The Ottawa real estate market just keeps rolling along, with another double digit sales increase recorded in the month of October and continuing listing inventory shortages, with less than 2 months of anticipated sales currently on the market.
Residential unit sales for the month were 16.9% more than October 2018 and the number of condos sold was up 23% during the month.
Monthly average selling prices upward bound:
The average selling price of a residential property during October was $483,405 an increase of 7.6% over last year and the average condo sold for $319,208 which was up 18.3%. On a year to date basis, the average residential price is up 8.3% and the average condo is up 9.1%
Listing inventory continues to slide:
Residential listings are down 22.3% vs last year at the same time and condo listing inventory is down a significant 38.8%. New listings are not taking up the slack and are pretty flat vs last year, so our increasing sales continue to chew through available listing inventory.
Our number of listings currently available, is less than 1 per Realtor member of the Board.
36% of homes selling above asking:
This is a great new stat the Board is tracking and providing, so members and consumers are aware of the real degree of multiple offers. So while it is quite common, it is not happening for every listing. The Board noted in its release that in Oct 2018, only 21% of homes sold were sold above listing price, so our continuing inventory shortages are creating more competitive offer activity, although it should also be mentioned that a high % of listings are holding back offers, which can create a multiple offer situation.
Election fallout?
With the minority Federal government coming out of the election, it is highly unlikely the local economy will suffer, as both the Libs and NDP try to out-left one another, which only means more program money and staffing in the National Capital Region. So our local economy should continue to be quite healthy for the duration of the minority government.
Recent job numbers:
Ottawa’s unemployment rate dropped to 4.2% in October, the lowest it has been since 2007, yet another positive indication that the bull market in real estate should continue in the short to intermediate term, those planning a move may consider acting on their plans, as that home under consideration may well cost $30 or $40K more next year.
Normally the start of hibernation period…but perhaps not this year?
Mid November is normally when real estate activity eases seasonally and troughs out for 90 days or so, until we get through the worst of winter and then things get brighter and more active mid-February on. This market, however, should continue to post gains, though the seasonal slump should still occur as usual.
We are working hard to ramp up our blog and are happy to be added to a National list of real estate blogs which you can check out here: https://blog.feedspot.com/canada_real_estate_blogs/
Gord McCormick, Broker of Record
Dawn Davey, Broker
Oasis Realty Brokerage 613-435-4692