October was another strong month for the resale market
The national election could not slow down our October housing market here in Ottawa. Some impressive numbers were just released by the board.
The numbers show that October 2015 outpaced last year as well as the five-year average. Members of the Ottawa Real Estate Board sold 1,161 residential properties in October through the Board’s Multiple Listing Service® System, compared with 1,119 in October 2014, an increase of 4 per cent. The five-year average for October sales is 1100. The expected slow-down leading up to the Federal Election simply didn’t happen!
The resale market in Ottawa continues to be very stable and inventory has consistently declined since the busy spring market last May, bringing us back into balanced territory. Cumulative days on market also came down slightly to 86 days from 93 days in September.
The soft spot in our market right now is downtown high-rise condos segment. A recent CMHC report cautioned builders that there is an over-supply of this market currently. Supply simply out paces demand right now. This is starting to show in some pricing incentives from current builders to get rid of unsold inventory in fully competed buildings. This is something we will have to keep an eye on for sure.
Since every area is quite different, please give me a call if you are thinking about buying or selling – or even if you are simply curious to know what your home might be worth on today’s market. I am always happy to talk real estate!
It has been one of the more interesting Ottawa real estate markets to observe over the course of 2015. Every month has left different clues on what the future will hold. The good news is that September is leaving more room for optimism then some of the previous months.
There were 1,244 residential properties in September through the Board’s MLS System, compared with 1,131 in September 2014, an increase of 10 per cent. This September marks the best September on record for the number of units sold in the Ottawa resale market. The five-year average for September sales is 1,137.
Inventory levels in Ottawa were down by over 4 per cent since last month. This is very positive news. The inventory levels have been much higher then usual in Ottawa this year. This new decline will be bringing the Ottawa resale market into more balanced territory in many neighbourhoods and segments of the market. Cumulative days on market increased slightly to 93 days, up from 89 days in August. Houses are taking much longer to sell this year because of all the extra competition in the market. Statistics are proving that sales are on track with previous years. The market is good – it is just more balanced because of the higher inventory levels.
The average sale price of a residential-class property sold in September in the Ottawa area was $385,142, an increase of 0.5 per cent over September 2014. The average sale price for a condominium-class property was $257,303, an increase of 1.3 per cent over September 2014.
If you want to know what’s happening in your neighbourhood, give me a call or drop me an email. I am never too busy to help.
This is an interesting development that may affect military postings into and out of Ottawa. With the move to the new DND headquarters the military is making an effort to get leaner.
Part of the Defence Renewal Program launched in 2013, the initiative to reduce the number of staff at Ottawa’s NDHQ by between 846 and 1034 “full-time equivalents” is still in the analysis phase and no changes to personnel have been implemented to date.
The overall size of Ottawa’s DND workforce is expected to remain the same since the focus will be on moving employees into higher priority areas or towards higher value work such as support to Cyber Security or the Canadian Military’s Space Program. In total, between 2,800 and 4,800 military and civilian personnel across the country could be moved. This could lead to a very active posting season in 2016 and 2017, with many military personnel being transferred. The effort is complex and will take several years to complete. Re-training and re-location will be utilized if necessary.
It appears that as many as 1,000 civilian jobs have been eliminated because of ongoing government-ordered cutbacks at DND. In some instances, private firms are being brought in to supply non-union workers for positions such as clerks, cleaners and kitchen staff. It is possible that there could be more civilian cuts at NDHQ because of the expected changes.
If you have any real estate related questions, it is never too soon to ask them!!
Ottawa is a very popular destination for military postings. This has given me the opportunity to help dozens of military families get settled in Ottawa. Working with military families has always been the favourite part of my job. Military clients understand the process and do what it takes to get their home ready for sale. As buyers they realize that relocation is just part of the job.
I had the pleasure of helping Heather and Alex sell their Ottawa home this summer. This was the fourth transaction I have helped them with. I also got them setup with a great Realtor in Fredericton. They are such a joy to work with. It was the fourth time in 7 years they have moved cities. Think about that! That is incredible! It is not easy to just pick up and move to a new city – especially with a young family. These sacrifices often go un-noticed. They are among the many reasons why we should all hold our CAF members in such high regard.
Thank you for all you do!
It has been a good summer for Ottawa real estate, though prices are still fairly flat and there are some listing inventory concerns. August was a good month with unit sales increases for both residential properties and condos. Residential unit sales are up 5.3% YTD and the average selling price is up 1.9% to $395,437. Condo unit sales are down slightly by .5% YTD and the average selling price is down by 1% to $260,017.
On the residential front, the number of listings currently reported by the Board is 31.8% higher than the 5 year average. The number of current condo listings is 52% higher than the 5 year average. With these inventory levels, we can expect to see continued price pressure.
Some sellers may be leaving the market as there was a high level of listing expiries, withdrawals and cancellations in August. Perhaps sellers are waiting for a change in the market. Rental transactions involving Realtors are way up this year so many sellers may also be looking to rent their properties if they cannot secure a satisfactory sale.
As a rule, the real estate business is steady in September and October but starts to fall off in November, so sellers should plan accordingly. With properties generally taking longer to sell in our current market, the best time window for getting a property on the market is now!
Buying or selling a home is a major transaction and should be done with the advice of an experienced real estate agent. I would love to be that person so please give me a call.
This August I had the pleasure of working with Erick and Mandy for the fourth time. One of my favourite clients! They originally relocated to Ottawa from the Petawawa base about 9 years ago. They bought a small townhouse in Kanata. It was the perfect place for them at the time. A few years later they were ready for a larger detached home and purchased a great family home in Stittsville. Like most military families, their time in Stittsville was fairly short lived as they were relocated to Oshawa. Now they are moving back to Ottawa. The house they purchased this time around is their dream house. It is truly an amazing home. 3600 sq/ft of luxurious living space – complete with a full theatre in the basement and every upgrade one could ask for. It has been so cool to be a part of their rise through the property ladder. Home ownership is an amazing opportunity for people to build wealth and open up the possibility of one day living in their dream house.
Don’t forget to give me a call if you have any real estate needs. I would love to help you find your Dream Home!
Members of the Ottawa Real Estate Board sold 1,436 residential properties in July through the Board’s Multiple Listing Service® system, compared with 1,440 in July 2014, a decrease of 0.3 per cent. The five-year average for July sales is 1,380.
The average cumulative days on market increased slightly to 78 days, compared to 74 last month. Inventory levels remain high, meaning we are in a Buyer’s market in most segments of the market.
The average sale price of a residential-class property sold in July in the Ottawa area was $394,889, an increase of 4.5 per cent over July 2014. The average sale price for a condominium-class property was $255,102, a decrease of 2.6 per cent over July 2014.
The $300,000 to $400,000 price range continues to have the highest concentration of properties sold and it is two-storey residential properties that continue to have the highest concentration of buyers in Ottawa.
If you are curious to know whats happening in your area, feel free to get in touch. I am always happy to help!
Year to date sales for the first half of 2015 are up 4.9% over the same period in 2014. This is very positive news for the Ottawa real estate market. Low interest rates and a good local economy have helped sustain these levels. There is more inventory this year than in years past so Buyers do have more choice. Even so, with the increase in sales this June, our market is in a balanced position except for the condo market which remains a Buyers’ Market.
Members of the Ottawa Real Estate Board sold 1,694 residential properties in June through the Board’s Multiple Listing Service® system, compared with 1,657 in June 2014, an increase of 2.2 per cent. The five-year average for June sales is 1,664.
Properties continue to move consistently and inventory levels at the end of the month are higher than usual but still healthy and on par with May levels. Average cumulative days on market is steady at 74 days.
The average sale price of a residential-class property sold in June in the Ottawa area was $404,254. The average sale price for a condominium-class property was $271,415
The number of residential units sold in June increased in every price range from $350,000 and above, and the $300,000 to $400,000 price range continues to have the highest concentration of properties sold.
Every area is different so if you are thinking of buying or selling, I do hope you will get in touch with me. Referrals are the basis of my successful business so keep them coming! I always have time for Real Estate questions.
The Ottawa resale market remains steady and strong!
This has been the most active May since 2009. Despite all the doom and gloom you hear on the news, the Ottawa real estate market remains very stable. The inventory levels are high which means lots of selection for buyers. By most accounts it would be considered a buyers’ market right now in Ottawa – especially in the central condo market.
Members of the Ottawa Real Estate Board sold 1,926 residential properties in May through the Board’s Multiple Listing Service® system, compared with 1,789 in May 2014, an increase of 7.7 per cent. The five-year average for May sales is 1,812.
The average cumulative days on market was 72 days in May, compared to 74 last month. The average sale price of a residential-class property sold in May in the Ottawa area was $411,791, an increase of 2.6 per cent over May 2014. The average sale price for a condominium-class property was $266,940, a decrease of 4.9 per cent over May 2014.
Since every area is slightly different, please don’t hesitate to give me a call if you are curious about what is happening in your neighborhood.
According to CMHC, MLS® sales are expected to remain flat between now and the end of 2016 and in spite of flat sales and rising listings, balanced market conditions will prevail in 2015. Listings will edge higher in 2016 and, as a result, the average price of a resale home will show a small increase.
Total housing starts are expected to decrease slightly mostly due to a reduction in condo apartment starts. The inventory of completed and unsold condo units will gradually decrease causing starts to edge up again in 2016.
Housing demand is expected to remain steady in Ottawa in 2015 due to low mortgage rates and affordable prices. This may change in 2016 with modest price growth and potentially higher mortgage rates.
An increase in the supply of secondary rental market units will provide more options for renters this year but this will be short-lived as the demand for rental units is expected to increase in 2016.
If you are curious about property values in your Ottawa neighbourhood feel free to get in touch.