Real Estate

Ottawa and Surrounding Area Real Estate market discussion

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  • May 12th, 2021 8:03 am
Deal Fanatic
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Dec 27, 2009
7300 posts
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Victoria, BC
BlueSolstice wrote: I drive by that project all the time. I guess they've established that stacked towns in Kanata north is viable for new builds, unlike high rise condos. I expect builders to start pushing stacked towns in rest of Kanata soon. Much better use of land than two story towns.
Meh, who would want to live in them? I hate stacked towns. It is pure greed.
Member
Jul 25, 2008
400 posts
274 upvotes
ottawa
is oreb advocating for government handouts to condo rental investors?

good god real estate agents are scum.
Deal Addict
Jan 15, 2017
4002 posts
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audiorichard wrote: March 2019 data:

...

Members of the Ottawa Real Estate Board sold 1,511 residential properties in March through the Board’s Multiple Listing Service® System, compared with 1,654 in March 2018, a decrease of 8.6 per cent. March’s sales included 1,136 in the residential property class, a drop of 12.4 per cent from a year ago, and 375 in the condominium property class, an increase of 5 per cent from March 2018. The five-year average for March unit sales is 1,402.
...
“In Ottawa, we have a population base that’s increasing year over year with a growth rate of 8.8 percent, which is higher than Ontario (5.7%) and Canada as a whole (5.9%). Immigration and high employment levels are bringing residents to our desirable and affordable city,” he suggests.

...
The average sale price of a residential-class property sold in March in the Ottawa area was $480,143, a rise of 7.2 per cent over March 2018. The average sale price for a condominium-class property was $290,181, an increase of 5.2 per cent from this month last year.*

The $300,000 to $449,999 price range continued to represent the most active price point in the residential market, accounting for 43 per cent of March’s sales while 1 in 4 residential sales was in the $500,000 to $749,999 range. The most prevalent price point in the condominium market increased to the $225,000-$349,999 price range, accounting for 49 per cent of the units sold.
...
Sales YoY are down a lot and prices are up in a city whose population increase that is above average. It's a little weird, isn't it? It seems to still point to towns being the number one choice followed by older, smaller detached singles.
Deal Addict
Jan 15, 2017
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audiorichard wrote: I guess unless the existing TH owners sell their property, then they may move up to detached single or buy closer to downtown. I personally see more of my friends/workers choose to moving closer to downtown instead of buying a bigger house. I guess it is because family who can afford $600k+, most likely it needs duel incomes and the family size is usually 3 or 4. They don't really need a bigger house, anything under 2000 sq ft will work, but they prefer to save time on the road. Even Ottawa traffic is not as bad as Toronto, but spend 45 mins to 60 mins from Barrhaven to Downtown is pretty normal. Two people to take cares of two school kids, live in Barrhaven but work in downtown, then most likely you need two cars. I see it is more logical to buy smaller property closer to downtown but save the time and expense on car/gas.
I listen to the Open House Show on CFRA sometimes and have heard Paul Rushforth mention often now of people selling their 2800 sq ft+ homes and moving into towns. I also have had several neighbours sell their detached homes and move into towns. Seems more and more people are rightsizing from larger homes to towns which is also increasing the demand for towns.
Member
Jul 25, 2008
400 posts
274 upvotes
ottawa
skeet50 wrote: I listen to the Open House Show on CFRA sometimes and have heard Paul Rushforth mention often now of people selling their 2800 sq ft+ homes and moving into towns. I also have had several neighbours sell their detached homes and move into towns. Seems more and more people are rightsizing from larger homes to towns which is also increasing the demand for towns.
I've seen this anecdotally too. Builders expected boomers to downsize to condos, but they're downsizing to towns instead.
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Jun 23, 2017
1274 posts
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Toronto, ON
Does $200K buy you a 2 bedroom condo in Ottawa nowadays or would you be looking to mover way outside Ottawa at that price point.
Sr. Member
Jun 15, 2009
564 posts
260 upvotes
Nepean
It this seems to be a new norm, then following is a great deal.

https://www.point2homes.com/CA/Home-For ... 92950.html
michelb wrote: With recent sales, it might not be that far off the market (it's also 1 more bedroom which may appeal to more buyers (Looking at other sales on the street, 4 beds sold for more than 3 beds but many of them also had 2 car garage / wider lots)). That one for $471k was in the middle of January and the market has definitely warmed up since then but it is a valid comment about ComFree listings; some are just sellers that are fishing.
Deal Fanatic
Jul 4, 2004
6206 posts
2311 upvotes
Ottawa
905P4N6 wrote: Does $200K buy you a 2 bedroom condo in Ottawa nowadays or would you be looking to mover way outside Ottawa at that price point.
Right now, including "Conditionally Sold" there are 48 2+ bedrooms condos listed in MLS under $200k in Ottawa (Orleans to Kanata but nothing downtown) (35 if you remove the "CS" ones)
Deal Addict
Dec 4, 2016
1889 posts
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905P4N6 wrote: Does $200K buy you a 2 bedroom condo in Ottawa nowadays or would you be looking to mover way outside Ottawa at that price point.
200k gets you an older condo with very high condo fees (relative to market rent and mortgage payment).
Deal Fanatic
Jul 4, 2004
6206 posts
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Ottawa
BlueSolstice wrote: 200k gets you an older condo with very high condo fees (relative to market rent and mortgage payment).
It's true that $200k will be an older building but I don't know that it's accurate to say that older buildings correspond to higher condo fees. It's true that some older building have high fees but it's not uncommon for older buildings to include water / heat / hydro as part of the common fees so you have to factor that in.
Deal Addict
Dec 4, 2016
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michelb wrote: It's true that $200k will be an older building but I don't know that it's accurate to say that older buildings correspond to higher condo fees. It's true that some older building have high fees but it's not uncommon for older buildings to include water / heat / hydro as part of the common fees so you have to factor that in.
OK, 200k condo towns will have very high condo fees. Condo buildings in general have high condo fees, relative to condo prices and market rent in Ottawa. Newer buildings often also have quite high condo fees, assuming they're concrete constructions. So perhaps the high condo fees are not the primary reason these condos are cheap. Cheap condo often command kinda mediocre rent, unfortunately.
Sr. Member
Aug 14, 2007
534 posts
288 upvotes
Ottawa
Alright, new listing sell quickly in March 2019!


During the month of March 2019, members of the Ottawa Real Estate Board sold 1,511 residential properties, compared to 1,654 in March 2018, a decrease of 8.6% in the number of properties sold vs the previous year. It took an average of 47 days for properties of all types to sell in March 2019 which is 21 days shorter than the average in March 2018 and 9 day shorter than the month before, Feb 2019.
Of these 1,511 sales, 1,136 were freehold houses, and 375 were condominiums. The average sales price for a freehold house sold in March 2019, was $480,143 showing an increase of 7.2% over March 2018. While condominium average prices rose 5.2% from last year to $290,181.

2,210 new properties were listed for sale in March 2019, bringing the total number of properties for sale to 3,425 a decrease of 25.3% from March of last year.

http://www.hometeamottawa.com/stats/
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Jan 9, 2007
3985 posts
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ghasita wrote: It this seems to be a new norm, then following is a great deal.

https://www.point2homes.com/CA/Home-For ... 92950.html
Square footage? That's what's missing from the listing... We looked at Brigil before, so I'd guess 1700-1800 sq ft. It's also across the street from an industrial site that will likely be expanded in the next ten years. All relative. I think it's priced well.

Interesting numbers from OREB! I like how they say you need the help of an experienced realtor to navigate this market.
Proud member of SENS Army
Deal Addict
Jan 15, 2017
4002 posts
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So what's everyone's take on the OBJ's view on the market?

"A shortage of new inventory and tougher mortgage stress tests are putting a damper on the city’s resale housing market, the Ottawa Real Estate Board said after year-over-year home sales declined for the second consecutive month in March....

Realtors sold a total of 3,336 dwellings in the first three months of 2019, down slightly from the first quarter of 2018. It was the second straight quarter that resale home transactions fell year-over-year, marking the first time since 2014 that Ottawa’s housing market suffered back-to-back quarterly declines. (bolding added)..."

https://obj.ca/index.php/article/ottawa ... march-oreb

Back to back quarterly declines don't read like a hot seller's market?
Member
Feb 7, 2018
322 posts
420 upvotes
skeet50 wrote: So what's everyone's take on the OBJ's view on the market?

"A shortage of new inventory and tougher mortgage stress tests are putting a damper on the city’s resale housing market, the Ottawa Real Estate Board said after year-over-year home sales declined for the second consecutive month in March....

Realtors sold a total of 3,336 dwellings in the first three months of 2019, down slightly from the first quarter of 2018. It was the second straight quarter that resale home transactions fell year-over-year, marking the first time since 2014 that Ottawa’s housing market suffered back-to-back quarterly declines. (bolding added)..."

https://obj.ca/index.php/article/ottawa ... march-oreb

Back to back quarterly declines don't read like a hot seller's market?
Demand is outstripping supply right now, people want homes but they either cannot afford or everything in their price range and needs is getting snapped up super quick. People in starter homes/condos are just hanging onto their place not able to move up because of B20. So yeah it is actually the definition of a hot seller's market, if you have a good quality home in a good area and it's in the "affordable" range then you have all of the leverage - you are a price maker not a price taker.

I think the sales figures are a misleading indicator, you need to think about how many sales could have been made if there was enough inventory on the market to satisfy demand. It would be like Ottawa Public Health posting that they only did 3 flu vaccinations in March (down 4,000% from last March), but forgetting to mention that they only had 3 vaccines to distribute so there are 1000's of people on the waiting list still trying to get one. They spread this kinda junk on BNN every day trying to make Vancouver and Toronto look like they're crashing, but the only indicators that really matter are: supply (MOI), demand (DOM), and price, and they all are looking really good so far this year in Ottawa. Hoping for more momentum in April and May.
Newbie
Apr 9, 2011
67 posts
15 upvotes
It's getting crazy out there. Really sucks to be a buyer in this market.

This house had almost 40 offers, sold for $391k today, asking was $320k. Not a good neighborhood, house mostly renovated. https://www.realtor.ca/real-estate/2048 ... -barrhaven

28 Cloutier had 14 offers, sold for $390k, asking was $360k. Middle unit, needed some repairs.

46 Madelon, sold for $425k, asking was $400k. End unit, fully new.

Just search on MLS for $300k to $450k, 3+ bedrooms in kanata and barrhaven. Almost no inventory. And inventory is dropping. Short term I think to have a chance offer has to be no condition, at least $390k for townhouse. Add tens of thousands more for end unit. Which is ridiculous considering single houses are just a little bit higher.
Realtors are making bank if they're listing with above criteria. Guaranteed to be sold on day of accepting offer, and above asking.
Deal Addict
Nov 13, 2013
2686 posts
1383 upvotes
Ottawa
skeet50 wrote: So what's everyone's take on the OBJ's view on the market?

"A shortage of new inventory and tougher mortgage stress tests are putting a damper on the city’s resale housing market, the Ottawa Real Estate Board said after year-over-year home sales declined for the second consecutive month in March....

Realtors sold a total of 3,336 dwellings in the first three months of 2019, down slightly from the first quarter of 2018. It was the second straight quarter that resale home transactions fell year-over-year, marking the first time since 2014 that Ottawa’s housing market suffered back-to-back quarterly declines. (bolding added)..."

https://obj.ca/index.php/article/ottawa ... march-oreb

Back to back quarterly declines don't read like a hot seller's market?
From my read at least in central areas where I know people looking there is a huge lack of inventory and we are in that stand-off stage of the market when sellers are reluctant to list as they think prices will still rise but buyers think they have risen too fast already.

Maybe as was the case in the weak market the truth is the opposite of whatever the Board says.
Sr. Member
Jun 15, 2009
564 posts
260 upvotes
Nepean
I am looking at what builders are doing and based on last 6 months price history, most of the builders have increased the prices of towns by at least 5 to 7%. It is possible that they are just overbooked and trying to taste the market (even if slows down the sales by not selling) but so far they are able to sale at the price point they are coming up, maybe slow.
fogetmylogin wrote: From my read at least in central areas where I know people looking there is a huge lack of inventory and we are in that stand-off stage of the market when sellers are reluctant to list as they think prices will still rise but buyers think they have risen too fast already.

Maybe as was the case in the weak market the truth is the opposite of whatever the Board says.
Deal Addict
Nov 11, 2004
3191 posts
340 upvotes
Ottawa
audiorichard wrote: Alright, new listing sell quickly in March 2019!


During the month of March 2019, members of the Ottawa Real Estate Board sold 1,511 residential properties, compared to 1,654 in March 2018, a decrease of 8.6% in the number of properties sold vs the previous year. It took an average of 47 days for properties of all types to sell in March 2019 which is 21 days shorter than the average in March 2018 and 9 day shorter than the month before, Feb 2019.
Of these 1,511 sales, 1,136 were freehold houses, and 375 were condominiums. The average sales price for a freehold house sold in March 2019, was $480,143 showing an increase of 7.2% over March 2018. While condominium average prices rose 5.2% from last year to $290,181.

2,210 new properties were listed for sale in March 2019, bringing the total number of properties for sale to 3,425 a decrease of 25.3% from March of last year.

http://www.hometeamottawa.com/stats/
I love the stats that these guys provide

If you wanted a condo there are only 802 to choose from

If you wanted a house there are only 2623 to choose from

I would not want to buy a buyer in this market. slim pickings and bidding wars
Hello
Deal Addict
Nov 11, 2004
3191 posts
340 upvotes
Ottawa
skeet50 wrote: So what's everyone's take on the OBJ's view on the market?

"A shortage of new inventory and tougher mortgage stress tests are putting a damper on the city’s resale housing market, the Ottawa Real Estate Board said after year-over-year home sales declined for the second consecutive month in March....

Realtors sold a total of 3,336 dwellings in the first three months of 2019, down slightly from the first quarter of 2018. It was the second straight quarter that resale home transactions fell year-over-year, marking the first time since 2014 that Ottawa’s housing market suffered back-to-back quarterly declines. (bolding added)..."

https://obj.ca/index.php/article/ottawa ... march-oreb

Back to back quarterly declines don't read like a hot seller's market?
Look at whats available to sell, Usually around 6000 properties there are currently 3400

If there is less to buy there will be less to sell. And those available for sale will be worth more and sell faster
Hello

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