Compared to previous months, Ottawa’s real estate market has seen a significant slowing down down this March. This drop in residential unit sales can be attributed to the continued lack of inventory that the Ottawa real estate market has been experiencing for some time. This depletion of supply is contributing to significant reductions in days spent on market, with new properties selling very quickly and often selling over the listing price.
“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,” states Ottawa Real Estate Board’s President, Dwight Delahunt.
- Members of the Ottawa Real Estate Board sold 1,511 residential properties in March 2019 (an increase of 8.6 per cent from the previous year).
- There were 1,136 sales in the residential property class (a drop of 12.4 per cent from a year ago) with an average sale price of $480,143.
- March saw 375 sales in the condominium property class (an increase of 5 per cent from March 2018) with an average sale price of $290,181.
- The $300,000 to $449,999 range remains the most active price point in the residential market, accounting for 43 per cent of home sales.
- The most active price point in the condominium market increased to the $225,000-$349,999 price range, accounting for 49 per cent of the units sold.
These dynamics of low inventory, reduced days on market, and multiple offers are signs of a seller’s market in these areas. While it is beneficial to those looking to sell their homes, a seller’s market can prove a stressful and overwhelming time for homebuyers. If you are searching for a home and finding yourself getting frustrated as the continued low inventory creates an increasingly competitive market, read our latest blog post: How to Avoid Buyer Fatigue in a Seller’s Market.
If you are seeking any kind of support in listing your home, purchasing a new home, or in learning more about the current real estate market in Ottawa, 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.