On September 12, 2019, the Ottawa Real Estate Board’s (OREB) President Dwight Delahunt, Directors Ken Dekker and Andrew Ouellette, Members Rick Snell and Lynne Faucon, REALTORS Care® Committee Members Sandra-Lee Marques, Tony McDermott, Jennifer Williams, and Board staff Elvis Castillo and Rina Gibbons participated in a Habitat for Humanity Greater Ottawa (GO) build on behalf of the Ontario REALTORS Care® Foundation.
On September 12, 2019, the Ottawa Real Estate Board’s (OREB) President Dwight Delahunt, Directors Ken Dekker and Andrew Ouellette, Members Rick Snell and Lynne Faucon, REALTORS Care® Committee Members Sandra-Lee Marques, Tony McDermott, Jennifer Williams, and Board staff Elvis Castillo and Rina Gibbons participated in a Habitat for Humanity Greater Ottawa (GO) build on behalf of the Ontario REALTORS Care® Foundation.
“Helping those who need a hand up is just the right thing to do,” states Dwight Delahunt, President of the Ottawa Real Estate Board. “Not only does every OREB Member donate each month to shelter related charities through the REALTORS Care® Foundation, but they also give of their time, energy, and expertise. We are honoured to be a small part of this build and look forward to seeing the families in their new homes.”
REALTORS Care® Committee Chair, Deborah Burgoyne adds, “Habitat for Humanity GO provides our local communities with affordable homes, and we have a deep respect for the great work they do. We believe every Canadian family deserves a safe and fairly-priced home and are pleased to be a part of the solution.”
As part of a commitment to improving the community we live in, the Board’s REALTORS Care® Committee has participated in a Habitat for Humanity GO build day every year using funds donated from the previous year. This is the seventh year in a row that REALTORS® and staff have participated in a build. They spent the day working on foundation levelling and strapping, framing and foam installation.
Leacross Landing is Habitat for Humanity GO’s largest project to date and will eventually consist of 16 townhomes at the corner of Jeanne d’Arc Blvd. and Fortune Dr. in Orleans. Since 1993, Habitat GO has partnered with 76 families in the Greater Ottawa area. Together, they are committed to giving families a hand up, not a handout.
Members of the Ottawa Real Estate Board sold 1,731 residential properties in August through the Board’s Multiple Listing Service® System, compared with 1,581 in August 2018, an increase of 9.5 per cent. August’s sales included 1,300 in the residential-property class, up 9.7 per cent from a year ago, and 431 in the condominium-property category, an increase of 8.8 per cent from August 2018. The five-year average for August unit sales is 1,522.
Members of the Ottawa Real Estate Board sold 1,731 residential properties in August through the Board’s Multiple Listing Service® System, compared with 1,581 in August 2018, an increase of 9.5 per cent. August’s sales included 1,300 in the residential-property class, up 9.7 per cent from a year ago, and 431 in the condominium-property category, an increase of 8.8 per cent from August 2018. The five-year average for August unit sales is 1,522.
“August’s ten percent increase in unit sales from 2018 is over twice the percentage increase experienced last year and three times higher than the previous August,” reports Dwight Delahunt, Ottawa Real Estate Board President. “However, although the numbers are up, Ottawa continues to undergo issues with inventory as the limited supply persists.”
August’s average sale price for a condominium-class property was $308,781, an increase of 11.5 per cent from last year while the average sale price of a residential-class property was $484,921, an increase of 11.8 per cent from a year ago. Year to date figures show an 8.4 per cent and 7.9 per cent increase in average sale prices for residential and condominiums respectively. *
“Year to date average prices, which are more reliable indicators than monthly average prices, show steady, reasonable, and sustainable increases. We don’t anticipate there will be a major correction in the foreseeable future,” Delahunt maintains.
The $350,000 to $499,999 price range was the most prevalent price point in the residential market, accounting for 42 per cent of August’s transactions while 27 per cent of residential sales were in the $500,000 to $749,999 range. The most active price point in the condominium market has increased again in 2019 to $250,000-$399,999, accounting for 50 per cent of the units sold.
“As to be expected, now that the units in the lower end of the condo market have been acquired, there appears to be another upward movement in the prices of available condominiums,” Delahunt points out. “Statistics show the higher end of the residential market has picked up with the doubling of unit sales in the $750K to $1M price range from this time last year,” he adds.
When questioned about the government’s First-Time Home Buyer Incentive (FTHBI) which came into effect on September 2, Delahunt cautions, “It’s too early to tell what the impact will be or if there will be any impact in Ottawa’s market – these measures are not helping the supply side. We continue to call on all three levels of government to implement actions to increase supply which will facilitate restoring balance to our local real estate market.”
“Coming into the fall months, which are typically busy, we expect the market will continue to pick up steam,” he speculates. “Your home purchase or sale is not a DIY project; there’s too much at stake. Be sure to find a local REALTOR® with the depth of knowledge and experience that is warranted in one of the biggest investments you will make in your life.”
In addition to residential sales, OREB Members assisted clients with renting 1,906 properties since the beginning of the year.
* The Board cautions that the average sale price can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The calculation of the average sale price is based on the total dollar volume of all properties sold. Price and conditions will vary from neighbourhood to neighbourhood.
Members of the Ottawa Real Estate Board sold 1,842 residential properties in July through the Board’s Multiple Listing Service® System, compared with 1,605 in July 2018, an increase of 14.8 per cent. July’s sales included 1,382 in the residential-property class, up 12.3 per cent from a year ago, and 460 in the condominium-property category, a rise of 23 per cent from July 2018. The five-year average for July unit sales is 1,579.
Members of the Ottawa Real Estate Board sold 1,842 residential properties in July through the Board’s Multiple Listing Service® System, compared with 1,605 in July 2018, an increase of 14.8 per cent. July’s sales included 1,382 in the residential-property class, up 12.3 per cent from a year ago, and 460 in the condominium-property category, a rise of 23 per cent from July 2018. The five-year average for July unit sales is 1,579.
“Typically, after the busy spring, July tends to be a slower month as people take vacations and spend more time with their families, but there was no slow down this past month,” observes Dwight Delahunt, President of the Ottawa Real Estate Board. “In fact, we recorded the highest number of July sales in 15 years.”
“Also, for the first time in 2019, there was an upsurge in new listings which has slightly improved housing inventory. Although this is encouraging news, it is not enough to keep up with demand. In order to bring about a more balanced market, there needs to be at least a three-month supply of listings. Currently, Ottawa is closer to a one-month supply,” he adds.
“In this type of market, it is vital that Sellers utilize the experience and advice of a REALTOR® to maximize your property’s potential — and if you are a Buyer, to guide you through the complexities this intricate market presents,” Delahunt recommends.
July’s average sale price for a condominium-class property was $299,665, an increase of 6.8 per cent from last year while the average sale price of a residential-class property was $487,308, an increase of 10.4 per cent from a year ago.*
“Residential house prices continue to increase; however, these are reasonable gains and are not creating a bubble by any stretch,” Delahunt maintains. “Condo prices have now recovered, and the oversupply in that sector no longer exists. Ottawa has a healthy condo market and with major developments coming online in the future, we expect these too will be absorbed in due course.”
The $350,000 to $499,999 price range was the most prevalent price point in the residential market, accounting for 42 per cent of July’s transactions while 28 per cent of residential sales were in the $500,000 to $749,999 range. The most active price point in the condominium market, $225,000-$349,999, accounts for 52 per cent of the units sold.
When asked about how the upcoming federal election might affect the real estate market, Delahunt emphasizes, “We continue to believe the stress test is negatively impacting our housing market and look forward to hearing about how the various parties intend on addressing this contentious issue as the election approaches.”
In addition to residential sales, OREB Members assisted clients with renting 1,619 properties since the beginning of the year.
* The Board cautions that the average sale price can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The calculation of the average sale price is based on the total dollar volume of all properties sold. Price and conditions will vary from neighbourhood to neighbourhood.
Members of the Ottawa Real Estate Board sold 2,105 residential properties in June through the Board’s Multiple Listing Service® System, compared with 2,064 in June 2018, an increase of 2 per cent. June’s sales included 1,612 in the residential-property class, on par with a year ago, and 493 in the condominium-property class, a rise of 8.8 per cent from June 2018. The five-year average for June unit sales is 2,002.
Members of the Ottawa Real Estate Board sold 2,105 residential properties in June through the Board’s Multiple Listing Service® System, compared with 2,064 in June 2018, an increase of 2 per cent. June’s sales included 1,612 in the residential-property class, on par with a year ago, and 493 in the condominium-property class, a rise of 8.8 per cent from June 2018. The five-year average for June unit sales is 2,002.
“Year to date residential resales are virtually the same as this time last year with 7,565 transactions so far,” announces Dwight Delahunt, Ottawa Real Estate Board President. “Increasing by 8.3%, condo resales are the driving force for the upturn in units sold in the first half of 2019. Combined residential and condo year to date sales of 9,876 show a 1.8 per cent increase from June 2018,” he adds.
June’s average sale price for a condominium-class property was $308,482, an increase of 6.2 per cent from last year while the average sale price of a residential-class property was $500,716, a rise of 11.4 per cent from a year ago. *
“Although, the percentage increase in average price for a residential property climbed into the double digits in June, year to date figures indicate a steady growth of 7.6 per cent and 7.5 per cent for residential and condominiums respectively.”
“In the past decade, we have seen an approximate 52% increase in average prices for residential properties and 34% for condominiums, indeed an excellent return on investment for homeowners,” states Delahunt. “With a population reaching one million residents according to the City of Ottawa, we truly enjoy a high quality of living and remain one of Canada’s most affordable major cities – that’s no small feat.”
The $350,000 to $499,999 price range was the most prevalent price point in the residential market, accounting for 43 per cent of June’s transactions while 29 per cent of residential sales were in the $500,000 to $749,999 range. The most active price point in the condominium market for the third straight month, $225,000-$349,999, accounts for 55 per cent of the units sold.
“Some areas of the city are experiencing multiple offers, and the competition for well-priced and positioned properties is brisk. Even though 39% of properties this month sold above the asking price, the vast majority of properties are still being sold at or below the listed price,” Delahunt points out. “A professional REALTOR’S® market knowledge and neighbourhood expertise are invaluable whether you are a buyer or a seller,” he maintains.
“This is not a speculation market. Going forward, we anticipate there will be a high demand in the foreseeable future due to increasing population and strong employment in the area. We are pleased to see all levels of government starting to address the supply side issue, but we feel there is still work to be done. We will be watching the upcoming federal election closely to gain insight as to how the various parties intend on addressing attainable homeownership issues,” Delahunt concludes.
In addition to residential sales, OREB Members assisted clients with renting 1,314 properties since the beginning of the year, and our Commercial Members continue to be very active in our marketplace.
* The Board cautions that the average sale price can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The calculation of the average sale price is based on the total dollar volume of all properties sold. Price and conditions will vary from neighbourhood to neighbourhood.
Members of the Ottawa Real Estate Board sold 2,423 residential properties in May through the Board’s Multiple Listing Service® System, compared with 2,271 in May 2018, an increase of 6.7 per cent. May’s sales included 1,869 in the residential property class, an increase of 4.6 per cent from a year ago, and 554 in the condominium property class, an increase of 14.2 per cent from May 2018. The five-year average for May unit sales is 2,167.
Members of the Ottawa Real Estate Board sold 2,423 residential properties in May through the Board’s Multiple Listing Service® System, compared with 2,271 in May 2018, an increase of 6.7 per cent. May’s sales included 1,869 in the residential property class, an increase of 4.6 per cent from a year ago, and 554 in the condominium property class, an increase of 14.2 per cent from May 2018. The five-year average for May unit sales is 2,167.
“Despite the continuous free fall of inventory levels, we still have a higher sales volume than this time last year,” observes Dwight Delahunt, Ottawa Real Estate Board’s President. “Well-priced and positioned properties are turning over quickly with residential days on market declining 17 per cent on average from 34 to 28 days from last May and a whopping 33 per cent decrease for the condominium market from 46 days to 31 days.”
“Condo sales are bolstering the resale market, up 14 per cent from a year ago, and are providing an excellent opportunity for those Buyers wishing to enter the market or who are ready to downsize,” he adds.
May’s figures show the average sale price for a condominium-class property was $297,731, an increase of 5.8 per cent from last year while the average sale price of a residential-class property was $493,691, a rise of 6.4 per cent from a year ago. Year to date numbers show a 6.6 per cent and 7.9 per cent increase in average prices for residential and condominiums respectively.*
“Home prices are steadily increasing at a reasonable rate, and the fact that they are not spiking confirms that our market is healthy and sustainable,” Delahunt points out. “Although we hear about extreme multiple offer situations, the reality is, 62 per cent of homes are still selling at or below asking.”
“Certainly, there are 15 per cent more listings selling above asking compared to this time last year, but these are restricted to particular pockets of the city. There are still many opportunities for those who want to find an affordable property. This is where the knowledge and experience of a REALTOR® will serve you well. They understand Ottawa’s neighbourhoods, market trends, and property values and can efficaciously guide you in your home sale or search,” Delahunt advises.
The $350,000 to $499,999 price range was the most active price point in the residential market, accounting for 42 per cent of May’s transactions while 28 per cent of residential sales were in the $500,000 to $749,999 range. The most prevalent price point in the condominium market, which increased to the $225,000-$349,999 price range two months ago, accounts for 57 per cent of the units sold.
In addition to residential and condominium sales, OREB Members assisted clients with renting 1,043 properties since the beginning of the year.
* The Board cautions that the average sale price can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The calculation of the average sale price is based on the total dollar volume of all properties sold. Price and conditions will vary from neighbourhood to neighbourhood.
Members of the Ottawa Real Estate Board sold 2,032 residential properties in April through the Board’s Multiple Listing Service® System, compared with 2,024 in April 2018, an increase of 0.4 per cent. April’s sales included 1,594 in the residential property class, on par from a year ago, and 438 in the condominium property class, an increase of 5.3 per cent from April 2018. The five-year average for April unit sales is 1,825.
Members of the Ottawa Real Estate Board sold 2,032 residential properties in April through the Board’s Multiple Listing Service® System, compared with 2,024 in April 2018, an increase of 0.4 per cent. April’s sales included 1,594 in the residential property class, on par from a year ago, and 438 in the condominium property class, an increase of 5.3 per cent from April 2018. The five-year average for April unit sales is 1,825.
“The story hasn’t changed throughout this spring – our market is clearly suffering from low inventory, and we predict these conditions will persist until supply is restored,” states Dwight Delahunt, President of the Ottawa Real Estate Board.
“Several factors continue to have an impact in this regard including the lag in new construction coming to market and the reluctance of potential sellers who are facing limited options when they are buying within the same market. Add to this a stress test for buyers, that can limit purchasing capacity in a market where prices are accelerating, and it becomes a “Catch 22” situation for the foreseeable future.”
“Residential supply is down 18%, and condo inventory is down almost 40% from last April. Despite this tight supply, the residential market is holding its own and the increase in unit sales is effectively coming from the condo market which until recently, was in a surplus,” he notes.
The average sale price of a residential-class property sold in April in the Ottawa area was $488,729, a rise of 7.4 per cent over April 2018. The average sale price for a condominium-class property was $307,659, an increase of 14.3 per cent from this month last year. Year to date numbers show a 6.6 per cent and 8.7 per cent increase in average prices for residential and condominiums respectively. *
“An active market with limited supply is inherently going to put an upward pressure on prices,” Delahunt explains. “However, this bodes well for the condo market by which the absorption is allowing for the rebounding and recovery of its price points.”
“Certainly, the stunted supply is likely responsible for the multiple offer situations we are experiencing, but the reality is that while approximately one-third of properties are selling above asking, more than 50% are still selling below the listed price.”
“Ottawa is a stable and affordable market and has been since the 1940s – we are not in a bubble,” Delahunt emphasizes.
The increased $350,000 to $499,999 price range has now become the most active price point in the residential market, accounting for 44 per cent of April’s transactions. Also worth noting, 28.5 per cent of residential sales were in the $500,000 to $749,999 range up from 23-25 per cent previously. The most prevalent price point in the condominium market which had increased to the $225,000-$349,999 price range last month, remains so, accounting for 46 per cent of the units sold.
“The increase in price points are indicative that availability in the lower priced housing stock is just not there and is pushing people up to the higher end of the market. Nevertheless, the fact is, these price points are still well under the Canadian average, and our residents tend to be in comfortable financial situations due to secure employment and a thriving local economy,” Delahunt concludes.
In addition to residential and condominium sales, OREB Members assisted clients with renting 778 properties since the beginning of the year.
* The Board cautions that the average sale price can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The calculation of the average sale price is based on the total dollar volume of all properties sold. Price and conditions will vary from neighbourhood to neighbourhood.
Members of the Ottawa Real Estate Board sold 1,511 residential properties in March through the Board’s Multiple Listing Service® System, compared with 1,654 in March 2018, a decrease of 8.6 per cent. March’s sales included 1,136 in the residential property class, a drop of 12.4 per cent from a year ago, and 375 in the condominium property class, an increase of 5 per cent from March 2018. The five-year average for March unit sales is 1,402.
Members of the Ottawa Real Estate Board sold 1,511 residential properties in March through the Board’s Multiple Listing Service® System, compared with 1,654 in March 2018, a decrease of 8.6 per cent. March’s sales included 1,136 in the residential property class, a drop of 12.4 per cent from a year ago, and 375 in the condominium property class, an increase of 5 per cent from March 2018. The five-year average for March unit sales is 1,402.
“Lack of inventory is responsible for March’s deficiency in residential unit sales,” states Ottawa Real Estate Board’s President, Dwight Delahunt. “This tightness of supply is manifesting in significant reductions in DOMs (days on market) and properties selling very quickly. Residential DOMs are down 14%, and condo DOMs are down 36% from last year.”
“In some pockets of the city, buyers are facing multiple offer situations, and properties are often selling over list price. These dynamics of low inventory, reduced days on market, and multiple offers are signs of a seller’s market in these areas. While a benefit to those sellers, it’s stressful and time consuming for buyers. The experience and guidance of a REALTOR® is essential in these types of market conditions,” he adds.
“A major factor contributing to the lack of housing stock is the shortage of quality options for those who might list their homes. Move-up sellers feed the market for first-time homebuyers. Another issue which adds to a seller’s reluctance to put their home on the market is the B-20 stress test which affects their purchasing power,” Delahunt asserts.
“In Ottawa, we have a population base that’s increasing year over year with a growth rate of 8.8 percent, which is higher than Ontario (5.7%) and Canada as a whole (5.9%). Immigration and high employment levels are bringing residents to our desirable and affordable city,” he suggests.
Delahunt continues, “With high demand and limited supply, prices will continue to be pushed upwards – it’s a simple and fundamental economic principle. Although we appreciate the recent measures the federal government has taken towards affordable homeownership, all three levels of government need to work together at implementing mechanisms that will also restore the supply side of the market.”
The average sale price of a residential-class property sold in March in the Ottawa area was $480,143, a rise of 7.2 per cent over March 2018. The average sale price for a condominium-class property was $290,181, an increase of 5.2 per cent from this month last year.*
The $300,000 to $449,999 price range continued to represent the most active price point in the residential market, accounting for 43 per cent of March’s sales while 1 in 4 residential sales was in the $500,000 to $749,999 range. The most prevalent price point in the condominium market increased to the $225,000-$349,999 price range, accounting for 49 per cent of the units sold.
“The condo units in the entry-level range are near depletion as first-time homebuyers are trying to get into the market at the lowest possible price. Moreover, previous renters may have been pushed into condo ownership with rental vacancy rates in Ottawa at less than 1%. If there were concrete incentives for investors to purchase properties to lease or develop purpose-built rentals – it could certainly stimulate the rental market,” Delahunt concludes.
In addition to residential and condominium sales, OREB Members assisted clients with renting 550 properties since the beginning of the year.
* The Board cautions that the average sale price can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The calculation of the average sale price is based on the total dollar volume of all properties sold. Price and conditions will vary from neighbourhood to neighbourhood.
The Ottawa Real Estate Board (OREB) is pleased the federal government is taking measures towards supporting homeownership for many Canadians in the 2019 budget but suggests there were opportunities missed.
OTTAWA – The Ottawa Real Estate Board (OREB) is pleased the federal government is taking measures towards supporting homeownership for many Canadians in the 2019 budget but suggests there were opportunities missed.
“Some first-time homebuyers will be assisted through the shared-equity mortgage program and the increase of RRSP withdrawals to $35,000,” states Dwight Delahunt, OREB’s 2019 President. “However, we would’ve preferred a measure such as the one we proposed to government to increase the first-time homebuyers’ tax credit from $750 to $2500 as this would not have created another debt to be repaid.”
“While the government has said these measures are to help Millennials specifically, we question whether this cohort actually has this amount invested in RRSPs and whether they will be able to qualify for a shared-equity mortgage program. Many Millennials are facing affordability issues related to their income levels and student debt,” Delahunt asserts.
“We certainly applaud the modernization of the Homebuyer’s Plan to include those going through difficult life-changing circumstances, such as the breakup of marriage/common-law relationships – we have been advocating for this for some time,” he acknowledges.
“Direct measures to address the supply side challenges we are experiencing, particularly in our local Ottawa market, is another issue we would have liked to seen more concrete action on. Although the government has recognized the need to examine this matter further and is launching a challenge to municipalities and creating an expert panel to provide recommendations on the future of housing supply and affordability, we think this matter has already been examined by many experts and the government could have come up with more substantial measures,” Delahunt suggests.
“Our biggest disappointment was that government failed to make any adjustments to the B-20 (stress test) which was an attempt to cool two major markets in the country. We hope the government will continue to monitor the effects of its mortgage policies and be open to adjusting them if necessary. They need to recognize that while mortgage debt is on paper the largest component of household debt, it is the lines of credit and credit cards that can have a major impact due to the much higher carrying costs of these facilities.”
“As reported by the Canadian Real Estate Association (CREA), the economic and social benefits of homeownership are vital,” Delahunt concurs. “Between the $31.7 billion in spin-off spending and the creation of more than 216,000 jobs in 2018, a strong, healthy housing sector is crucial to the Canadian economy.”
Delahunt concludes, “Overall, we are satisfied with the attempts put forth by the federal government to address many issues involved in the housing market and appreciate their recognition of the valuable input provided by REALTORS®, and their Boards and Associations.”
Members of the Ottawa Real Estate Board sold 1,005 residential properties in February through the Board’s Multiple Listing Service® System, compared with 978 in February 2018, an increase of 2.8 per cent. February’s sales included 756 in the residential property class, a rise of 3.8 per cent from a year ago, and 249 in the condominium property class, a decrease of 0.4 per cent from February 2018. The five-year average for February sales is 949.
Members of the Ottawa Real Estate Board sold 1,005 residential properties in February through the Board’s Multiple Listing Service® System, compared with 978 in February 2018, an increase of 2.8 per cent. February’s sales included 756 in the residential property class, a rise of 3.8 per cent from a year ago, and 249 in the condominium property class, a decrease of 0.4 per cent from February 2018. The five-year average for February sales is 949.
“February has been a strong month, and with year-to-date unit sales 8% higher in both the condo and residential categories, it is looking very favourable for the spring market,” states Ottawa Real Estate Board’s 2019 President, Dwight Delahunt.
“Days on market continue to decline, and although inventory has fallen to its lowest level in many years, we are still managing to satisfy demand even with 900 fewer listings than this time last year,” he adds. “If we had more supply, our unit sales would be even greater.”
The average sale price of a residential-class property sold in February in the Ottawa area was $466,540, an increase of 8.6 per cent over February 2018. The average sale price for a condominium-class property was $288,354, an increase of 5.6 per cent from this month last year.*
“The Ottawa market is well ahead of inflation in regards to average prices for both condo and residential properties. We are in a comfortable position and remain one of the most affordable markets in the country,” Delahunt points out.
The $300,000 to $449,999 range continued to represent the most active price point in the residential market, accounting for nearly 44 per cent of February’s sales while 26 per cent of residential sales were in the $500,000 to $750,000 price range. Between $175,000 to $274,999 remained the most prevalent price point in the condominium market, accounting for 48 per cent of the units sold.
“If you are thinking about selling, don’t wait – get a jump on the spring market! Now is the time to have a conversation with your REALTOR® who understands the best way to position your home in the market and has the experience to guide you through its complexities,” Delahunt suggests. “This is the type of market you certainly wouldn’t want to navigate without one.”
In addition to residential and condominium sales, OREB Members assisted clients with renting 342 properties since the beginning of the year.
* The Board cautions that the average sale price can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The calculation of the average sale price is based on the total dollar volume of all properties sold. Price and conditions will vary from neighbourhood to neighbourhood.
Members of the Ottawa Real Estate Board sold 820 residential properties in January through the Board’s Multiple Listing Service® System, compared with 708 in January 2018, an increase of 15.8 per cent. January’s sales included 611 in the residential property class, a rise of 14.2 per cent from a year ago, and 209 in the condominium property class, an increase of 20.8 per cent from January 2018. The five-year average for January sales is 683.4.
Members of the Ottawa Real Estate Board sold 820 residential properties in January through the Board’s Multiple Listing Service® System, compared with 708 in January 2018, an increase of 15.8 per cent. January’s sales included 611 in the residential property class, a rise of 14.2 per cent from a year ago, and 209 in the condominium property class, an increase of 20.8 per cent from January 2018. The five-year average for January sales is 683.4.
“January is typically one of the slowest months of the year for local real estate. Yet, in spite of the record cold and snowfall, unit sales are up almost 16%. This is the highest number of January transactions we have experienced in decades,” states Ottawa Real Estate Board’s 2019 President, Dwight Delahunt.
“Buyers are extremely motivated, despite the weather, and properties are moving very quickly as days on market continue to decline,” he adds. “If you’re thinking of selling, you don’t have to wait for spring. A REALTOR® is in the best position to assist in this active market where buyers are waiting for the opportunity.”
The average sale price of a residential-class property sold in January in the Ottawa area was $432,829, an increase of 1.5 per cent over January 2018. The average sale price for a condominium-class property was $283,990, an increase of 7.7 per cent from this month last year.*
“Even though inventory is at its lowest level in years, Ottawa’s home prices reflect reasonable appreciation. New builds are helping prices remain stable with homebuilders adding enough supply to keep the market equitable. We don’t have the supply constraints of Toronto and Vancouver because we have serviceable lots within a 20-minute drive,” Delahunt points out.
“Similar to the fact that you don’t need to own a BMW to get where you want to go, some of the more expensive neighbourhoods in the city are a lifestyle choice. The fact is there is quality affordable housing available for almost every level of homebuyer in Ottawa.”
The $300,000 to $449,999 range continued to represent the most active price point in the residential market, accounting for nearly 42.5 per cent of January’s sales while 22.7 per cent of sales were in the $500,000 to $750,000 price range. Between $175,000 to $274,999 remained the most prevalent price point in the condominium market, accounting for 54.1 per cent of the units sold.
When asked what he forecasts for the upcoming year, Delahunt speculates, “Based on last month’s sales, I’d say we go with Wiarton Willie’s prediction – it will likely be an early spring for the real estate market as well.”
In addition to residential and condominium sales, OREB Members assisted clients with renting 169 properties in January 2019.
* The Board cautions that the average sale price can be useful in establishing trends over time but should not be used as an indicator that specific properties have increased or decreased in value. The calculation of the average sale price is based on the total dollar volume of all properties sold. Price and conditions will vary from neighbourhood to neighbourhood.
