Hamilton’s Property Market: Why Some Buyers Are Making Their Move Now

by: Scott Mears

As we approach 2025, Hamilton’s property market is reaching a pivotal moment, presenting an exceptional opportunity for buyers who act now. With declining interest rates, a flat / underperforming market poised for growth, and a burgeoning short-term rental (STR) scene, if you’ve been considering entering the market, here are three compelling reasons why a Hamilton STR property should top your list.

1. Declining Interest Rates and Market Rebound
After a period of high interest rates, the tide is finally turning, making borrowing more affordable for buyers. This shift, combined with Hamilton’s currently flat / underperforming property market, creates the perfect storm for purchasing before prices rise. Experts forecast a 7% increase in house prices in 2025, signaling the start of a growth phase. Buying now allows you to get ahead of the curve and secure a property while conditions remain favourable.

Fig 1. Hamilton City Median House Price 2019-2024 (source: Opes Partners).

2. A Buyer’s Market with Lucrative STR Opportunities
Hamilton’s market currently favours buyers, offering greater negotiating power and competitive pricing. This dynamic won’t last long, with demand expected to climb in early 2025. For those wanting to buy property, Hamilton’s STR market provides an added incentive, as the potential for increased cash flow offsets any temporary periods of low capital growth. With more travelers and professionals seeking short-term accommodations, the STR market in Hamilton offers robust rental yields that make properties here even more attractive.

3. Timing is Everything
The window of opportunity in Hamilton won’t stay open forever. As interest rates drop, confidence grows, and the market shifts toward sellers, prices are set to rise. Acting now not only positions you for significant capital appreciation but also gives you the chance to capitalise on the increasingly popular STR market. Whether you’re looking to secure your first investment property or diversify your investment portfolio, Hamilton’s unique combination of affordability, growth potential, and short term rental income opportunities makes it the ideal choice.

Don't wait for the market to shift—investing in Hamilton STRs now is a decision that promises long-term rewards. Take advantage of this moment and watch your investment flourish.