WOW! With 2018 here and in full swing, we look back on what a roller-coaster 2017 brought for Hamilton’s housing market! The start of last year brought a frenzy in the housing market that hit historic highs and the hottest sellers market on record. It was a hard time for buyers who were forced to move quicker than ever before to make purchases, and often times with no conditions.
Government changes that were announced in April 2017, along with soaring prices, slowed the seller market, and as the end of 2017 rolled around a more balanced and healthy market emerged. With mortgage rules changing and the stress test introduced in January 2018, many people are wondering what they can expect in the market now that the new year is upon us.
Looking into 2018 there are trends that will be different than last year. More inventory, and an increase to the amount of homes for sale, have created more supply. Although there has been an increase in supply, the sale prices of homes is expected to continue to increase in 2018, but at a slower pace than the year before. Buyers can take more time to comfortably purchase a home with proper conditions in place that will protect them, and sellers can still expect to get top dollar for their home compared to ever before.
With more supply there is an understanding that the average days on market for a single detached home has increased from 26 (end of 2016) to 37 for 2017, and is expected to increase again to approx. 42 days in 2018.
The Canada Mortgage and Housing Corp. forecasts that Hamilton will see an average sales price in 2018 of somewhere between $535,000 and $585,000. Slightly higher and more steady than 2017, that saw an overall average price of between $555,000 and $575,000 for a single detached home in Hamilton.
Although a small increase from year to year, a significantly higher average price than 2016 of %497,055. The less frenzied market that is still yielding record high sales prices makes 2018 advantageous for both buyers and sellers.