There were 996 residential home sales reported through the MLS® last month according to the Realtors® Association of Hamilton-Burlington, down almost 6% from last year. However, month-over-month, we saw sales increase. Even still, the results for Q1 in the region are below long-term trends.
New listings were up about 7% year-over-year and inventory or active listings, were up by a significant 28% year-over-year.
These recent gains in inventory and new listings are helping the market return to a more balanced condition according to Julie Sergi, President-Elect of RAHB.
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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 | 2024 | Difference |
|---|---|---|
| Sales Activity | 596 | -7.0% |
| New Listings | 1,053 | 12.6% |
| Active Listings | 1,386 | 31.3% |
| Months of Inventory | 2.3 | 41.2% |
| Average Price | $826,462 | 3.9% |
| Median Price | $750,000 | 1.4% |
| Average Days on Market | 26.7 | -2.7% |
Burlington Market Activity
| Variable | 2024 | Difference |
|---|---|---|
| Sales Activity | 231 | -4.9% |
| New Listings | 334 | 0.6% |
| Active Listings | 385 | 27.1% |
| Months of Inventory | 1.7 | 33.7% |
| Average Price | $1,144,260 | 9.4% |
| Median Price | $1,000,000 | 4.1% |
| Average Days on Market | 20.3 | 9.4% |
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 596 sales in Hamilton last month, down 7% over last year. Burlington also saw a dip in home sales with 231 in March, down 4.9%.
New Listings
New listings in both Hamilton and Burlington were up year-over-year, with 1,053 new listings coming to the market in Hamilton in March, up 12.6%, and 334 new listings in Burlington, up 0.6%.
Active Listings
Inventory, or active listings were also significantly up in both regions last month. In Hamilton, inventory was up 31.3% with 1,386 active listings. In Burlington, inventory was up 27.1% with 385 active listings.
Months of Inventory
Months of inventory also saw significant year-over-year increases. In Hamilton, there were 2.3 months of inventory, up 41.2%, and in Burlington, there were 1.7 months of inventory, up 33.7%. Months of inventory is often used to measure market conditions. For example, anything below 3 months of inventory is considered a seller’s market.
Average Days on Market
Hamilton’s average days on market was 26.7, which is down 2.7% over last year. Burlington had 20.3 days on market, which is down 9.4% over 2023.
Average Prices
The residential average prices in Hamilton and Burlington were both up over last year. In Hamilton, the average price was $862,462, up 3.9%. The average residential price in Burlington was $1,144,260, up 9.4% year-over-year.
In the News
The Bank of Canada held interest rates at 5% at its policy meeting in March. The central bank acknowledged the progress made on inflation but also said it was still “too early” to consider rate cuts. This was the fifth consecutive meeting where rates were held.
With Canadian inflation easing more than expected in February, many experts say rate cuts can happen as soon as the next policy meeting on June 7th.
The Federal Government announced that it would reduce the number of temporary immigrants accepted to the country by 20% over the next three years. The government says this move will “strengthen the alignment between immigration planning, community capacity, and labour market needs.”
Prime Minister Justin Trudeau has introduced a new “renter’s bill of rights” as part of the new housing budget. Proposed changes include funds for protection from “renovictions” and landlord abuse and a federal policy change that would allow rental payments to count toward credit scores.
The pace of new home starts in Ontario has increased but is still not on pace to meet the Government’s plans to build 1.5 million new homes by 2031. Last year’s budget predicted fewer than 80,000 new housing starts in Ontario for 2024, but revised numbers show nearly 88,000 now. While that number is expected to ramp up year-over-year, it still does not meet the necessary 125,000 homes per year needed to reach the 1.5 million goal.
GO Transit is increasing its service with 308 new weekly rail trips, increasing to 15-minute frequencies on the weekend afternoon and evenings between Oakville, Union Station, and the Lakeshore West Line and between Durham College, Union Station, and the Lakeshore East Line.
Premier Doug Ford was in Hamilton last month to present an award for $17.5 million to the city for meeting new housing targets. Hamilton was only one of 19 municipalities to beat the “provincial targets for housing starts in 2023,” qualifying for extra funding under the Ontario Building Faster Fund. The premier applauded Hamilton’s work in achieving around 4,100 housing starts last year but was critical of building “four-storey towers” in neighbourhoods of single-family homes.
A Look at What’s to Come
With March Break and the Easter long weekend behind us, the Spring Market is officially underway. Sales and prices have been gradually on the rise month-over-month, and we expect to see this trend continue for the rest of the year.
The Bank of Canada held interest rates in March and is expected to hold them again at the next meeting in April. This could very well be the last time rates are held, as there is a strong probability that rate cuts could begin at the next meeting on June 7th. Holding rates for the Spring Market could be a strategic move to get through the spring without adding fuel to the fire.
Regardless of what the BOC is doing, right now is the best time to sell your home in the past 24 months. Inventory is increasing, which is normal to see when the weather improves, but buyers are coming back from the sidelines. Prices are rising, and many buyers are waiting for rates to fall. If you’re thinking about buying, you should do so now before rates are cut and prices go up.
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.
