Joanne Clemens | Sizzling Summer Continues into August
post-template-default,single,single-post,postid-2273,single-format-standard,ajax_updown,page_not_loaded,,qode-child-theme-ver-1.0.0,qode-theme-ver-9.2,wpb-js-composer js-comp-ver-6.5.0,vc_responsive

Sizzling Summer Continues into August

Sizzling Summer Continues into August

OTTAWA, September 5, 2019 – Members

of the Ottawa Real Estate Board sold 1,731

residential properties in August through the

Board’s Multiple Listing Service® System,

compared with 1,581 in August 2018, an

increase of 9.5 per cent. August’s sales

included 1,300 in the residential-property

class, up 9.7 per cent from a year ago, and

431 in the condominium-property category,

an increase of 8.8 per cent from August

  1. The five-year average for August

unit sales is 1,522.

“August’s ten percent increase in unit sales

from 2018 is over twice the percentage

increase experienced last year and

three times higher than the previous

August,” reports Dwight Delahunt,

Ottawa Real Estate Board President.

“However, although the numbers are up,

Ottawa continues to undergo issues with

inventory as the limited supply persists.”

August’s average sale price for a

condominium-class property was

$308,781, an increase of 11.5 per cent

from last year while the average sale

price of a residential-class property was

$484,921, an increase of 11.8 per cent

from a year ago. Year to date figures show

an 8.4 per cent and 7.9 per cent increase

in average sale prices for residential and

condominiums respectively. *

“Year to date average prices, which

are more reliable indicators than

monthly average prices, show steady,

reasonable, and sustainable increases.

We don’t anticipate there will be a major

correction in the foreseeable future,”

Delahunt maintains.

The $350,000 to $499,999 price range

was the most prevalent price point in the

residential market, accounting for 42 per

cent of August’s transactions while 27

per cent of residential sales were in the

$500,000 to $749,999 range. The most

active price point in the condominium

market has increased again in 2019 to

$250,000-$399,999, accounting for 50 per

cent of the units sold.

“As to be expected, now that the units

in the lower end of the condo market

have been acquired, there appears to be

another upward movement in the prices

of available condominiums,” Delahunt

points out. “Statistics show the higher

end of the residential market has picked

up with the doubling of unit sales in the

$750K to $1M price range from this time

last year,” he adds.

When questioned about the government’s

First-Time Home Buyer Incentive (FTHBI)

which came into effect on September 2,

Delahunt cautions, “It’s too early to tell

what the impact will be or if there will be

any impact in Ottawa’s market – these

measures are not helping the supply

side. We continue to call on all three

levels of government to implement

actions to increase supply which will

facilitate restoring balance to our local

real estate market.”

“Coming into the fall months, which are

typically busy, we expect the market

will continue to pick up steam,” he

speculates. “Your home purchase or

sale is not a DIY project; there’s too

much at stake. Be sure to find a local

REALTOR® with the depth of knowledge

and experience that is warranted in one

of the biggest investments you will make

in your life.”

In addition to residential sales, OREB

Members assisted clients with renting

1,906 properties since the beginning of

the year.

* The Board cautions that the average sale

price can be useful in establishing trends

over time but should not be used as an

indicator that specific properties have

increased or decreased in value. The

calculation of the average sale price is

based on the total dollar volume of all

properties sold. Price and conditions

will vary from neighbourhood to