More for Less, Reviewing September in Ottawa Real Estate
by Dave Williams
Here we are again, another month gone by in Ottawa and so Many More houses & condos are selling…for less money.
There’s the dichotomy of our market, the housing sales and condo sales finally rise, increasing 12.5% when compared to September of 2013 (Hurray, the market is heating up!) and staying right in line with the 5 year average of home sales (1119 Sold in Sept 2013, the 5 year ave is 1121.)
BUT, and that’s a big but, for the first time since February the housing prices have dropped below 2012 levels. The housing prices in September were 1.2% lower than September of 2012, which may be the first indicator that home sellers are coming to term with the new balanced market.
The real estate market in Ottawa has been a story of exceptional growth over the last decade, but over the last 3 years the number of homes
being offered for sale has rise dramatically. From Sept 2010 to 2011 we saw an increase of 31% in the number of homes and condos begin offered for sale, Sept 2012 was 38% higher than 2 years before and this year compared to 2012 we have 51% more properties for sale. By comparison sales for September have rise by 5% since 2010.
So those 5% more buyers have 50% more homes to choose from. This is the reality that home sellers in Ottawa have to deal, and compete with.
Compared to 2515 new properties offered for sale in September, the sales of 1,119 represent a 44.51% sales ratio (Balanced Market) and the average time a home took to sell in September was 51days (Balanced Market.
Meaning on average homes that sold in September were listed for sale in July and won’t close until November. By this timeline if you wanted to move in April you would need to List your home right after New Years.