Ottawa’s June 2023 resale market showed hopeful signs for the coming six months despite a slip in sales and some other indicators as the month progressed, according to the latest numbers from the Ottawa Real Estate Board.
Last year was painful for the resale market as sales and prices plummeted after almost two years of an overheated market that kicked off during the pandemic. Since January of this year, the resale housing market has been slowly gathering steam, with transactions and prices edging back up despite occasional setbacks.
In June, Realtors sold 1,658 residential properties through the board’s Multiple Listing Service (MLS). While that’s down from May’s 1,939 transactions — not unusual as buyers’ minds turn to summer activities — and lower than the five-year average of 1,881, it’s an 11 per cent jump over last June’s sales of 1,493 residences.
The June 2023 resale market saw 1,234 freehold properties sold, up 10 per cent from a year ago, and 424 condominiums, a 16 per cent increase from June 2022.
“Although June’s transactions surpassed last year’s, the number of sales, average prices and new listings declined on a week-to-week basis over the course of the month,” said board president Ken Dekker in a statement. “Compounded by the typical summer decline in activity, the Bank of Canada’s interest rate adjustment at the beginning of the month may have also flattened the curve.”
MORE: May resale market back in sellers’ territory
Prices and listings dip
The average sale price for a freehold home in June was $746,445, a decrease of four per cent from 2022, but still on par with May 2023 prices. Condos fetched an average of $448,380, an increase of two per cent from a year ago and up one per cent over May 2023 prices.
For the year to date, freehold sale prices have averaged $731,847 and condos have averaged $432,885, a 10 and seven per cent decrease respectively compared to the same period last year.
June’s new listings of 2,758 were 14 per cent lower than the same month last year and down two per cent from May 2023. However, listings were off only marginally from June’s five-year average of 2,802.
The inventory of freehold properties (2.1 months in June) and condos (1.4 months) is again trending up, and days on market in June changed little from May.
“Supply is trending in the right direction. The increase in inventory is encouraging and indicates sellers have confidence in the market. A growing resale housing stock will result in more selection for buyers and more sales,” said Dekker. “We are looking forward to a strong second half of 2023 in terms of sales volume and prices compared to last year.”
