January 2022 Ottawa Real Estate Market Update

January 2022 or January 2021?

Well, the way this year's market started out, it seemed like a repeat of last year's market!

In January, 936 properties were sold by Ottawa Real Estate board members. That number included 661 residential properties and 275 condominium properties. It’s been a strong start to the year with our January transactions being above the 5 year average for properties sold in the month of January.

Why does January, 2022 seem like a repeat of last year? We started out in a lockdown just like last year and that has once again impacted inventory of homes on the market. The low inventory puts pressure on prices that continue to increase.

The average residential sale price was $771 739 which is an increase of 14% from last year. The average condominium sale price was $447 943 and that is an increase of 18% from last year.

Home prices have been continuously rising in the Ottawa area, and the past two years have been a significant increase in the average sale prices. In 2020, homes sold over the 1 million dollar mark represented about 3% of the home sales. In 2021, homes sold over the 1 million mark climbed to 9% of home sales. This year, 14% of the detached homes sold were over the one million mark so, we can see that steady rise in prices.

What is the most common price point people are paying this year? In January, 47% of residential homes sold were between the $650,000 to $900,000 price point which means there are a lot of buyers looking in that range.

Another interesting note is the significant sales we are seeing in the condominium property class. Why would the sales of condos be increasing? As home prices increase, condominiums become the more attractive option for first time buyers, investors and downsizers because they are at the more affordable price point for people.

When buying or selling in the Ottawa real estate market, be sure to have the guidance of an experienced real estate agent to navigate you through the process. As a homebuyer in a seller’s market, you may experience competing in multiple offers and it’s important to know how to stand out in the competition. As a home seller, make sure to discuss the best strategy to sell your home for top dollar in today’s market.

*Data provided from Ottawa Real Estate Board*