MoneySense Magazine created a report that marked the top 35 cities to live in Canada. Hamilton, Ontario was ranked in the top 10, coming in at number 7. The report was based on three main criteria: value, momentum and expert insight. Shockingly, Toronto ranked at number 22 on the list. MoneySense’s annual real estate report takes this data from Statistics Canada and the Canada Mortgage and Housing Corporation (CMHC) to analyze the trends in 35 cities. When ranking the top 35 cities in Canada, Moneysense takes into consideration the ratio of average income to average house prices and the unemployment rate. Affordability and appreciation are also key factors when ranking the top cities especially when many cities in Canada have high housing prices. Therefore, the magazine looked at which cities have a strong economy, took into consideration the rental market, the appreciation rate and value for money.
The City of Hamilton, once overlooked by developers is now starting to spark interest. The average price for a single family home is considerably lower than prices in most parts of the GTA and as developers start building in this area, the market will only increase as housing becomes more in demand. The Greater Toronto and Hamilton Area (GTHA) is experiencing incredible growth with research indicating that over 230,000 people are expected to move to this region within the next 25 years. Home-buyers and investors are setting their sights on Hamilton’s real estate market because many people from Toronto are looking for more affordable housing. The City of Hamilton sees this as a golden opportunity to invest in their city to attract more people and maintain this growth.
The transportation is enhancing in this area, residents can take the GO Train to get to downtown Toronto in only 40 minutes. Residents that live in downtown Hamilton can experience all of the local amenities as living in downtown Toronto such as walking or biking to work. Both of these options eliminate the stressful commute. The neighbourhoods in Hamilton have that small-town atmosphere plus there are many schools in this area making it the perfect place for families to settle. In the city alone, there are over 114 public schools, 55 catholic schools, 5 french immersion schools and 5 universities and colleges including McMaster University and Mohawk College. Another advantage to living in Hamilton is that residents have access to the lake and the pier, it is here that they can find local parks and waterfalls, hiking trails, water-based activities such as canoeing, sailing and kayaking, and scenic views of the waterfront. Additionally, this area is full of rich history and culture, residents that appreciate this look can find many Victorian-style homes and buildings here.
Based on the amount of jobs and schools in the area, investors will not have trouble finding tenants to rent out their space. Additionally, MoneySense expects an average 5-year rent increase of 25.58% and projects a 5-year annual return on investment (ROI) of 8%.
Based on the findings from MoneySense Magazine and other data, we were able to narrow down some more reasons to explain why Hamilton really deserves to be in the top 10 best cities to buy.
They have a strong hiring economy:
The local economy in Hamilton has been very strong in the past decade. In the last couple of months, the city has seen an unemployment rate of 3.5% which is the lowest it has been in 18 years. According to a McMaster University Professor Marvin Ryder, Hamilton has a high number of retirees which not only makes room for new hires but the retirees are counted as part of the unemployment rate calculation. Based on ManpowerGroup’s Employment Outlook Survey for 2019, 20% of employers are planning to hire for the third quarter while 77% of employers plan to maintain their current staff and 3% of employers are unsure of their hiring intentions. For those that lose their job, it is expected that they can find work in neighbouring municipalities of Hamilton. With the city’s economy remaining steady, investors can buy with the expectation that residents will be working in this area.
Hamilton’s Waterfront Revitalization Project:
Hamilton is continuing to grow and prosper and a part of that growth will be a major investment coming to the waterfront. This redevelopment plan will transform multiple piers in the region and will include new open spaces, shops and restaurants, recreational and cultural activities. The city is expected to spend millions on this project with the goal to draw more people to the waterfront. Some of the revitalization project includes:
- Revitalization of Pier 4 park: This park will include a curved boardwalk to offer panoramic views of the water. A walkway to the shoreline will be created to allow close access to the water's edge and will give visitors the opportunity to enjoy water-based activities such as canoeing, fishing, sailing and windsurfing.
- The marina on pier 4 and pier 8 will be redeveloped to provide new docks to house boats and to give visitors the opportunity to go out on their boat and dock in some of the extended open spaces available.
- Many mixed-use condominium developments will be built in this area with publicly open parks, shops, fitness centres and restaurants to create a vibrant community. New streets are proposed as well to allow easy accessibility to the harbour.
These new developments will give residents and visitors alike the chance to enjoy the day by the harbour, being surrounded by the water, shopping at some of the local boutiques or having dinner surrounded by some of the most breathtaking views of the city. This new project will be sure to create a strong local community, increase job growth and boost the city’s economy.
Here are some new developments coming to Hamilton:
This new pre-construction condominium will be nestled between Lake Ontario and the scenic Niagara Escarpment. This area is filled with recreational trails, stunning waterfalls and breathtaking views of the waterfront. Investors can expect a 15-storey mid-rise building that will hold 84 residential suites. This development is perfect for down-sizers, young professionals and anyone that craves an urban lifestyle in a vibrant community.
A bold, new high-rise is set to be developed on James Street, a vibrant street that offers many boutique shops, local cafes and authentic dining cuisines. This mixed-use condominium will reach 22-storeys high and will offer 106 residential units. It will also be connected to the historic Tivoli Theatre, a 145 year old landmark that will be restored and incorporated in this residential tower.