| Buying

 

During a time in history and during the time of year that one could expect the Ottawa resale market to taper off, surprisingly it has held its strength. Ottawa Real Estate Board President Deb Burgoyne has remarked “We continue to experience strong activity in Ottawa’s resale market during the time of year when we would typically see a slowdown. I’m confident in saying that if we had more supply, sales would be even higher.” Deb Burgoyne has also stated that year to date prices are a more reliable predictor of the trends of property prices over time. These trends are especially telling when viewed from the fourth and final quarter of the year.

Looking at November of 2019 year to date average prices compared to that of November 2018, there was a 3-5% gain. November of 2019 held a 9% gain over 2018 in year to date average prices for both residential and condominiums. Presently, as of November 2020 we see a 19-20% rise in year to date average prices over 2019. This upwards trajectory may be due to the inventory decrease. As of November 2020, the residential housing stock in Ottawa was 50% lower than that of November 2019. This dip in inventory which began around April of 2020 could have resulted in a concurrent dip in residential house sales, but this turned out not to be the case as year to date there has been an increase in total sales compared to that of the first 11 months of 2019.

 

Home Sale Prices

This year, the average price paid for residential properties year to date is $581,120, which is a 20% rise from the comparable 11 month period in 2019. The average selling price for condominiums year to date is $361,674, showing a 19% increase from 2019’s first 11 months. These home prices became possible due to several factors including interest rates being at historical lows resulting in lower mortgages, low inventory of homes and homeowners looking for more space during a global pandemic.

 

Buying Trends and Homes Sold

The current state of the global pandemic COVID-19 did not slow down the Ottawa real estate market. Realtors selling homes across the greater Ottawa have sold almost 13,800 properties during the first 11 months of this year. Year to date for 2020, Ottawa has seen an approximate 2% increase in total sales for residential properties as compared to that sold in the same period of 2019. A good amount of these homes were sold in towns outside of Ottawa’s urban areas as the desire for more space is creating a shift in buyer trends. When it comes to must-haves, space for a home gym or home office and more square footage for overall comfort has become increasingly important for buyers during times when so many people are working remotely at home.

The Ottawa housing market has been favouring sellers for much of 2020. We are continuing to see low inventory coupled with high demand. It may seem daunting to sell your home during COVID-19, but it may be just the right time to leverage your home’s worth into a property that offers you the comforts and needs you have been living without. If you’re interested in learning more about the value of your home and how you could strategically use that value to meet more of your needs, our team at the Sylvain Bourgon Real Estate Group are incredibly versed and experienced in helping people do just that.

 


 

If you are seeking advice on buying a home or selling a home in the Ottawa area, or have more questions for us, we are happy to provide you with helpful guidance and support. Email us at info@buyandsellottawa.ca or call us at 613-590-3036.