Year In Review for 2021

Statistics & Property Values Report!!

Extremely Low Inventory! The Pandemic that began in March 2020 has impacted so many things and Real Estate is definitely one of them. Inventory, lack thereof to be specific, has continued to drop and made a significant pricing increase. The end of year inventory for 2021 showed an unprecedented low of 9,706 Residential properties actively for sale. To put that in perspective we had 45,057 active listings at the end of 2011, 10 years ago. The is the lowest number ever reported since collecting this data in 2005. Some of the many factors contributing to this lack of inventory include such things as people staying put and renovating instead of selling, an increasing influx of Toronto buyers coming to Hamilton and the some of the lower-priced outskirts willing to commute or work from home, and increased rents pushing people to buy instead. Fear of exposure to COVID-19 also continues to factor in with the decision for many people to delay putting their home up for sale. The List-To-Sell Ratio which is used to indicate what type of market we are experiencing dropped slightly to 79.71% for 2021 compared to 81.51% for 2020, which still puts us in a very strong Sellers Market.

Average Residential Selling Prices went from $714,169 in 2020 to $897,491 in 2021! Condominium Average Selling Price also jumped significantly from $494,910 in 2020 to $599,654 in 2021. Multiple Offers and Pre-Emptive (also known as Bully Offers) are still the norm. The List Under Market Value strategy is still commonly used. Asking prices are very rarely an indication of what the Sellers are actually hoping to sell for. Most properties are priced for sale under the perceived Market Value to garner extreme exposure and to “Hold Offers” till a pre-determined date, usually 5-7 days from the listing date, when the Seller would then review all the offers at that time. This type of market also means very few offers are accepted with conditions which means Buyers are paying for a Pre-Purchase Home Inspection (not always allowed) before submitting their Offer and ALWAYS making sure their Mortgage Pre-Approval was done with a close working relationship between the Buyer, their REALTOR® and their Mortgage Partner. Working closely with your trusted Mortgage Professional is imperative if you are considering putting in an Offer without a condition on financing. Their are many lawsuits where the Buyers did not/could not close on their purchase and were successfully sued for hundreds of thousands of dollars.

Overall Average Sales Prices increased year over year in every single district throughout The REALTORS® Association of Hamilton-Burlington (RAHB) Area. In 2019 there were still 5 neighbourhoods within these districts where the average selling price was below $400,000. There was only one neighbourhood left in 2020 in this price category which is the Industrial neighbourhood of District 21 in the Hamilton Centre Area with an Average Selling for 2020 of $368,257. In 2021 this same district had an average price of $495,501 and it is now the only neighbourhood under $500,000 in all of Hamilton and the surrounding areas covered by The REALTORS ® Association of Hamilton-Burlington (RAHB). The Hamilton Centre (made up of 5 districts) has gone from an average of $390,622 in 2019 to $469,985 in 2020 and now sits at $579,424 for 2021 and continues to be the lowest Average Price in all of the areas RAHB covers. There are now 4 Districts compared to 2 in Burlington with averages of over a million dollars. Overall, Burlington now has an average price of $1,073,194. Ancaster, Flambourough and Seneca also all now have an average price over $1,000,000. An average price for a Residential Home on Hamilton’s Mountain went from $580,312 in 2020 to $755,146 in 2021. *See the Maps below comparing more prices year over year.* Types of homes sold in 2021 compared to 2020 showed that there were 2657 Bungalows sold in 2020 for an Average Selling Price of $641,244 and 3097 Bungalows sold in 2021 at an Average Selling Price of $802,821. 5063 2 Storey Houses sold in 2020 for an average of $795,254 and in 2021 there were 5059 2 Storey Sales for an astonishing average of $1,005,828!

See below for Average Selling Prices of Districts and Neighbourhoods in and around Hamilton Ontario, comparing average sales from 2021 to 5 (2016) and 10 (2011) years ago. Below these charts you will find the Month of December 2021 Statistics Report.

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Average Selling Prices Compared to 2016 and 2011

Here is an overview of the 2021 Average Selling Prices for Residential Properties in and around Hamilton Ontario Canada, compared to 5 years ago (2016) and 10 years ago (2011). It is broken down into the different districts and areas in and around Hamilton Ontario.

Monthly Report For December 2021

December 2021 had only 590 Total Residential Listings come through the Hamilton Real Estate Board which was an almost 50% decrease, from the 1169 New Listings in November, and also down 6% from December 2020 (643) as reported by The REALTORS® Association of Hamilton-Burlington (RAHB). Hamilton had 406 of those (down from 432 in 2020) and Burlington had 109 (down from 136 in 2020).

Residential Sales located throughout the RAHB market area (including Burlington and all outlying areas covered by RAHB) of 811 Properties were down 32% from November, and down from December 2020 by 11%. Residential Sales in Hamilton (which includes Hamilton plus Flamborough, Dundas, Ancaster, Waterdown, Stoney Creek and Glanbrook) were 532 of that total and the Average Hamilton Residential Sales Price of those 532 in December 2021 was $861,695 up 30.1% from December 2020 ($662,119). Burlington had 136 Sales (down from 170 in 2020) with an Average Price of $1,221,327 (up 26.1% from the $968,401 Average Price in December 2020). The Overall Average Price for Residential Properties including all areas was $931,787 which was an increase of 2% from last month and an increase of 27% from December 2020.

The end of month listing inventory shows only 154 Active Residential Listings, giving Hamilton 0.3 months of inventory, which is down 61.5% compared to 400 Properties still available for sale at the end of December last year which was 0.7 months of inventory. Burlington also only has 0.3 months of inventory (down 74.1%) with just 38 active listings for sale. Average days on the market decreased from 20.4 to 14.7 this December for Hamilton and also decreased in Burlington from 25.5 to 13.9 from one year ago.

COVID-19 policies and safeguards are continuing, with virtual showings preferred, advanced 3D virtual tours and floor layouts, online evaluations, and some home inspections are being performed without the Buyers present or at least with proper protocols to keep everyone safe. Digital signatures are now the norm for all and are very simple to use. If you are thinking of selling your house or condominium, get the most up to date, LOCAL information. A Real Estate Market Evaluation and/or a Mortgage Pre-Approval done even a couple of months ago MUST be updated! Our main concern is still and always will be, the health and well being of you and your family. Please reach out if you have any questions or if you need any help!

The Hamilton – Burlington Area is experiencing a Very Strong Sellers Market, where the ratio of Homes Sold to Homes Listed is above 60%, currently sitting at 138% for Residential, (in other words, 13.8 homes are sold for every 10 new listings).

MLS® Properties SOLD in December 2021

Note: Numbers of sales represents sales reported on properties listed on the Multiple Listing Service (MLS®) of the REALTORS Association of Hamilton-Burlington. Average sale price is calculated by dividing the total dollar volume of sales (not shown) by the number of sales in that month.