The average sale prices for condominium units and residential homes in Ottawa were up by double digits in April, and Ottawa continues to be a seller’s market, with multiple offers still common in some areas, the Ottawa Real Estate Board reports.
In April of 2022, the average sale price for a condominium unit was $473,702. That’s an increase of 11% over the average sale price in April of last year, the Board says.
The average sale price for a residential-class property in April was $829,318 _ an increase of 12% over the average price in April of 2021.
Looking at sale prices from January to April of this year, the average sale price for a residential-class property was $830,588 for residential properties (up 13% from the same period last year) and $469,603 for condominium units _ up 12% from the same four months in 2021.
Members of the Ottawa Real Estate Board sold 1,889 residential properties in April through the Board’s Multiple Listing Service (MLS) system. That’s a decrease of 21% from the number sold in April of last year, but it’s still above the five-year average for April sales, which is 1,849.
Penny Torontow, Ottawa Real Estate Board President, said the decline in total transactions from last year’s numbers could stem from a few factors, including rising interest rates, April’s cooler temperatures and low inventory, which might have prompted some buyers “to pull back with a wait-and-see approach. We are watching the rest of the Spring market to determine if this could perhaps be an early indicator of a shift in the market. Since April is only one month, we will be monitoring to see if it becomes a trend moving forward.”
Still, she added, “the fact remains that it is still a seller’s market, with supply under one month. Bidding wars and multiple offers persist in some pockets. Prices continue to rise, albeit moderately, and the market remains relatively strong.”
She said “Limited supply and high demand will continue to place upward pressure on prices. As long as there are buyers willing to pay, average prices will reflect the inventory shortage. However, it is conceivable that price growth may moderate, as we do not see the level of price escalations that occurred earlier in the pandemic.”
If you have are considering buying, there was some potential good news in April. Although the number of new listings in April, at 2,846, was down 11% from April of last year, the number was still 10% over the five-year average for new listings in the month. And there were 214 more new properties in April than in March of this year.
“This has increased Ottawa’s months of inventory to just under a month’s supply. In March, it was just over two weeks. This is good news for potential buyers, as they will have more opportunities to enter the market,” she said.
The Real Estate Board cautions, as it always does, that while average sale prices for a given month can be useful in establishing trends over time, they should not be taken as an indicator that specific properties have increased or decreased in value. As with any city, prices and price increases in Ottawa will vary from neighbourhood to neighbourhood.
If you’re considering buying or selling property in the Ottawa area, I’d be happy to chat with you about conditions in your area of the city. With more than 30 years of experience assisting clients in a wide range of markets, I know the city and its neighbourhoods well, and I’ve developed successful strategies for buyers and sellers in our current market.
You can read more about me and my team on my site, www.nancybenson.com. Feel free to give me a call, at 613-747-4747.