A lot has changed in the last 10 years.
Anyone who has had their hopes and dreams of owning a home in Toronto thwarted by the eye-watering house prices might have looked to Hamilton as their second-best choice instead. Could Hamilton be to Toronto what Brooklyn is to NYC?
In a recent blog post, Re/Max said that this city just west of Toronto has really benefited from the 6ix's tearjerking real estate prices in the last decade. But now, Hamilton's market is starting to get a little out of reach for some.
"Today's housing environment is a tough nut to crack for first-time homebuyers and young families searching for starter homes. But, according to local real estate experts, prices for these residential properties are rising," the blog post reads.
"Put simply, it has become a tale of two cities in Hamilton, and all it took was 10 years."
So, why are they saying that Hamilton's real estate market is "bubbling"?
Well, it could be due to its lack of affordability, and the fact that not as many people are scooping houses off the market lately.
In the most recent REALTORS Association of Hamilton and Burlington (RAHB) stats, which Re/Max cited in their July blog post, home sales dropped while the average sale prices for detached houses and townhomes surged from what it was a year ago in May. That being said, on a month-over-month basis, prices have actually gone down.
"Once again, price movements were different on a [year-over-year] and [month-over-month] basis for detached and townhomes. Association data found that the average sale price for detached homes climbed 18.9 percent from April 2021 and fell 2.2 percent from April 2022 to about $1.1 million," the blog post reads.
Apartment prices fell month-over-month but spiked by almost 26% compared to 2021, with units going for an average of $669,477 on the market in May.
"Apartment-style properties had the highest inventory levels in May in contrast to all other property types across the RAHB market area, with nearly two months of inventory available," RAHB President Lou Piriano said in a news release.
Re/Max says that the "slowdown" in building new homes is also something to note, as according to Canada Mortgage and Housing Corporation, this plummeted by nearly 10% from the same time last year in April.
Now, what will come for prospective homebuyers in the coming months?
"Although financial experts think that there will be a double-digit drop in prices in many places nationwide, it is unlikely to serve as a bargain for prospective homeowners," Re/Max said.
This article's cover image was used for illustrative purposes only.