There were 1,724 residential properties sold in July compared with 2,183 in July 2020, a decrease of 21%. Of those sales, 1,312 were in the residential-property class, and 412 in the condominium-property category, a decrease of 20% and 24% from July 2020. The five-year average for total unit sales in July is 1,775.
“July’s unit sales followed the traditional cycle of the spring and summer markets, which tend to peak around April or May and then slow down as Buyers and Sellers turn their attention to their vacations and other outdoor recreational activities,” states Ottawa Real Estate Board President Debra Wright. “This year’s figure is closer to 2019’s (1,838 sales) and just shy of the 5-year average, with the slight decline in transactions perhaps due to the combination of summer and the reopening of the economy last month. Certainly, the marked decrease from last year’s July sales is due to the spring 2020 lockdown, which had shifted the 2020 resale market’s peak to the summer and fall months,” she adds.
Average sale price in July for a condominium-class property was $419,545, an increase of 17% from this time last year, while the average sale price for a residential-class property was $685,426, also an increase of 17%. With year-to-date average sale prices at $728,107 for residential and $422,339 for condominiums, these values represent a 30% and 20% increase over 2020, respectively.
“Following the same trend as sales, the month-to-month average prices decreased marginally by 4-6% compared to June; however, this minor dip is consistent to what typically happens during the summer months. Overall, average prices have increased considerably from 2020, and year-to-date values are holding steady. Still, Sellers will need to keep in mind that the multiple offer frenzy experienced previously is no longer the norm, and they may need to have more realistic expectations when positioning their homes and settling on a listing price with their REALTORS®.”
“We are seeing the housing stock increasing with residential inventory up 19% and condominium supply 23% higher than 2020. Although there were 700 fewer listings than in June, the number of properties that entered the market in July is over the five-year average by approximately 114 units. Along with the price stabilizations, we hope this may indicate that Ottawa’s resale market is moving towards a more balanced state, which would be good for everyone,” suggests Wright.
In addition, there have been 2,706 properties since the beginning of the year compared to 1,883 at this time last year.
Information sourced from the Ottawa Real Estate Board.