Real estate agents in Ottawa are desperate for more homes to sell as tight inventory dampened last month’s sales figures.
“There is no doubt our sales numbers would have been much higher if we had more properties available for sale. Buyer demand is there, but our inventory in both residential-class and condos continues to decline. This is creating a supply side issue in the Ottawa real estate market,” concludes Ottawa Real Estate Board President, Ralph Shaw.
He added that the supply issues are exacerbated by a lack of available land and urged local government to tackle the issue during this year’s election campaign, “before we develop the supply challenges of Toronto or Vancouver.”
OREB members sold 979 homes in February, down 2.3% year-over-year, but above the 5-year average for the month (922).
The average sale price of a residential-class property sold in February in the Ottawa area was $429,600, an increase of 2.7%; for condos, the rise was 5.7% to $273,174.
“Due to demand, the condo market is experiencing some price recovery. Units in the lower price points of the condo market are likely moving rapidly because of the limited supply in the rental market which is yet another factor at play. The lack of availability is essentially forcing renters into condo ownership,” added Shaw.