The five-year average for total unit sales in April is 1,849. In 2022, 1889 properties were sold, compared to 2021 which was 2,394. This is a decrease of 21%, which according to Ottawa Real Estate Board’s President, Penny Torontow, “was one of the weakest performing Aprils we have seen in a while.”

There were more listings last month, but less sales, which is thought to be due to rising interest rates, buyer frustration, and cooler April temperatures. Is this an indicator of a shift in the market? Only time will tell.

April 2022 – Ottawa Market Snapshot

Residential average sale prices increased by 12% to $829,318 compared to April 2021. Condominium average sale prices increased by 11% to $473,702.

The average days on market in the residential class experienced a 5.7% increase to 10 days and a 12% decrease to 10 days for condominiums.

1,419 residential properties were sold in April 2022, a decrease of 23% since last year. Condominiums sold reached 470 which is a 13% decrease.

New Market Trends

Condominiums are becoming the new entry level property type due to their overall affordability. Most buyers are priced out of their preferred residential category and therefore had to modify their search criteria.

Rentals

Rentals have increased over the last month. April 2022 saw 1,786 properties rent compared to last year which was 1,458. This is an increase of 23% and almost double the quantity recorded in pre-pandemic years. The price of rentals also saw a 3-4% increase compared to 2021.

Conclusion

We remain in a Seller’s market. “Limited supply and high demand will continue to place upward pressure on prices. As long as there are Buyers willing to pay, average prices will reflect the inventory shortage”, Torontow states. More inventory was added to the housing stock. She continues, “this has increased Ottawa’s months of inventory to just under a month’s supply. In March, it was just over two weeks. This is good news for potential Buyers as they will have more options and more opportunities to enter the market.”

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.