Home prices in Hamilton continue to rise faster than the Canadian average
Prices rose at a rate more than double the national average in the first quarter of 2019
Home prices in Hamilton continued to go up in the first quarter of 2019, rising at a rate more than double the national average.
The aggregate price of a home in the city increased by 6.3 per cent during that period, jumping to $561,237, according to Royal LePage House Pricing Survey released Thursday.
In comparison, the first quarter of 2019 saw the price of a home in Canada rise by 2.7 per cent year-over-year, landing at $621,575 — which the survey notes is "well below the long-term norm of approximately 5 per cent."
Here's a breakdown of median price in Hamilton by housing type:
- The price of two-storey homes rose by 6.5 per cent year-over-year to $592,832.
- The price of a bungalow increased by 6.1 per cent year-over-year to $511,049.
- The price of a condominium rose 1.2 per cent year-over-year to $331,723.
Hamilton currently has a healthy inventory of homes, especially condominiums although the impact of government's mortgage stress test is being felt, according to Royal LePage broker Joe Ferrante.
"They were the first choice of first-time home buyers but the OFSI stress test cooled demand for that segment," he explained in a media release.
Ferrante said the city is moving toward a balanced market, with good value both downtown and in the surrounding area.
"We expect to see prices stabilize and buyers should have more room to negotiate and take time with their decisions."
2019 could be a 'sluggish' year for real estate
The survey found median prices for all home types in Canada rose year-over-year, with two-storey homes going up by 2.6 per cent to $729,553, bungalows climbing by 1.1 per cent to $513,497 and condominiums continuing to lead the pack by increasing 5.4 per cent to $447,260.
Royal LePage CEO Phil Soper said he expects 2019 to be a "sluggish year" because of the "hangover" from government actions to correct the market last year and weaker economic growth.
"There is a silver lining here," he noted. "This slowdown gives buyers, and first-time buyers in particular, an opportunity to buy real estate in our country's largest cities."