Sales, new listings, and inventory have been trending downard through the start of the year, also below long-term trends. Despite these short-term challenges, Nicolas von Bredow, Cornerstone spokesperson for Hamilton-Burlington said the recent increase in the overall benchmark price shows a market that is ‘adaptable’ and that we should remain optimistic moving forward.
Recent interest rate cuts from the Bank of Canada has lowered mortgage lending rates, however, increased economic uncertainty amid looming elections and the threat of a U.S. trade war has kept ‘consumer confidence in check’ this month and slightly dampened demand for the time being.
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Let’s take a closer look at what happened in the local real estate market last month:
Hamilton Market Activity
| Variable | 2025 | Difference |
|---|---|---|
| Sales Activity | 369 | -8.9% |
| New Listings | 920 | 35.3% |
| Active Listings | 1,497 | 34.1% |
| Months of Inventory | 4.1 | 47.2% |
| Average Price | $757,071 | -4.3% |
| Median Price | $710,000 | -0.7% |
| Average Days on Market | 49.1 | 1.7% |
Burlington Market Activity
| Variable | 2025 | Difference |
|---|---|---|
| Sales Activity | 112 | -16.4% |
| New Listings | 271 | 13.4% |
| Active Listings | 366 | 20.8% |
| Months of Inventory | 3.3 | 44.5% |
| Average Price | $1,105,285 | 14.0% |
| Median Price | $966,250 | 8.4% |
| Average Days on Market | 42.3 | 1.7% |
The real estate market is always changing. Before buying or selling, make sure you’re up-to-date on the latest insights. Read our past market report blogs right here.
Sales Activity
There were 369 residential home sales in Hamilton last month, down 8.9% over the previous year. In Burlington, we saw 112 home sales, which was down 16.4% over last year.
New Listings
New listings were up across both regions last month. Hamilton saw 920 new listings, up 35.3% over January 2024. In Burlington, there were 271 new listings, up 13.4% year-over-year.
Active Listings
Inventory, or active listings, was significantly up across the board. In Hamilton, there were 1,497 active listings in January, up 34.1% over January last year. There were 366 active listings in Burlington, up 20.8% over the same period last year.
Months of Supply
Months of supply or inventory is typically used to measure the ‘type’ of market we are currently in. Anything about 3 months is generally considered to be a “buyer’s market.” Monthly of supply in Hamilton was up 47.2% over last year with 4.1 months. Burlington saw a similar increase with 3.3 months of supply, up 44.5% over 2024.
Average Days on Market
The average number of days on market increased by 1.7% in both Hamilton and Burlington last month. In Hamilton, listings were on the market for 49.1 days on average while Burlington listings were on the market for about 42.3 days on average.
Average Prices
The average home price in Hamilton was $757,071 last month, down 4.3% over last year. The average residential price in Burlington was $1,105,285, up about 14% over January 2024.
In the News
Bank of Canada lowered its benchmark overnight rate to 3%. The 0.25% cut was “widely anticipated” despite uncertainty around US President Donald Trump’s threat of tariffs. Bank of Canada Governor, Tiff Macklem said the economy is expected to improve and inflation will stay “within target.” However, if Trump’s 25% tariff comes to fruition, “the resilience of Canada’s economy would be tested.” The central bank also said there is evidence that rate cuts are “boosting the economy through consumption and housing activity.”
Ontario Premier, Doug Ford requested the dissolution of the provincial legislature, triggering a “snap” election in Ontario this month. The February 27th election comes almost a year ahead of schedule and is the first winter provincial election since 1981. The election comes on the heels of political instability in the Federal Government and the threat of Donald Trump’s 25% tariffs. At a press conference, Premier Ford said, “This is going to be a battle for the next four years, and I want to make sure I have a strong mandate to outlast President Trump.”
The prospect of a trade war with the U.S. resulted in market traders predicting deeper interest rate cuts at upcoming Policy Meetings. As late as the end of January, markets weren’t even predicting 0.25% cuts. Now, traders say the odds are at more than 20% that the Bank of Canada will cut rates by 0.50% at the next meeting on March 12 to protect the economy from U.S. tariffs and the likely recession that would follow. Some analysts and economists are looking at the prospect of an “emergency” rate cut before the next Policy Meeting, similar to what happened in 2020 during Covid.
Statistics Canada estimates the Canadian economy gained strength in the last quarter of 2024. Data suggests the Canadian GDP grew 0.2% in December. Taken with data from October and November, figures point to a 1.8% annualized growth for the fourth quarter and 1.4% growth for all of 2024. This is “somewhat” aligned with what economists predicted. The latest figures should give the Bank of Canada confidence to continue its easing policy to further strengthen the economy, despite the risk of a recession from the potential trade war between Canada and the U.S.
A new report from Statistics Canada projected Canada’s population could grow to more than 59 million people by 2074. The revised prediction accounted for the pandemic, record-low fertility levels, and recent changes to Canadian immigration policies. The current Canadian population is estimated to be roughly 40.3 million and could grow to anywhere between 45.2 million to 80.8 million depending on the scenario.
A Look at What’s to Come
After a record December, we kicked off January with momentum and have been non-stop since New Year’s Day. The Bank of Canada lowered rates by 0.25%, as expected, which will provide further support to the housing market. We anticipate another 0.25% rate cut in March, or possibly more, depending on how things unfold with recent developments.
Politics have been a major topic since the new year, with the Prime Minister announcing he will step down, a Liberal leadership race underway, and tariff threats from newly elected U.S. President Donald Trump, who had announced 25% tariffs on Canada (though these have now been delayed). In Ontario, Premier Doug Ford also called for a snap election. It’s been a busy month, and while it’s hard to predict the exact impact on the housing market, the Trump tariffs appear to have been more of a negotiating tactic. Any negative effects are likely to be short-lived.
The housing market is continuing to perform well—interest rates are much lower than they were six months ago and are expected to head even lower through the end of the school term. We expect the market to continue picking up. Despite short-term fluctuations, our sales and client successes continue to prove that with the right knowledge, advice, expertise, marketing power, and strategy, our results don’t need to be tied to the market.
Are you thinking about making a real estate move in the near future? Call us at 1-844-484-SOLD or email us here for everything you need to know about buying and selling in this market.
