Burlington Market Continues to Adjust
The Burlington resale home market recorded 212 sales in July – down by an eye-catching 21.2% versus the 269 homes sold in July 2016. Total inventory at month-end came in at 464 units, up by a whopping 74.4% versus last year but still well behind the latest 10-year end of July average of 548 units. A recent release from the Ontario government found that foreign buyers represent a small proportion of buying activity in the Golden Horseshoe.
Clearly, the year-over-year decline experienced in July had more to do with psychology, with an abundance of would-be home buyers on the sidelines waiting to see how market conditions evolve. In addition, summer market statistics are generally not the best indicators of housing market conditions due to its low seasonal importance. The approaching fall market will provide a better indicator of the true impacts of the Ontario Fair Housing Plan and rising borrowing costs.
Related: Oakville Market Continues to Adjust
The average selling price for a resale home in Burlington in July was $699,830 – up by 3.2% versus the $678,402 average price in July 2016. Prices are off dramatically from their high of $837,719 which was recorded in May. An increasingly better supplied market and a pause in demand have combined to create this deceleration in price growth. Despite the recent pullback in prices, the overall price gain in 2017 remains highly significant.
On a year-to-date basis (January thru July), the average price increase for all property types in Burlington remains at a substantial 20.7%. That translates into a home equity gain of over $133,000 for the average Burlington homeowner. Looking forward, the market appears to be headed back to a more balanced situation with supply gradually returning to normal levels and with the expectation that the recent pause in buying activity will be relatively short-lived.
Burlington Transactions - JULY 2017
|Neighbourhood||Total Transactions||Avg Sales Price ($)||Avg Days on Market|