At the James Loewen Group of Burlington mortgage brokers, we take pride on keeping up to date on the latest real estate and mortgage trends. This allows us to find the best mortgage for you, no matter what the situation is.
As we enter the new year the Burlington real estate market remains strong. In December there were 753 sales reported by the REALTORS® Association of Hamilton-Burlington (RAHB). While this is 16.4% lower than in December 2016 which was a record-breaking month, it is important to note that it is still 5.2% higher than the 10-year average.
As the winter months are usually the slowest in the real estate market, seeing another year of strong sales shows just how well the Burlington market is performing.
The average sale price of all freehold properties increased by 7.8%, while the condominium market saw an increase of 22.6%. These numbers point to the fact that homes in Burlington are still seeing an increase in value, and that buying a home in the area can be a good investment for the future.
While we saw an increase in price, the number of sales in the month were lower than the record breaking previous year, as we saw a 15.7% decrease in residential units sold. Condominium sales were also 34.2% lower than the previous year.
The average number of days on market increased to 41 days from 30 days in the freehold market and increased to 39 days from 17 days in the condominium market, compared to December 2016.
With the increase in days on the market, it seems that it will benefit buyers as they will have more time to look at homes and make an informed decision.
As Burlington mortgage brokers we also stay on top of the latest interest rate news and changes. On January 17, 2018, the Bank of Canada announced it was raising its overnight lending rate to 1.25%. The increase means that the benchmark five-year lending rate stood at 5.14%, up from 4.99%, and as of the new year all mortgages must qualify at, at least, the benchmark fiver year lending rate.
If you need information on the new mortgages rules check out our blog post on the subject!
The next interest rate announcement comes in March and there we may see an increase in the rate, depending incoming economic data and the outcome of NAFTA renegotiations.
With the new mortgage rules and a strong real estate market it is a good idea that you speak to a Burlington mortgage broker to get the right advice and mortgage options for your unique situation.
At the James Loewen Group of Burlington mortgage brokers, we are here to answer all your mortgage questions!