The Waterloo Region’s housing market is presenting an intriguing opportunity for potential homebuyers as we enter 2025, with increased inventory levels creating more balanced market conditions. With nearly 50 percent more active listings compared to January 2024, buyers now have significantly more options to consider in their home search.

Market Overview

January 2025 saw 329 homes sold through the Multiple Listing Service® (MLS®) System of the Cornerstone Association of REALTORS®. While this represents a 12.0 percent decrease from the previous year and sits 18.6 percent below the ten-year average for January, the increased inventory levels suggest a strategic opening for buyers who have been waiting on the sidelines.

“The Waterloo Region’s housing market shows promising dynamics as we begin 2025,” notes Christal Moura, spokesperson for the Waterloo Region market. “With nearly 50 percent more active listings compared to last January and inventory levels well above the ten-year average, we’re seeing more choice for buyers in the market.”

Price Trends

The average sale price for all residential properties in January stood at $755,859, showing minimal movement with a slight 1.0 percent decrease from January 2024. Here’s how different property types performed:

• • Detached homes averaged $882,941 (down 3.1% year-over-year)

• • Townhouses averaged $630,116 (down 1.1% year-over-year)

• • Apartment-style condominiums averaged $469,623 (up 4.6% year-over-year)

• • Semi-detached homes averaged $634,762 (down 1.9% year-over-year)

Market Opportunity

With U.S. tariff situations currently in flux, this market environment could present an excellent opportunity for buyers who have been waiting for the right moment to enter the market. The combination of increased inventory, stable prices, and pent-up demand suggests that now might be an opportune time for buyers to explore their options.

The current market conditions offer more negotiating power for buyers while maintaining reasonable price levels for sellers. As the market continues to adjust and external factors like tariffs work themselves out, we may see increased activity from buyers who have been waiting for more favorable conditions.

For those considering entering the market, the current inventory levels provide more choices and potentially better negotiating positions than we’ve seen in recent years. As always, working with a qualified real estate professional can help navigate these changing market conditions effectively.