Real Estate

Ottawa and Surrounding Area Real Estate market discussion

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Newbie
Dec 12, 2013
52 posts
58 upvotes
sirLYZ wrote: 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.
I also heard the same sold figures from my sources on the properties you listed.

Don't under estimate just how hot the sub $450K market is. In old Barrhaven if you are lucky you can get an older single family home for around $480K but that usually comes with having to do some renovations/updating. Couple that with the fact that buyers in that price range are most likely already extending themselves financially leaving no room to do those renovations after purchase. Therefore they look to town homes that are move in ready or close to it.

Just recently in Barrhaven two row homes (newer) sold for 435K and 438K. These are turnkey move in and your done houses. Heck just across in Riverside south town homes going for 438k would be considered to be on the low end of the price bracket. My executive town home in barrhaven is going up for sale end of April beginning of May and now that I know a minimum of 435K can be achieved that is what I will expect.
Sr. Member
Oct 2, 2017
725 posts
510 upvotes
Days to sell -48% wow.

It does make sense though, there is less inventory because if you sell you either downsize or move out of the city.
I'll see you at the top, cause the bottom is too crowded
Deal Addict
Dec 4, 2016
1879 posts
900 upvotes
MOI is 2.2. Probably an outlier, as MOI has been around 3 for a while. If the tightness continues, prices will really start to go up. I wonder when will builders start focusing back-to-back towns rather than executive towns in Barrhaven and south Kanata?
Deal Fanatic
User avatar
Dec 27, 2009
7246 posts
4481 upvotes
Victoria, BC
BlueSolstice wrote: MOI is 2.2. Probably an outlier, as MOI has been around 3 for a while. If the tightness continues, prices will really start to go up. I wonder when will builders start focusing back-to-back towns rather than executive towns in Barrhaven and south Kanata?
I hope not. I hate those things almost as much as I hate stacked towns. There is no shortage of land here - it is pure developer greed.
Member
Aug 16, 2011
364 posts
234 upvotes
OTTAWA
StefanW499 wrote: I also heard the same sold figures from my sources on the properties you listed.

Don't under estimate just how hot the sub $450K market is. In old Barrhaven if you are lucky you can get an older single family home for around $480K but that usually comes with having to do some renovations/updating. Couple that with the fact that buyers in that price range are most likely already extending themselves financially leaving no room to do those renovations after purchase. Therefore they look to town homes that are move in ready or close to it.

Just recently in Barrhaven two row homes (newer) sold for 435K and 438K. These are turnkey move in and your done houses. Heck just across in Riverside south town homes going for 438k would be considered to be on the low end of the price bracket. My executive town home in barrhaven is going up for sale end of April beginning of May and now that I know a minimum of 435K can be achieved that is what I will expect.
Only sold for 391k? That was the the average difference between the sold price and the asking price in prime GTA locations back in 2017.
Deal Fanatic
Jul 4, 2004
6131 posts
2213 upvotes
Ottawa
sirLYZ wrote: 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.
I have to say I'm shocked that one on Sedona sold for over $391k! Although it does look nice from the pictures, I think that's too way too much for that house. The other ones are kind of inline with the current market.
Deal Addict
Jan 15, 2017
3941 posts
3399 upvotes
wiab89 wrote: 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 it may be a hot seller's market in the low end of the market - not so sure on homes priced above average. Most of the examples provided on this thread recently have all been below the average price. I have noticed though that there are a lot less homes listed in my neighbourhood so far this year as compared to last year. Last year there were so many listed that I didn't think they would all sell - but they did.
Sr. Member
Aug 6, 2014
830 posts
296 upvotes
Ottawa, ON
$480k avg. detached house is kind of crazy to me.
Sr. Member
Aug 14, 2007
532 posts
285 upvotes
Ottawa
skeet50 wrote: I think it may be a hot seller's market in the low end of the market - not so sure on homes priced above average. Most of the examples provided on this thread recently have all been below the average price. I have noticed though that there are a lot less homes listed in my neighbourhood so far this year as compared to last year. Last year there were so many listed that I didn't think they would all sell - but they did.
Yes, only $300k to $450k range of townhome sell very well. Anything over $600k, I do not see them selling like hot cake. Especially for big house in suburbs, they are sitting in the market.

If this trend continues, condo maybe the next wave of increase
Deal Addict
User avatar
Jun 23, 2017
1258 posts
766 upvotes
Toronto, ON
fisher44 wrote: $480k avg. detached house is kind of crazy to me.
'crazy' = 'too low' ... or 'crazy' = 'that's high' ..... my view is skewed living in GTA.
Member
Feb 7, 2018
313 posts
410 upvotes
skeet50 wrote: I think it may be a hot seller's market in the low end of the market - not so sure on homes priced above average. Most of the examples provided on this thread recently have all been below the average price. I have noticed though that there are a lot less homes listed in my neighbourhood so far this year as compared to last year. Last year there were so many listed that I didn't think they would all sell - but they did.
I agree - I think it takes time for the demand to flow upwards (and even harder now b/c of B20 pressures). Townhomes spiked last year and small singles didn't see the same gains, now we're seeing small singles move higher as people in townhomes "move up" the property ladder. Homes priced above average in the suburbs also have to compete with smaller, but similarly priced options in the city - lots of $700k+ houses in the west end that aren't moving at all. For example, I wouldn't personally buy into a $700-800k house in the suburbs when it could get me an older single or newer townhouse in westboro/glebe area where I can cut down my commute time and be closer to amenities. Other people have different tastes for sure, but in those price ranges people have other options than the suburbs - rather than settling for suburbs b/c you can't afford to live in the better areas of the city.
Deal Addict
May 23, 2017
1309 posts
1231 upvotes
michelb wrote: I have to say I'm shocked that one on Sedona sold for over $391k! Although it does look nice from the pictures, I think that's too way too much for that house. The other ones are kind of inline with the current market.
I agree they paid way too much, although the location is great (literally right across the street from Fallowfield station so awesome for people who take transit downtown). Emotions run high in bidding wars though and often people end up overpaying. Although, seeing that newer Barrhaven townhomes are going for well over $400k, maybe it is just the start of a new trend? Yikes. To be honest, even though I've always liked Barrhaven and think it's a great place to live, I am really shocked by the craziness that's started happening this spring. Even as recently as Jan/Feb you could still get decent places around mid-300s. Not sure what happened to drive this demand? Not that long ago, people were still making fun of "Farhaven" and how it's so boring etc.

I'm seeing a lot of discussion here about how high Barrhaven townhomes are going for--is anyone tracking the other suburbs like Kanata/Stittsville/Orleans etc? Is this kind of bidding war happening all across the city or did Barrhaven just become extra desirable for some reason?
Newbie
Apr 9, 2011
67 posts
14 upvotes
jk9088 wrote: I agree they paid way too much, although the location is great (literally right across the street from Fallowfield station so awesome for people who take transit downtown). Emotions run high in bidding wars though and often people end up overpaying. Although, seeing that newer Barrhaven townhomes are going for well over $400k, maybe it is just the start of a new trend? Yikes. To be honest, even though I've always liked Barrhaven and think it's a great place to live, I am really shocked by the craziness that's started happening this spring. Even as recently as Jan/Feb you could still get decent places around mid-300s. Not sure what happened to drive this demand? Not that long ago, people were still making fun of "Farhaven" and how it's so boring etc.

I'm seeing a lot of discussion here about how high Barrhaven townhomes are going for--is anyone tracking the other suburbs like Kanata/Stittsville/Orleans etc? Is this kind of bidding war happening all across the city or did Barrhaven just become extra desirable for some reason?
Kanata is even worse. Kanata area around the 417 highway (Katimavik) town house is $400k+ as standard. Kanata Lakes townhouse with 3 good sized bedrooms is $450k+. Even morgan's grant townhouse prices have gone up close to $400k.
It's important to not just look at the listed price. All townhouses I have seen in past months that were priced reasonably and didn't need major repairs have all sold above asking.

There is just no inventory right now in $300k to $400k for town houses.

Any one got some advice for first time home buyer here? Is summer a quieter period where less people make offers and market is less competitive? Would be nice to know what happened last year.
Deal Addict
May 23, 2017
1309 posts
1231 upvotes
sirLYZ wrote: Any one got some advice for first time home buyer here? Is summer a quieter period where less people make offers and market is less competitive? Would be nice to know what happened last year.
Spring is usually the crazy season I believe and things usually slow down in summer. But I'm not sure the supply vs. demand ratio has ever been this lopsided before, so it's possible it will be just as bad the rest of this year unless supply picks up somehow (otherwise you have lots of pent-up demand from spring buyers that were not able to get a house).

To be honest if I were a first-time homebuyer, now is when I would go for a new build in the suburbs. Maybe location is not as prime as some established areas, but prices are actually looking very reasonable compared to resale, and you don't need to get into a crazy multiple offer bidding war situation. It's funny because in 2017/2018, I wondered why so many people were crazy for new builds and lined up overnight when you could get good deals on resale properties. This spring is the opposite, I'm looking at these insane bidding wars and wondering why people don't just go to the builders instead (granted there are some people who want to move in immediately). Seems to me like in 2017/2018 the constant price increases of new builds outpaced resale, whereas this year so far is the opposite (resale has seen big price jumps while new builds have only had minor increases).
Newbie
Mar 3, 2011
45 posts
12 upvotes
Ottawa
I would say it also due to location. Most new builds in the suburbs are even further away ie Quinn’s pointe.
Over in Riverside south richcraft and urban dale continue to increase their town home price significant. Some are almost half a mill now!
jk9088 wrote: Spring is usually the crazy season I believe and things usually slow down in summer. But I'm not sure the supply vs. demand ratio has ever been this lopsided before, so it's possible it will be just as bad the rest of this year unless supply picks up somehow (otherwise you have lots of pent-up demand from spring buyers that were not able to get a house).

To be honest if I were a first-time homebuyer, now is when I would go for a new build in the suburbs. Maybe location is not as prime as some established areas, but prices are actually looking very reasonable compared to resale, and you don't need to get into a crazy multiple offer bidding war situation. It's funny because in 2017/2018, I wondered why so many people were crazy for new builds and lined up overnight when you could get good deals on resale properties. This spring is the opposite, I'm looking at these insane bidding wars and wondering why people don't just go to the builders instead (granted there are some people who want to move in immediately). Seems to me like in 2017/2018 the constant price increases of new builds outpaced resale, whereas this year so far is the opposite (resale has seen big price jumps while new builds have only had minor increases).
Deal Addict
May 23, 2017
1309 posts
1231 upvotes
CookieTrain wrote: I would say it also due to location. Most new builds in the suburbs are even further away ie Quinn’s pointe.
Over in Riverside south richcraft and urban dale continue to increase their town home price significant. Some are almost half a mill now!
There are new builds available in locations much better than Quinn's Pointe in Barrhaven--near Strandherd/Marketplace for example. Base price is high 300s/low 400s, which I used to think was pricey but compared to recent resales, seems pretty decent.
Deal Addict
Nov 13, 2013
2586 posts
1309 upvotes
Ottawa
wiab89 wrote: I agree - I think it takes time for the demand to flow upwards (and even harder now b/c of B20 pressures). Townhomes spiked last year and small singles didn't see the same gains, now we're seeing small singles move higher as people in townhomes "move up" the property ladder. Homes priced above average in the suburbs also have to compete with smaller, but similarly priced options in the city - lots of $700k+ houses in the west end that aren't moving at all. For example, I wouldn't personally buy into a $700-800k house in the suburbs when it could get me an older single or newer townhouse in westboro/glebe area where I can cut down my commute time and be closer to amenities. Other people have different tastes for sure, but in those price ranges people have other options than the suburbs - rather than settling for suburbs b/c you can't afford to live in the better areas of the city.
I agree with the trade-offs but the "prime" areas "(Glebe, New Edinburgh, Old Ottawa South are what I track )are also really short of inventory especially move in ready properties. The $800k semi-detached places from 2015 are now being sold quickly for prices in the 900s. Places that need a little work are maybe better value at this point though they can also spark bidding wars if a decent size on a good lot.
Deal Fanatic
Jul 4, 2004
6131 posts
2213 upvotes
Ottawa
blackdragon12 wrote: New listing. TH, end unit, listed at $425k - we gonna sell above asking?

https://www.redfin.ca/on/ottawa/511-Pep ... /151231425
The last sale on the street was a few days ago for $384k but from the pictures, the one sold might be a bit smaller. There was another one that sold about 1 1/2 weeks ago for $442k but that one might have been a bit bigger. In the area, prices for townhomes are kind of all over the place ranging from $330k (older) to $445k.

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