Jul 8 News
Many colleage REALTORS® are expressing disappoointment about the market; it seems slow, they say. Buyers are not moving quickly, Sellers are holding fast to unrealistic prices and it is harder to obtain confirmation of financing. So the professionals feel the market is slowing. The statistics tell a different picture. According to data avaiallbe from the REALTORS® Association of Hamilton-Burlington, the average price in the greater Hamilton area has increased 10% year over year using 12 month running totals. The number of units sold is up about 20%. Perhaps the most interesting change is the decrease in average days on market - an overall reduction of 10 days which reflects more urgency by buyers than experienced in recent years.
Recent media reports about consumer attitude indicate the second half of 2010 will experience a general reducion in pricing and activity, yet still we are expecting an overal year over year average price increase of about 6.8% and overall sales will be up year over year, so all cannot be lost.
It might be that some pent up demand, supported by uirgency to buy before the HST and mortgage rates were to rise is the cause of such a busy first half of 2010. Yet, when looking at the sales in April, May and June 2010 compared with sales in the same months of 2009, the total # of sales are only about 10% higher whereas overall year over year the result is 20%. We mght conclude that HST and interest rates have not had more impact than other undetermined factors.
So is the market hot, well yes it is, even if it feels a litle cool. It might just be that the activity is outdoors and those in the profession are working in doors this month. Whatever the reason, a look at the statistics can help. And the best help is to be realistic with your pricing!