The Ottawa resale market in November continued to boom at a time of year when it normally starts to dip, according to the Ottawa Real Estate Board. The ongoing bustle sustained a multi-month sales trend that has also seen prices surge.
Members of the board sold 1,611 residential properties in November through the Multiple Listing Service (MLS), a 26-per-cent jump over the 1,284 sold in the same month last year. Sales also outstripped November’s five-year average of 1,257.
Last month’s sales included 1,209 in the non-condo class and 402 condos. In both cases, sales were up more than 22 per cent over last November.
The pandemic and inventory levels
Despite a sales plunge during April and May, when the pandemic blindsided the housing market, “the pandemic overall did not slow down the resale market, and our year-to-date transactions are now on par with 2019,” said board president Deb Burgoyne in a statement.
Sales would have been even higher had more supply been available, she continued. Lack of inventory is a long-running problem in the busy Ottawa resale market, and Burgoyne noted that while the number of new listings was up over last November, Ottawa’s resale housing stock is down 50 per cent compared to this time last year.
November listings generally slow as potential sellers turn their attention to the upcoming holiday season, she added.
Prices and condo listings up
It’s no surprise to learn that resale prices also accelerated again in November.
The average sale price of a non-condo property was $602,892, a jump of 20 per cent from a year ago. Condos came in at $361,758, an increase of 15 per cent. Year-to-date prices are now up 19 to 20 per cent over 2019.
High resale price growth can be attributed to low inventory, said Burgoyne.
She also noted that condo inventory was up last month, as units stayed on the market longer. The board commented on this in its October report as well, pointing to factors like buyers seeking larger homes as they face a prolonged period of working from home because of the pandemic.
“Whether it be small town vs. downtown living, a recreational property with acreage, be closer to golf courses or waterfront, rural spaces or hobby farms — (working remotely) opens up the options beyond the classic property types of condominiums or single-family homes in suburbia.”