Thanks to a much-needed surge in new listings coming onto Ottawa’s resale residential real estate market in September, there was a 51 % increase in the number of properties sold compared with September of 2019, the Ottawa Real Estate Board has reported.
In a month that is usually quieter than the busy spring-summer period, members of the Ottawa Real Estate Board sold 2,329 residential properties in September 2020, up from 1,547 that were sold in September of 2019.
It continues the steady increase in transactions we have seen since April, and it’s also well-above the five-year average for September sales, which is 1,602.
For many months, the Ottawa market’s inventory has been lower than usual, but there was a continued rise in new listings, which we also saw in August.
In September, we saw 2,165 residential properties and 744 condominium units enter the Ottawa market _ an increase of 32% and 45% respectively over the number of new listings in September of last year, the Real Estate Board reported.
The average resale price of a residential property in September was $622,557 _ an increase of 28 % over the average sale price in September of last year. The average resale price of a condominium unit in September was $373,565 _ up 21% from September of last year.
The average sale prices year-to-date, which are more revealing than the average price for a specific month, is $575,506 for a residential-class property and $360,550 for a condominium unit.
Those numbers are up 19% and 20% respectively over the prices from the same period in 2019, the Ottawa Board reported.
“The sheer volume of transactions in September, compared to a year ago, confirms the Ottawa resale market is continuing on its upward trajectory,” Real Estate Board President Deb Burgoyne said in a statement.
Though she added it’s difficult to predict whether this momentum will continue, she said “the continued increase in new listings and demand remaining strong allows us to be cautiously optimistic.”
As it always does, the Real Estate Board cautions that the average resale price for a specific month can be useful in establishing trends over time, but should not be used to indicate that specific properties have increased or decreased in value.
The average sale price for residential units in September was unusually high, and Deb Burgoyne says “ the movement at the higher end of the market is likely driving this figure higher. September’s median prices, which are calculated removing the extreme upper and lower prices, do show more moderate price gains, coming in at $570,000 for residential properties and $350,000 for condominiums.”
Even with the surge in new listings, the inventory remains lower than usual. As Deb Burgoyne notes, this “will continue to put sellers in a position to capitalize on the current market.”
The lower shortage has seen multiple offers increasingly common, and Burgoyne says it’s meant some buyers have been more willing to consider properties that don’t meet every item on their dream list.
On a positive note, if we see a continuation in coming months of the surge in new listings we saw in August and September, the Ottawa market could finally start to become a more balanced one.
“At the end of the day, Realtors represent both buyers and sellers, so a balanced market would be welcomed relief for everyone,” Deb Burgoyne notes.
“We would like to see both sides get over the finish line with a feeling of elation, and that they’ve had a positive experience on their home ownership journey.”
If you’re considering buying or selling property in Ottawa, I’d be happy to meet and chat with you about the current market and conditions in your area of the city. With more than 30 years of experience as Realtor in Ottawa, I’ve helped clients navigate a wide range of market conditions.
You can read more about me and my team at www.nancybenson.com. Feel free to give me a call, at 613-747-4747.