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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