AVERAGE PRICE CONTINUES TO GROW AMIDST PANDEMIC-INDUCED MARKET CONDITIONS
Mar 2, 2021|
Hamilton, ON (March 2, 2021) – The REALTORS® Association of Hamilton-Burlington (RAHB) reported 1,271 sales of residential properties located within the RAHB market area through the Multiple Listing Service® (MLS®) System in February 2021. Sales were up 54 per cent since last month and up 14.9 per cent since February of last year. New listings were up 61.9 per cent since January 2021 and up 12.2 per cent as of last February. The average price for residential properties was $848,719 which was up 7.7 per cent from last month and up 29.5 per cent from February 2020. The number of active listings available at the end of the month was 44.1 per cent lower than the previous period in 2020.
“In the RAHB market area, we saw an above average increase of 7.7 per cent in the average price of a home month over month,” says RAHB President Donna Bacher. “There are several pandemic related factors which have contributed to the high demand for housing combined with the low supply levels we have experienced in our market area. The good news is the number of new listings broke a 10-year record for February and our active listings increased by 28 per cent from January 2021. As we recover from these ultra low inventory numbers, buyers should start to see more selection and a bit less competition. Additionally, new listing numbers should stay strong and inventory levels should continue to increase to a more normal level as more of the RAHB market area moves out of lockdown and control zones.”
The number of sales of single-family properties in the RAHB market area increased by 14.9 per cent in February 2021 compared to February 2020. The number of new listings was up 7.5 per cent, and the average sale price increased by 33.5 per cent to $848,719 from February 2020. Active listings for single-family properties continue to remain low with February 2021 seeing active listings down 54.8 per cent since February 2020.
“COVID-19 continues to place logistical hurdles on families trying to get their home onto the market; however, as spring weather arrives and if COVID-19 restrictions are eased, families should be in a better position to leave their home to accommodate necessary showings which should increase the number of active listings in the RAHB market area,” says Bacher.
The number of sales of townhomes in the RAHB market area increased by 11.9 per cent in February 2021 compared to February 2020. The number of new listings of townhomes was up 30.9 per cent, and the average sale price increased by 25.5 per cent to $730,073 from February 2020.
“Townhomes saw the largest increase in new listings at 31 per cent during February 2021. Townhomes are a great option for first-time home buyers as they offer more space than a condo apartment but have a much more affordable price point compared to single-family properties.”
The number of sales of apartment-style in the RAHB market area increased by 31.3 per cent in February 2021 compared to the same month in 2020. In February 2021, the number of new apartment-style listings increased by 8.6 per cent compared to February 2020, and the average sale price increased by 12.5 per cent to $515,217 from February 2020. Apartment-style properties continue to be experiencing a sellers’ market, with the sales to new listings ratio sitting around 88 per cent in February 2021.
“Apartment-style properties saw the largest increase in the number of sales at 31 per cent during February 2021. The average price of an apartment-style property, coupled with the higher level of inventory, makes apartment-style properties throughout Hamilton-Burlington very attractive to both first-time buyers and investors.”
Specific neighbourhoods within the overall RAHB market area see results that often differ from the average of the entire RAHB market area. Neighbourhoods vary and, determining the right price and conditions when buying or selling a property can be challenging. Local RAHB REALTORS® have the experience, knowledge and tools to help buyers and sellers make those big decisions.
Bacher adds, “For anyone who wants to buy or sell a home in the Hamilton-Burlington area, our RAHB REALTORS® have access to the best technology, along with a commitment to follow strict safety protocols, ensuring safe and successful showings and sales. Whether you’re a buyer or seller, working with one of RAHB’s more than 3400 members will help ensure you are not only getting the best service and data, but also that your real estate transactions will be both successful and safe.”
**Average sale price can be useful in establishing long-term trends but should not be used as an indicator that specific properties have increased or decreased in value. Talk to your local REALTOR®.