Hamilton home prices continue decline since spring peak

Residential properties in Hamilton continue to fall in price compared to the peak reached in April. The local realtors association says buyers have a little more time to shop around.

Realtors Association of Hamilton-Burlington says buyers now have more time to look around

Hamilton home prices continue to be in decline in October compared to a high reached in April. (Kelly Bennett/CBC)

House prices in Hamilton are continuing their decline from April's high, according to a report released Friday by the Realtors Association of Hamilton-Burlington.

The median sale price for a residential property in October was $452,600. Compared to April's median sale price of $535,000, that's a 15.4-per-cent decrease.

But George O'Neill, CEO of Realtors Association of Hamilton-Burlington, says it's still a good market if you consider that the year-over-year price is still increasing.

Compared to the median sale price in October last year, there was a 5.6-per-cent increase among residential properties.

Condo sales have increased by 23.6 per cent from last year, in comparison to houses where sales have gone down by 12 per cent.

New mortgage rules

Mortgage applicants are expected to pass a stress test starting January next year. O'Neill said the market dynamics may change as a result.

"It is going to put some people out of the market, they're just not going to be able to afford to quality at that higher rate." 

He said homeowners who are on the fence now may want to think about selling. The new rules in January may affect them negatively.

"It may take longer or they have to be more aggressive on their pricing."

For now, he said the market has become much more balanced, rather than being a seller's market like in spring.

House listings stayed on the market for about 31 days and condo units took about 27 days. Both have increased compared to October last year.

"Now there's a little bit more time for buyers to look around," said O'Neill.