The Burlington resale home market recorded 325 sales in March – up by a whopping 16.1% versus the 280 homes sold in March 2014. With the first quarter of 2015 now complete, year-to-date volume is up by 5.2% versus last year (707 units versus 672 during the first quarter of 2014). These solid overall volume gains clearly demonstrate continued affordability of home ownership, with lower interest rates going a long way to mitigate the effect of rising home prices. The Bank of Canada’s reduction in the target overnight lending rate in late January has filtered through the system and has resulted in record low borrowing rates for both variable and fixed rate mortgages. The 5-year variable rate is now as low as 1.99% while the 5-year fixed rate is as low as 2.49%.
The average selling price for a resale home in Burlington in March was $562,726 – up by an eye-catching 12.5% versus the $500,212 average price posted in March 2014. This price set another new all-time high for the Burlington resale market, eclipsing the previous record of $553,662 which was set just last month. With the first quarter of 2015 now in the books, the average price gain in the Burlington market on a year-to-date basis stands at a very robust 12.3%. To put this price growth in some additional perspective, the most recent inflation growth figure from Stats Canada (February 2015) stands at just 1.0%. Accordingly, home ownership in the Burlington market has provided significant real returns from an investment perspective.