Ottawa’s real estate market starts off slow in January 2020
Ottawa’s inventory shortage impacts the resale market with increased prices and decreased sales.
Although December closed out the decade with record-breaking numbers, the January real estate market saw a decrease in sales and a slowdown in momentum.
Throughout the month of January, 817 residential properties were sold, a decrease of 4.5% compared to last year. Of these sales, 558 were residential homes and 222 were condominiums.
According to Ottawa Real Estate Board President Deborah Burgoyne, “the persistent supply challenges seem to have finally caught up with us.” While the shortage of inventory in Ottawa has occurred for several months, it’s only just now that it’s impacting market momentum.
In January, the average sales prices for residential homes was $516,229, an increase of 19.3% from the previous year. Meanwhile, the average sale price for condominiums was $338,077, an increase of 19.1% from the previous year.
Burgoyne notes that the Ottawa market is increasing at a reasonable and sustainable pace, and that buyers should not see this as a reason to wait. “If buyers are waiting for prices to decline, based on historical trends, it’s not likely,” says Burgoyne. ‘It’s a challenging market for everyone.”
Full OREB news release: January Resales Lose Momentum.
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