In a recent Housing Market Outlook by RE/MAX from 2019, RE/MAX outlined some of the housing market trends we can expect to see this year. Wondering how these housing market trends will affect Burlington real estate? Our Burlington real estate agents stay up-to-date on the latest housing market trends throughout Canada, and specifically Burlington real estate, in order to provide our clients with the best advice and guidance.
If you’re like Sam and Rosa, a young couple that recently began looking at Burlington homes and researching housing market trends for 2019, a Burlington real estate agent at Team Logue can help you navigate the Burlington real estate market. Sam and Rosa came to Team Logue Real Estate for expert advice about housing market trends, Burlington real estate and guidance throughout the process. During their time with Team Logue, we provided them with personal service, an advanced technical premium marketing plan and housing market trends to help them make the most informed decisions.
If you’re planning on purchasing Burlington real estate in 2019, take a look at Team Logue’s top housing market trends and predictions.
Housing Market Trends: Burlington Homes For Sale
The average sales price is estimated to increase by 1.7 per cent in 2019. After the unprecedented increases in average sales price experienced across Canadian housing markets in 2017, the housing market stabilized in 2018.
However, one of the top housing market trends of 2018 included average sale prices rising in areas outside of their main city centres, such as Burlington real estate.
If you are a home buyer currently viewing Burlington homes for sales, like Sam and Rosa, the good news is that housing markets are expected to stabilize even more this year. In fact, a recent survey found 31% of Canadians said higher interest rates have not affected their ability to get an affordable mortgage thus far.
Mortgage Stress Test: Burlington Real Estate
Housing markets such as, Burlington real estate, that are outside major city centres, are expected to be sellers’ markets. These areas are expected to show increased growth in average residential sale price. This is one of the housing market trends that is predicted to continue into 2019.
However, housing market trends of 2018, including rising interest rates and the mortgage stress test, are major factors that will affect housing market activity in 2019.
In a RE/MAX survey, reports found 83% of RE/MAX brokers and agents predict Canadians will begin to feel the strain of higher interest rates as they move forward with their home-buying plans in 2019. Overall, it is expected that rising interest rates will make it more difficult for Canadians to purchase a home this year. This may make it difficult for prospective buyers in Burlington South, Burlington North, Oakville and Millcroft.
Nevertheless, investing in growing communities, such as Burlington real estate, is a good way to build wealth, equity and future stability. Millcroft, for instance, was first established in the late 1980s. Since that time, Millcroft has grown to approximately 3,940 homes. Over the past 10 years, the median sale price has increased from $645,000 to $1,295,000. If you’re looking for a community that offers great value, world-class amenities and truly exemplifies a sense of community to its residents, Millcroft is an exceptional investment. This well-established and much sought-after prestigious golf course community in Burlington has steadily grown over the past decade. In 2018, Millcroft had grown to approximately 3,940 homes.
If you’re purchasing Burlington real estate, ensure you plan to live there or plan to own long-term. The financial benefits of homeownership are long term, so choosing the right community is essential. Consider the type of lifestyle and neighbourhood that would best suit you and your family long-term. When Sam and Rosa were housing hunting, affordability and making a long-term investment were at the top of their list. Their Burlington real estate agent was able to find them the right home, in the right neighbourhood that best suited their lifestyle and needs.
Ontario Housing Market Trends
It’s important to note that housing market trends in Burlington real estate will be reflecting in trends throughout the province of Ontario. According to the survey conducted by RE/MAX Toronto saw the average sale prices dropped by four per cent from $822,572 in 2017 to $789,181 in 2018 with unit sales down by 16%. While the lack of affordability in the single-detached segment is making it difficult for home buyers to enter the housing market, the resale condo market has risen. Condo resale now represents about 37% of total residential sales. Housing market trends are predicting an average residential sale price to increase by two per cent in 2019.
Housing Market Trends Summary
Overall, the actual and perceived impacts of the mortgage stress test and rising interest rates on housing affordability is causing a decrease in the percentage of Canadians entering the housing market. In 2018, 48% of Canadians were considering purchasing real estate in the next five years. In 2019, it’s down to 36%. According to almost one-third of survey respondents, higher interest rates isn’t the only factor, but rather the risk of future rate hikes, as indicated by RE/MAX brokers and agents.
One of the biggest housing market trends that we continue to see is the importance of proximity and location. More than half of prospective home buyers want and place a high value on living closer to green spaces, work and in areas with better access to public amenities.