13% jump in aggregate price of homes in Hamilton for 3rd quarter of 2020

The aggregate price of a home in Hamilton increased 13.7 per cent to $635,173 in the third quarter of 2020, according to the Royal LePage house price survey released on Wednesday.

Broken out by housing type, the median price of a standard two-storey home increased 16 per cent year-over-year to $674,786 and the median price of a bungalow increased 8.5 per cent year-over-year to $575,180.

During the same period, the median price of a condominium rose 1.5 per cent to $377,130.

"Demand from buyers relocating from the GTA was very strong during the third quarter," said Joe Ferrante, broker of record, Royal LePage State Realty.

"As more and more companies make full or partial remote work possible on a permanent basis, we will continue to see demand go up.

"Inventory is low and multiple offers are common but we are beginning to see the seasonal winter slowdown. The next three months are expected to be more brisk than the fourth quarter of 2019, but typically the fourth quarter is more quiet than the summer months," Ferrante added.

Typical consumption patterns disrupted in 2020 due to COVID-19

Nationally, the aggregate price of a home in Canada increased 8.6 per cent year-over-year to $692,964 in the third quarter, as high demand and low inventory continued to fuel a seller's market.

Phil Soper, president and CEO of Royal LePage, said typical consumption patterns have been disrupted in 2020 as the coronavirus pandemic has driven the household savings rate to levels not seen in decades.

"Most Canadians have sharply reduced spending on discretionary goods and services involving a great deal of human interaction, and with mortgage rates at record lows, many have refocused on housing investments, be it renovations to accommodate work-from-home needs, a recreational property or a new property better suited for the times," Soper said.

The Royal LePage National House Price Composite is compiled from proprietary property data in 64 of the nation's largest real estate markets.

When broken out by housing type, the median price of a standard two-storey home rose 10per cent year-over-year to $819,906, while the aggregate prices are calculated using a weighted average of the median values of all housing types collected.