Real Estate Investing in Hamilton, Ontario

Hamilton is a city of 500,000 people and now has a very diverse economy. With plenty of transitioning areas, a proactive economic development office and many transportation changes there are great ways to position yourself and profit as a real estate investor.

New Home market: Total Housing Starts to Rebound

Improving economic conditions and steady in-migration of homebuyers from the Greater Toronto Area (GTA) will support residential construction in Hamilton. In addition, housing starts should benefit from existing home sales, which have been gaining momentum since April 2013.

During the past two census periods, approximately 4,300 people every year have been added to the Hamilton population from net migration. Nearly half of these migrants came from within Ontario. The steady annual population increases have generated more households, which bode well for housing starts in the next two years.

Rental Market: Vacancy Rate to Decline Slightly

In 2014, the average rental apartment vacancy rate in Hamilton is anticipated to decrease to three per cent. International migration has historically been a strong driver of population growth in the Hamilton area. Given that immigrants tend to lack the credit history and savings to jump into homeownership, they typically move into rental accommodation upon arriving in Canada. This phenomenon tends to put downward pressure on apartment vacancy rates in Hamilton.

In addition, Hamilton’s rental market will be supported by young adults leaving their parental homes. These young adults typically opt for less expensive rental accommodation.

Hamilton Real Estate Hotspot – Southeast Mountain

This area (Southeast) is helping Hamilton set another year of Record residential and commercial permits.

The outer Southeast is being newly developed with significant growth. New housing, serviced lots, big box stores and commercial centers are expanding the residential and commercial footprint of Hamilton.

For more information, please check the Canada Mortgage and Housing Corporation website.