The centre half, who enjoyed a hugely successful spell with City during the first part of the season, has signed a fresh loan deal with the Bantams which will keep him in Phil Parkinson's squad until the end of the current 2015/2016 campaign.
Burke has spent the last two weeks recovering from a wrist injury he picked up playing for City at Gillingham at the start of the month.
The 19 year-old is expected to be fit for a return to full training soon but he won't be eligible for Tuesday's Emirates FA Cup third round replay with Bury after not being registered for the original tie at Gigg Lane last weekend.
Having played for City in the competition earlier this season, however, he will be able to play for Parkinson's side in the FA Cup should they progress past Bury in Tuesday's replay.
Speaking after City's 1-0 win over Oldham Athletic at the Coral Windows Stadium this Saturday, Parkinson said: "Reece has re-signed with us.
"He would have signed a couple of weeks ago after the Gillingham game if it wasn't for his wrist injury.
"Obviously it has been in the press about other clubs wanting to sign him, which you would expect because he is a terrific young player.
"In fairness to Reece and his father though, I've had a lot of dialogue with them and they have always been completely committed to coming back here.
"Reece has really enjoyed his time at the club so far and we look forward to having him back in training."