Hello and Welcome to our Ottawa Real Estate Market Stats Update!
In this edition of the November 2023 update, we will go over the trends that happened within the Ottawa Real Estate Market.
Navigating the Ottawa Real Estate Landscape
As we bid farewell to November 2023, let’s take a closer look at the pulse of the Ottawa real estate market. The Ottawa Real Estate Board (OREB) recently released its market update, shedding light on key trends and shifts that are shaping the current state of the local housing market.
In November 2023, a total of 724 homes changed hands through the MLS® System, representing a slight dip of 1.6% from the same month in 2022. Despite this, year-to-date figures revealed a more substantial decline of 11.7% compared to the previous year, with 11,421 homes sold.
OREB President Ken Dekker emphasized that this slowdown aligns with the typical trend seen during colder months. However, he highlighted a positive note—the influx of new and active listings is expanding choices for potential buyers.
The MLS® Home Price Index (HPI) provides a nuanced view of price trends. The composite benchmark price in November 2023 reached $628,900, showing a modest gain of 1.4% from the previous year. Noteworthy is the 1.6% increase in single-family home prices (benchmark: $708,900), while townhouse/row unit prices remained stable at $492,300 (0.8% increase). Apartments also experienced a 1.2% uptick, reaching a benchmark price of $424,300.
However, the average home price for November 2023 was $633,138, marking a slight 0.8% decrease from November 2022. The overall year-to-date average price saw a more significant decline of 5.7%, settling at $669,536.
In the quietude of October, the average days on the market (DOM) maintains a thoughtful tempo of 22 days (residential) and 29 days (condominiums). This metric reflects a pace that allows for careful consideration and decision-making. Homes are presented to the market with confidence, and buyers have the luxury of time to explore their options. The balanced DOM is a hallmark of a market where each transaction is approached with a sense of purpose, resulting in a serene yet purposeful real estate landscape.
November 2023 witnessed a 2.7% increase in new residential listings, totaling 1,428—8.4% above the five-year average and 10.4% above the 10-year average for the month of November. Active residential listings at the end of November surged by 15.8%, reaching 2,752 units. This is the highest number of active listings for November in over five years.
Months of inventory stood at 3.8, reflecting a slower pace compared to the 3.2 recorded in November 2022 and surpassing the long-run average of 3.3 months. The months of inventory metric indicates the time it would take to sell current inventories at the existing rate of sales activity.
Key Takeaways:
In the face of a slightly reduced sales pace and shifting prices, the Ottawa real estate market remains dynamic. With increased choices for buyers, it’s an opportune time for prospective homebuyers to collaborate with their REALTOR® to carefully explore the market, identify ideal properties, and negotiate attractive deals.
Sellers, on the other hand, are advised to manage their expectations regarding the quantity of offers and transaction speed. Consulting with a REALTOR® is crucial for confidently pricing and preparing homes for quality sales in the current market environment.
As we enter the final stretch of 2023, the Ottawa real estate landscape reflects a balance of supply and demand, offering opportunities for both buyers and sellers to make informed decisions in this evolving market.