Market Watch January 2026
The latest in real estate!
WATERLOO REGION JANUARY 2026
Despite a slowdown in monthly sales activity, Waterloo Region is showing positive momentum, with modest month-over-month price growth in Kitchener, Waterloo and Cambridge. The increase in new listings from December to January also points to renewed confidence among sellers entering the market.
Here’s what stands out locally:
▪️ Total residential sales dropped 13.9% month over month
▪️ Single-family home sales declined 12% from Jan 2025
▪️ New listings rose overall in January
▪️ Prices rose modestly across most property types in Jan 2026
What does this mean? Buyers are seeing more balance and less pressure, while sellers need to be strategic on pricing and presentation. If you’re thinking about making a move in 2026, understanding these shifts is key.
Overall inventory is at 2.3-month supply, with condos showing the highest inventory levels, which has been the case for some time..
Looking ahead to 2026, the market is expected to stabilize.
With interest rates likely holding creating market stability optimism remains for increased activity in the year ahead.
MARKET OUTLOOK
The Bank of Canada’s rate announcement on January 28th held steady. Expectations are that rates will hold steady for the remainder of the year.
The sales to new listing ratio for December is at 35%. Balanced is considered by the BOC to be between 40% and 60%.
Average days on market remained at 45 days. It’s important to note this number reflects only homes that actually sold and not the homes that didn’t or are still on the market.
Average sale to list price ratio is 99.7%.
Looking to make a move? Have questions? I help people buy and sell homes with confidence so they can move onto the next chapter. Contact me now.
By the way, your referrals are the best compliment you can give. All sales through your referrals to me will see a portion of my commission donated to The Humane Society of Kitchener Waterloo Stratford Perth
Sell and move forward with confidence!
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Thanks for reading!
Lance
GTA HOME SALES & PRICES EXPECTED TO REMAIN STABLE IN 2026
The Toronto Regional Real Estate Board (TRREB) 2026 Market Outlook points to a GTA housing market defined by improved buyer choice and affordability, but tempered by cautious consumer confidence. Elevated inventory levels are expected to keep price growth modest through 2026, while overall sales are forecast to remain in line with the past three years, with potential improvement later in the year if economic conditions and confidence strengthen.
TRREB projects 60,000–70,000 home sales in 2026, with activity in the first half similar to 2025 as many households remain hesitant about long-term mortgage commitments. The average GTA home price is forecast between $1.0M and $1.03M, with prices likely softer year-over-year early in the year before stabilizing in the second half if pent-up demand begins to surface. Strong inventory—especially in the condo apartment segment—continues to give buyers negotiating power.
Ipsos consumer research shows homebuying intentions have declined to 22%, despite improved affordability, reflecting ongoing economic uncertainty. However, first-time buyers are expected to play a key role, making up 45% of intending buyers in 2026. Rental demand is also projected to remain strong, supported by continued immigration and an affordability gap that keeps many renters in the rental market longer.
The report highlights broader challenges tied to population growth, migration, congestion, and policy barriers affecting housing delivery. TRREB emphasizes the need for more efficient planning approvals, supportive tax policies, and continued investment in purpose-built rentals to create a more balanced, predictable market and restore consumer confidence.
Looking to make a move? In this market you need an experienced Realtor®. Contact me whether buying or selling to move forward with confidence! Contact me now!
Your referrals are the best compliment you can give. All sales through your referrals to me will see a portion of my commission donated to The Humane Society of Kitchener Waterloo Stratford Perth.
Sell and move forward with confidence!
Lance Nielsen
519-748-7057
Lance@LanceNielsen.com
