Even with the lockdowns in April, we still saw another record month in Ottawa real estate. There were roughly 3200 new residential listings in the city and just under 2500 transactions. The average sale price for a home was $743,204 and a condominium was $427,145. If you’re waiting for the market to cool down, you might be waiting a while yet!
There’s been a lot of talk in the media lately about Canada’s real estate landscape, and many buyers are turning their frustration toward realtors. Buyers are certainly frustrated, especially if they have lost out on countless bidding wars; however, the issue in Canada (and Ottawa more specifically) is a lack of supply. Buyers have access to more money (because of lower interest rates), which means they are willing to spend more than normal to win a bidding war. While listing a home for under market value might seem disingenuous to some buyers, it is a marketing strategy that benefits the seller (when the pendulum swings in the other direction, and we are in a buyers’ market, then the same strategy won’t work). A seller’s agent is working to get their client the most money possible, which is why, as a buyer, you need a knowledgeable realtor in your corner to save you money and help you get a house. A knowledgeable realtor will guide you and tell you when a home is listed below market value. In doing so, you can avoid placing offers on homes that are out of your price range.
On the outside looking in, it might seem impossible to jump into the real estate market; however, we want you to know that there are many options. While the media pushes the narrative of bidding wars and houses selling for 400k over asking, we want to assure you that this is not the norm. There are still homes selling for under asking, homes that are listed at market value, and homes that are sitting on the market waiting for buyers.
With the right tools, knowledge of the market, and a qualified realtor on your side, you can successfully buy and sell in this burning hot market.
Give us a call today and we will gladly walk you through your options.