Realtors in the Hamilton-Burlington area say the cooling trend in the local residential home market continued in July, with year-over-year sales down about a third.
Last month, the Hamilton-Burlington Realtors Association (RAHB) reported a 35.6 percent drop in total sales activity in the region compared to 2021, with the city of Hamilton seeing a 39.8 percent decline over the same period.
While sales declined, new listings in the RAHB coverage area continued to grow, with 1,783 reported in July, up 18.6 percent from July 2021.
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Hamilton had more than 117 percent more active listings than last year, with 1,464 on the market last July compared to 674 in the same month in 2021.
Rahi Bank revealed that its average selling price on a monthly basis decreased by 7.1 percent to $878,816 in July.
On an annual basis, the price has increased from July 2021 by about 3.9 percent.
Hamilton’s average correct selling price is up 2 percent year over year, going from $777, $604 to $793,062.
Detached property sales in the region are down 25.5 percent from June 2022 and down 37.3 percent from the same period last year, indicating some concerns last month that buyers are spending too much.
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“July saw the first drop below the $1,000,000 mark since October 2021 in the median sale price of detached properties across the RAHB market area,” said President Lou Pierano.
“While that represents an overall decrease of 6.6 percent from June 2022 to $985,363, median sale prices of detached properties are still up about 5 percent compared to the same period in 2021.”
A detached home in Hamilton was worth just 1 percent more year after year, with an average price of $861,194.
On a monthly basis, that price is down 9 percent from the $949.730 average recorded in June.
Homes costing more than $1 million in the Hamilton area are in Flamborough, Ancaster and Waterdown as of July 2022, the Association of Realtors says. The median price in Burlington has risen again year on year from about $1.04 million to $1.14 million.
Burlington continues to have the highest cost of detached homes in the area at just over $1.4 million, an increase of 4 percent year over year.
Apartment-style housing in Hamilton is up about 11 percent year over year to $524,611 compared to the July 2021 average of $471,931.
On a monthly basis, the median apartment value is down about one percent from the June average price of $529,014.
The average apartment-style unit was up 14 percent per month in Burlington upon check-in to $716,303 last July, up 28 percent from the same period last year.
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In terms of supply, Piriano says apartment-style properties ended in July with the highest levels of inventory compared to other property types, indicating more choice and bargaining power for buyers.
“This sector has recorded the only increase in the average selling price since June 2022 and … it has also increased by 14.9 percent compared to the same period in 2021,” said Piriano.
Flamborough continued to have the highest median price for a home in Hamilton, coming in at around $1.3 million.
The value in the area, relative to the average dwelling, increased over the course of the year, by four percent, but declined monthly, down six percent.
Average prices are lowest in Hamilton Center, where the home was about $596,425 at the end of July — down six percent monthly and up six percent year over year.
Piriano says the Niagara area has become a “hot spot” recently with an average price increase of 13.3 percent during June, an 18 percent increase for homes and 17 percent detached apartments.
“I think if I were in the Niagara area as a seller, I would be very happy,” said Piriano.
“But as a buyer, there are opportunities elsewhere.”
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