Doug Folsetter

(January 12, 2012 – Hamilton, Ontario) The REALTORS® Association of Hamilton‐Burlington (RAHB) held its annual press conference today and 2012 President Cameron Nolan anticipates the 2012 real estate market will hold steady through 2012, with continued low interest rates and average sale prices that increase slightly above the inflation rate.

In his inaugural speech, Nolan noted that consumer confidence is a major area of concern going forward as, according to a survey sponsored by the Economic Club of Canada, a majority of Canadians believe the country is in a recession despite the fact Canada hasn’t been in recession since 2009. Nolan also noted the good news for the local economy –the new jobs brought to Hamilton by companies such as Maple Leaf and Canada Bread and that unemployment in the Hamilton area is about one per cent lower than the Canadian rate of 7.5% and lower than the provincial average. "If we can continue to see stabilization in the employment rate, we expect to see confidence in the greater Hamilton‐Burlington housing market,” he said.

Nolan noted that the first time buyer market is affected by youth employment, interest rates and government programs to assist with the purchase of a first home. "With the land transfer tax rebate extended to all property types, mortgage rates at historic lows and prices at affordable levels, . . . market newcomers will have time to shop around and find the home that best suits their needs," he said.

For 2012, Nolan predicted that listings will remain at or below 2011 levels as homeowners stay put until the economic outlook becomes more predictable. He also suggested that sales will remain close to 2011 levels, with 12,000 sales in the residential market. Average sale prices will continue to rise at a gradual rate.

Area media were on hand to hear Nolan report that 2011 ended with 11,987 properties located in the RAHB market* area being sold through the RAHB Multiple Listing Service® (MLS®). Sales were almost on par with the number of sales in 2010.

The average sale price rose 4.4 per cent from last year and continues a steady climb begun in the mid‐1990s.

In the residential market only, listings were down just over four per cent from last year, but sales were almost even with 2010, with only 15 sales fewer than the previous year. The Sales to New Listing ratio is 73.7 per cent, which indicates that a seller’s market persisted through 2011.

The condominium market saw the biggest gains through the year, with a 4.6% increase in sales over last year. Average sale price rose 3.8 per cent in this market.

The year was characterized by a late start into the spring market, and then a stronger‐than‐average market through the latter half of the year. Condo sales were the highlight through much of the second half of 2011. Condominium sales were the only category which performed above the 10‐year average; all other categories came in just below average for the year.