales last month totalled $135,379,151 (up .6 percent from September 08) and included 335 detached homes (down 0.6 percent from September 08), and 102 condominium units (down 8.1 percent from September 08). It was the increase in sales of semis and townhouses that pushed September sales over last year, with an overall 18 percent increase to 86 units last month.”

For the full report, see http://www.kwreb.on.ca/Stats/September%202009%20Media%20Release.pdf

This is good news and shows that we still have a really strong real estate market. Interest rates, government rebates and increased consumer confidence are all playing a big part to achieve these numbers.

Thanks for reading!

Warren & Melanie McNeil | Sales Representatives, Team McNeil | Re/Max Twin City Realty, Brokerage
( 519.579.4110 | * Click Here to Email | 8 www.TeamMcneil.com, www.ClickThatBlog.com

By Warren McNeil

For Budget 2009, the government of Canada has introduced some new tax credit programs designed specifically for first-time home buyers and home owners. Some of these will be of good benefit if you are a first-time home buyer who is in the market to buy a home or have plans to do some renovations.

Here is a breakdown of each of the programs:

This tax credit will assist first time home buyers with closing costs relating to the purchase of a home. 15% credit will be applied to a $5000 limit and will provide up to $750 to assist in paying the closing costs associated with first time purchases completed after January 27, 2009.

To provide additonal access to RRSP savings to purchase or build a home. They are increasing the withdrawal limit from $20,000 to $25,000.

• Valid from January 27, 2009 to February 1, 2010 persuant to agreements entered into after Jan 27, 2009
• 15% can be claimed on expeditures that exceed $1000 but less then $10,000 and will provide up to $1350 in tax relief
  

  Examples of HRTC Eligible and Ineligible Expenditures

  Eligible

  • Renovating a kitchen, bathroom, or basement
  • New carpet or hardwood floors
  • Building an addition, deck, fence or retaining wall
  • A new furnace or water heater
  • Painting the interior or exterior of a house
  • Resurfacing a driveway
  • Laying new sod

  Ineligible

  • Furniture and appliances (refrigerator, stove, couch)
  • Purchase of tools
  • Carpet cleaning
  • Maintenance contracts (furnace cleaning, snow removal, lawn care, pool cleaning, etc.)

• Sally and Ed are a couple who have recently purchased a house. To take advantage of the temporary HRTC, they decide to replace their old windows and improve the insulation in their home in 2009, instead of waiting, incurring $10,000 in expenditures. After taking into account the $1,000 minimum threshold, a 15-per-cent credit will be available on $9,000 in eligible expenditures, providing tax relief of $1,350.

Source: http://www.budget.gc.ca/2009/pamphlet-depliant/pamphlet-depliant2-eng.asp

I think many people will find these tax credits valuable. I personally like the first-time home buyers tax credit. This gives first-time home buyers one more reason to get into the market. Every bit counts! I am really hoping that the low interest rates stay around for a little while. Better yet, how about forever! 

Thanks for reading!

Warren & Melanie McNeil | Sales Representatives, Team McNeil | Re/Max Twin City Realty, Brokerage
( 519.579.4110 | * Click Here to Email | 8 www.clickthathouse.com, www.teammcneil.com/blog