Media Release – Stable Real Estate Market Forecast for 2014 (January 22,2014 – Hamilton,Ontario)
The REALTORS®Association of Hamilton-Burlington (RAHB) expects to see average sale prices of residential properties increase by 3.5 per cent in 2014, according to president Tim Mattioli. He predicted a market similar to 2013.
In a pre-recorded conversation with RAHB CEO Ross Godsoe, Mattioli noted that despite a drop in consumer confidence, continued low interest rates and stable unemployment rates in the Hamilton CMA bode well for the coming year.
“We can be cautiously optimistic for 2014,” he said, “We’re looking at a pretty good year again.”
Mattioli predicted 14,000 residential property sales in 2014 and 19,500 residential listings. Average sale price is expected to increase by about 3.5 per cent.
Results from 2013 showed that all property listings and sales had increased over the previous year, with average sale price up by 6.5 per cent. Total dollar volume from the sale of all properties was over $5.474 billion, more than a 10 per cent increase over 2012.
The residential market similarly showed listings and sales up over 2012 with the average sale prices up by 6.7 per cent over the previous year. Average days on market remained steady at 44 days in 2013. For much of the year, a seller’s market prevailed.
Godsoe noted that the average sale price quoted for RAHB can be misleading. “When (people) hear the REALTORS® Association of Hamilton-Burlington and they hear that average sale price, they think that’s the average sale price of a house in Hamilton,” he said. He noted the average sale price for the city of Hamilton is $307,000 and “in many areas in our marketing area, the average sale price is under $200,000 and also in some areas we have an average sale price of over $400,000.” He emphasized the importance of using a REALTOR® when buying or selling a home, because “they know the market, they know the communities, they know the areas.”
Mattioli noted that the year began with a reduced inventory of listings carried over from the previous year, and the lower inventory was felt throughout the year.
Godsoe compared last year’s predictions with the final results for the year and noted that listings and sales were close to their predicted levels, but the average sale price rose considerably more than the predicted rate of inflation.
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