This time of year everyone wants to know what the new year will bring. Here are my 2025 predictions…
Currently the market in Burlington, Hamilton and surrounding areas is seeing the highest number of properties for sale then it has over the past 10 years. Starting the year with approximately 1,400 properties for sale, September and October had over 2,700 properties for sale. As is typical these numbers have dropped for November and December, but it is a sign of what we can expect in the Spring.
Interest rates are forecast to decrease in March and June which will bring more confidence to buyers and to the market. As what happened with the recent interest rate cuts, this will likely bring more activity as buyers start looking again. Take these interest rate forecasts with a grain of salt though, as Trump’s actions may have a serious effect on our economy and what the Bank of Canada decides to do. This is one of the reasons why it is hard to give accurate 2025 predictions.
If things continue as they are without outside influence, you can expect to see a very active market this spring. It is likely properties that are priced correctly will go into competition but will sell around market value. Gone are the days of paying well over market value. Please note the term Market Value and not List Price. To get a better understanding of this please read my article Why are buyers paying so much over asking/
Some say we may go into a buyer’s market in the coming year. We have been in a seller’s market for quite some time now, though stronger at certain times than others. I believe we will enter into a balanced market in 2025. What does that mean for you? Lots of buyers and many properties to choose from.
Summer is usually quite in Real Estate though the past few years have shown different. I believe the summer will continue to be an active period for buyers and sellers alike.
There are really too many variables at play currently to be able to predict beyond the spring and summer. Will interest rates continue to come down? Will Trump impose tariffs or take other actions that will negatively affect our economy? When will there be an election? Will the Government take any actions that will effect the housing market?
IF YOU ARE A BUYER:
It may be in your best interest to buy sooner than later. Prices will begin to go back up over the next several months, and the spring will likely be very busy. Buying before the spring market will save you from going into competition or at least keep the number of offers fewer.
IF YOU ARE A SELLER:
Wait for the spring market. There will be more buyers looking at your property. Your property will likely sell for more and in fewer days on market. The active market will likely carry through summer, and unless there are unforeseen influences, into the fall as well.
All that being said, I do not have a crystal ball.
Do you have any questions or concerns about my 2025 predictions? Please feel free to contact me to discuss.
