February Real Estate Market Summary
Currently, the Ottawa real estate market is suffering with a supply side issue. Despite the fact that buyer demand is high, a lack of available properties for sale in both the residential-class and condominium markets, meant that sales were not as high as they could have been in the Nation’s Capital last month. Additionally, as a result of the urban boundary and land prices going up, new construction projects are slow in getting to market. If this decline in inventory continues, buyers can expect to find themselves shortly competing for property as Ottawa enters a seller’s market.
- Members of the Ottawa Real Estate Board sold 979 residential properties in February (a decrease of 2.3 per cent from the previous year).
- 729 sales in the residential property class with an average sale price of $429,600.
- 250 sales in the condominium property class with an average sale price of $273,174.
- The most active price point in the residential market is the $300,000 to $449,999 range, accounting for 47 per cent of the market.
- The most active price point in the condo market is the $150,000 to $249,999 range, which accounts for 56 per cent of the market.
The condo market is seeing strong growth at the moment, recovering some momentum from its slump in the past few years. This growth is largely bolstered by a limited supply in the rental market, meaning that many renters are looking to purchase lower-priced condos instead.
Ottawa Real Estate Board President, Ralph Shaw, states that, “Ottawa is beginning to experience similar indicators that have ultimately led to challenging real estate markets in our larger metropolitan cities. It starts with supply shortages which eventually lead to affordability issues. The city in particular needs to have an intelligent vision about how to support and stimulate all aspects of the market from new construction through to the rental market availability.”
For anyone looking to sell this year, now is a great time to put your home on the market. If you are seeking any kind of support in listing your home, purchasing a new home, or in learning more about how the current change in mortgage regulations could affect you, please contact our team of expert Realtors® at Royal LePage Performance Realty today. For more information on monthly real estate statistics in Ottawa, visit the Ottawa Real Estate Board.