Supply a ‘challenge,’ home sales cool slightly in Hamilton-Burlington region

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Published July 11, 2023 at 3:27 pm

“Modest” monthly inventory gains and slower sales are keeping the housing market balanced in the Hamilton-Burlington region, according to a new report.

Home sales in the Hamilton-Burlington region have declined by 182 units to 1,115 in June over the previous month. Despite the small monthly dip, sales were up 19 per cent over last year, according to the REALTORS Association of Hamilton-Burlington’s recent report.

“Buyers are intently watching Bank of Canada rate increases but are still keen to enter into homeownership,” said Nicolas von Bredow, president of REALTORS Association of Hamilton-Burlington, in a statement to inthehammer.com. “So long as the desire for homeownership continues to outpace supply we will remain in a sellers market. All levels of government need to work together to get new units built to slow the ongoing housing crisis.”

The report attributed higher lending rates and limited supplies as factors slowing sales this year.

“The monthly pullback in sales was not met with the same level of pullback in new listings, which supported some modest inventory gains over the previous month,” the organization said.

The rise in new listings eased market conditions slightly compared to the past three months, it reported.

However, inventory levels of 1,535 units were more than 20-per-cent lower than long-term trends for June, it added.

“Low inventory has been a challenge throughout the past several months,” said von Bredow in a press release. “Inventory levels may continue to slowly increase as buyers pause to evaluate the impacts of recent interest rate adjustments.” 

Benchmark home price sees ‘insignificant’ decrease in Hamilton-Burlington region

After five straight months of price gains, the unadjusted benchmark home price in the region fell 0.45 per cent over last month to $873,100.

“This is a relatively insignificant decrease,” the organization said.

Prices remain significantly higher than prepandemic levels, although they are down from 2022’s record peaks.

REALTORS ASSOCIATION OF HAMILTON-BURLINGTON REPORT FOR HAMILTON

REALTORS ASSOCIATION OF HAMILTON-BURLINGTON REPORT FOR HAMILTON

Sales and new listings slow across Hamilton

The unadjusted benchmark price in June was $810,300, down $3,500 from May, for Hamilton.

Sales and new listings have slowed across all areas of Hamilton this year, according to the report. 

In Hamilton, the sales to new listings ratio in June cratered to 55 per cent, with 1,173 new listings and 649 sales, which helped support modest monthly inventory gains, according to the report.

Sales to new listings ratios over the previous year have fallen in Hamilton Centre and Flamborough.

“In Hamilton Centre, this has supported some monthly inventory gains, making it the only area to see inventory beginning to line up with long-term trends,” it read.

REALTORS ASSOCIATION OF HAMILTON-BURLINGTON REPORT FOR HAMILTON

REALTORS ASSOCIATION OF HAMILTON-BURLINGTON REPORT FOR HAMILTON

REALTORS ASSOCIATION OF HAMILTON-BURLINGTON REPORT FOR HAMILTON

REALTORS ASSOCIATION OF HAMILTON-BURLINGTON REPORT FOR HAMILTON

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