Hamilton Will See Steady Housing Demand in 2015

HAMILTON, ONTARIO--(Marketwired - Nov. 4, 2014) - Hamilton's housing market will experience steady demand in 2015 as homebuyers moving to the city and increasing job creation support strong existing homes sales, according to Abdul Kargbo, Canada Mortgage and Housing Corporation's (CMHC) Senior Market Analyst for Hamilton and Brantford. CMHC presented its latest forecast for the Hamilton Census Metropolitan Area (CMA) today at the annual CMHC Housing Outlook Seminar.

At this year's seminar, entitled 'What Will Drive the Market?', CMHC market analysts explained how demographic trends will impact the housing industry in Hamilton and provided an in-depth housing market forecast for 2015.

"The housing market will benefit next year from more people moving into than out of Hamilton. These out-of-town buyers and a tight resale market will continue to support house prices," said Abdul Kargbo. "Growing housing demand is leading to residential intensification through infill and redevelopment, with multi-unit housing rising to 56 per cent of starts in 2015 and 2016, up from 44 per cent in 2011."

Highlights from today's conference include:

• Hamilton's existing home sales will remain strong on wider price gap with Toronto.
• More affordable areas will see higher existing home sales in 2015 and 2016.
• Many seniors are aging in place, which is supporting renovation spending.
• More jobs will be created in 2015 and 2016 which will support housing demand.
• The rental market will tighten as immigrants and echo boomers support rental demand.

"Growing economic momentum will support stronger activity in Ontario's housing market in 2015. However, as mortgage carrying costs continue to grow, due largely to rising home prices, demand will increasingly shift to more affordable housing by 2016," said Ted Tsiakopoulos, CMHC's Ontario Regional Economist. "Resale markets surrounding the Greater Toronto Area, higher density dwellings and rental over ownership tenure will benefit most from the continued shift in buying patterns," added Tsiakopoulos.

As Canada's national housing agency, CMHC draws on more than 65 years of experience to help Canadians access a variety of quality, environmentally sustainable and affordable housing solutions. CMHC also provides reliable, impartial and up-to-date housing market reports, analysis and knowledge to support and assist consumers and the housing industry in making informed decisions.

For more information, visit www.cmhc.ca or call 1-800-668-2642.

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