While the housing market sky-rocketed in 2020, this June we saw a similar number of sales as the pre-pandemic market. Prices are continuing to increase, but some properties are not moving as quickly as they were.
“June’s resale market performed similar to a typical (pre-pandemic) June, with unit sales on par with the five-year average and a lower volume of activity compared to May, particularly in the last two weeks of the month. This is a normal tapering off as families turn their attention to end of school events and enjoying more outdoor recreation. This year, it also coincided with some easing of pandemic restrictions,” states Ottawa Real Estate Board President Debra Wright. “It will be interesting to watch the market over the summer to see if this normalization of the real estate sales ebb and flow is indeed the case moving forward. Last year, summer resales skyrocketed due to pent-up demand when the first lockdown ended.”
June Sales Similar to Pre-Pandemic Market
The average residential sale price in June 2021 was $725,970 which was an increase of 26% compared to June 2020. Condominium average sale prices were $435,198, an increase of 21%.
The days on market are 11 days for residential homes and 14 days for condominiums. A decrease by 53.1% and 30.4% respectively.
Average number of residential properties sold in June 2021 was 1,647 which increased by 2%. Average number of condominium properties rose by 13% to 484.
Highest Inventory Levels in 5 Years
Inventory levels so far this year are the highest in residential and condominium classes that they have been since 2017.
“This start of a perhaps equilibrium in the market is good news for Buyers, while Sellers are going to have to adjust to this new normal and be more strategic in their positioning. Whichever side of the transaction you are on, you will bode well by listening and heeding the advice of a professional REALTOR® who has their pulse on the day-to-day variabilities Ottawa’s resale market is experiencing,” Wright suggests.
Note: * The Ottawa Real Estate Board cautions that the average sale price can help establish trends over time but should not be used to indicate the value of homes and condominiums. Average sales prices are calculated on the total dollar volume of all properties sold. Of course, pricing and conditions will vary from neighbourhood to neighbourhood.