REAL ESTATE IN 2015

by Darrin DeRoches January 8 - 14, 2015

The experts from around our nation are toting Hamilton as the only market to make gains in real estate this year in all of Canada.  We already have won the best place to invest, and now our residential market is going to rise up even more.  This all begs the questions of why, and when will it stop? The easy answer is because, and never, but let’s go a little deeper than that.     Hamilton should be at the same level as Oakville. Some might think I am still drunk from New Year’s celebrations but that is where we should be.  If you draw a line from Toronto to Hamilton the exact same property is at least $100 thousand dollars lower in Hamilton.  That means Mississauga is $25 grand less than Toronto — Oakville is $50 grand less — Burlington is $75 grand less.  This is just a broad stoke, and the numbers are a little higher actually, but the point is the line should be straight one down to Burlington, then curve upwards as it hits Hamilton into a hockey stick. (Player of the game in the world cup finals: Darnell Nurse: Hamiltonian) This means we would come in somewhere around Oakville, maybe about Third Line.  This where the city will end up and when it does that is when the increase or correction will stop.     The reason we should be at that price point for real estate is based on many factors, but asically it is because we are a real city.  Airport, waterways, docks, university, colleges, leading hospitals, Ti–Cats, industries, innovation parks, Go trains and the list goes on.  In relation to Toronto we are the far enough away to be priced lower but big enough of a city to command higher price in real estate.  We are poised to grow into our own and it is happening every day in the city.  There are a reported twenty new residential projects coming downtown, expanding lands at the airport, more and more freight at our ports, new industries, new hospital project, innovation at the universities and colleges.  These all contribute to raising  the demand and value of our real estate.      Investment dollars are coming to our city and we need to control the growth and make sure the dollars stay in the community. The inventory is getting a little low — so new home starts and building permits should be on the rise.  You should be investing in your own real estate market because by the end of the year it may be too late and too expensive.  I see the prices rising and some sellers are being unrealistic but are getting their price.  If you presently own property in the city you are making money every minute of every day so it may be time to tap into that money and double down while the market continues to grow into the big hockey stick we deserve in Hamilton.  V     Darrin DeRoches is a local real estate and mortgage broker. He can be reached to answer questions, comments or stories about real estate experiences through this weekly column at sold@uniquerealty.ca.