Major differences between the residential and condominium markets in Burlington

News 100 blueBy Staff

March 10th, 2019

BURLINGTON, ON

 

Real Estate is a much different business these days – the crazy prices that were being asked and the crazier prices that were being paid are a thing of the past. The Rocca Sister Associates produce summaries of different markets on a regular basis. Their recap for February is set out below – for both the residential and condominium markets.

Residential:

The average price of a freehold property in February increased by 0.1% as compared to February 2018. Sales were down 2.8% for the month and properties sold for 98.41% of the asking price. Inventory levels were low when compared to the 5-year average but very similar to the same levels we saw at the end of February 2018.

The best way to describe market conditions in Burlington is, confusing. 33 properties sold for their asking price or more. One property in Millcroft was listed at $1,499,000 for 84 days without any price reductions and sold for the asking price.

Yet the stats suggest that the market is leaning in favour of buyers. Tell that to someone that is trying to buy a townhouse in the $650,000 price range or a good sized family home in Tyandaga or Millcroft – they will undoubtedly think you are from another planet.

Rocca residential stats

Condominium market:
In February we saw prices paid per square foot increase by just over 10% as compared to February 2018. Sales increased by 17.5% and sale prices increased by just under 5%. At the end of February, there were 103 condos apartments for sale compared to 90 in 2018. Average condo fees per square foot were 60 cents which is up slightly from January. Remarkably, of the 47 sales in February, 12 sold for the asking price or more. Condos sold for 98.54% of the asking price in February and the average days on market is 36.

 

rocca condo stats Feb 2019

What Does All Of This Mean?

According to Royal LePage Edge Magazine (2019), 32% of the baby boomer demographic will be entering the condo market in the next 5 years. If the government relaxes mortgage rules in the coming months, we may see more millennials looking at this sector as an option as well. With certainty, the condo sector is on an upward trajectory.

There are so many nuances to consider with every condo building – features that can impact values today and in the future. While there is no doubt condo prices will increase over the coming months and years making today a good time to buy, choosing the right condo will be more important than ever. Selling a condo in this type of market may seem easy but if your condo is not sale ready, you may be leaving money on the table.

 

 

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