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A record-breaking 2020 for the Ottawa real estate market, new numbers show – CTV News

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OTTAWA —
While most of the world describes 2020 as the year we wish to forget, realtors in Ottawa may describe it as one of the most memorable.

2020 was a sales record-breaker in the National Capital Region.

“Ottawa is known to have one of the most consistent and stable economies and real estate markets on the continent, and despite all the craziness that occurred in 2020, Ottawa’s economic resilience, stability, and consistency were on full display this past year,” says Taylor Bennett, a broker with Bennett Property Shop Realty.

“Last year we saw a large push toward low-maintenance living as more and more baby boomers entered their retirement years, and that trend has continued in 2020.”

Bennett says along with the baby boomers influencing the market, 2020 saw many first-time buyers enter into their homebuying years.

“As well as many out-of-town buyers that have migrated to Ottawa from across the country attracted to our economic stability and growth,” says Bennett.

“We have seen growth around 20 per cent almost all year long, even during the early months of the pandemic when things were a little more uncertain.”

Bennett explains that inventory levels are still at record low levels. All year, there was an increase in sales and a decrease in days-on-the-market.

 Not only are more homes selling, but they are selling faster than ever.”

The Ottawa real estate district encompasses a large area, about five times Ottawa itself. It includes the downtown and suburban areas, and a number of rural areas too.

“While every area in the Ottawa real estate district saw increases this past year, not all areas increased at the same rate and there are still many affordable options in the outer areas of the city, “says Bennett.

“In fact, the average price difference between Inner and Outer Ottawa is over $200,000 or 33 per cent – a substantial difference regardless of your budget.”

CONDO MARKET:

Most condos are in Ottawa’s city limits.  That is where the condo market experienced the most growth.

“But prices condos in the outside areas are still extremely affordable and are ideal for the low-maintenance lifestyle that many buyers desire.”

Condos in Ottawa were over $130,000 (or 36%) more expensive than condos in areas outside of Ottawa.

BUNGALOWS: 

“Last year we saw bungalows at the top of this residential list, while they are still in very high demand.”

The average price, according to Bennett, doesn’t fit everyone’s budget.

“Similar low-maintenance styles have seen an increase in demand – both split level and high ranch offer far fewer stairs than a traditional 2-level home, and condos simply provide a smaller interior to keep up and require less exterior maintenance providing a very retirement-friendly lifestyle.”

Bennett says row houses are found near the top of both of these lists since they can be large enough for a young couple or young families.

They are also small enough to offer the low-maintenance lifestyle Baby Boomers are seeking.

HOME OFFICE:

From a real estate perspective, one of the major impacts of COVID, according to Bennett, is that it reduced, or removed, the need to be close to the office.

“But it increased the need for a larger dwelling as we have all been spending a lot more time at home.  The majority of the homes found in these top five areas are more spacious, found on larger lots, and are less expensive than their inner-city counterparts.”

Bennett says, with the exception of Manotick, the average prices in these areas are below Ottawa’s average price.

“The major factor that has greatly benefitted buyers to help stay competitive in this growing market is the mortgage interest rate also being at a record-low level.  Even though prices have increased substantially this year, buyers saw their purchasing power increase as well. 

“While prices increased by almost 20%, the average monthly mortgage payment only increased by 8% – making the growth in the market far less daunting.”

For a more in-depth look at Ottawa’s Real Estate Stats, see below. 

 

Residential

# of Sales

Avg. Price

2019

14,030

$486,475

2020

14,455

$582,267

Difference

3.0%

+19.7% ($95,792)

     

Condo

# of Sales

Avg. Price

2019

4,583

$304,222

2020

4,516

$361,337

Difference

-1.50%

+18.8% ($57,115)

 

 Residential

Style

2019

2020

Difference

Det. Split Level

$419,726

$516,131

18.68%

$96,405

Row 2 Level

$400,498

$487,323

17.82%

$86,825

Det. Hi Ranch

$357,577

$427,495

16.36%

$69,918


Condominium

Style

2019

2020

Difference

Row

$266,400

$339,840

21.61%

$73,440

Stacked

$274,010

$328,676

16.63%

$54,666

Apt. – 2+ bdrm

$330,830

$382,690

13.55%

$51,860


To learn more about the Ottawa Real Estate Market, you can listen to Marnie Bennett and Taylor Bennett on “The Bennett Real Estate and Wealth Show”, Saturdays at 1 p.m. on Newstalk 580 CFRA.

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Greater Toronto home sales jump in October after Bank of Canada rate cuts: board

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TORONTO – The Toronto Regional Real Estate Board says home sales in October surged as buyers continued moving off the sidelines amid lower interest rates.

The board said 6,658 homes changed hands last month in the Greater Toronto Area, up 44.4 per cent compared with 4,611 in the same month last year. Sales were up 14 per cent from September on a seasonally adjusted basis.

The average selling price was up 1.1 per cent compared with a year earlier at $1,135,215. The composite benchmark price, meant to represent the typical home, was down 3.3 per cent year-over-year.

“While we are still early in the Bank of Canada’s rate cutting cycle, it definitely does appear that an increasing number of buyers moved off the sidelines and back into the marketplace in October,” said TRREB president Jennifer Pearce in a news release.

“The positive affordability picture brought about by lower borrowing costs and relatively flat home prices prompted this improvement in market activity.”

The Bank of Canada has slashed its key interest rate four times since June, including a half-percentage point cut on Oct. 23. The rate now stands at 3.75 per cent, down from the high of five per cent that deterred many would-be buyers from the housing market.

New listings last month totalled 15,328, up 4.3 per cent from a year earlier.

In the City of Toronto, there were 2,509 sales last month, a 37.6 per cent jump from October 2023. Throughout the rest of the GTA, home sales rose 48.9 per cent to 4,149.

The sales uptick is encouraging, said Cameron Forbes, general manager and broker for Re/Max Realtron Realty Inc., who added the figures for October were stronger than he anticipated.

“I thought they’d be up for sure, but not necessarily that much,” said Forbes.

“Obviously, the 50 basis points was certainly a great move in the right direction. I just thought it would take more to get things going.”

He said it shows confidence in the market is returning faster than expected, especially among existing homeowners looking for a new property.

“The average consumer who’s employed and may have been able to get some increases in their wages over the last little bit to make up some ground with inflation, I think they’re confident, so they’re looking in the market.

“The conditions are nice because you’ve got a little more time, you’ve got more choice, you’ve got fewer other buyers to compete against.”

All property types saw more sales in October compared with a year ago throughout the GTA.

Townhouses led the surge with 56.8 per cent more sales, followed by detached homes at 46.6 per cent and semi-detached homes at 44 per cent. There were 33.4 per cent more condos that changed hands year-over-year.

“Market conditions did tighten in October, but there is still a lot of inventory and therefore choice for homebuyers,” said TRREB chief market analyst Jason Mercer.

“This choice will keep home price growth moderate over the next few months. However, as inventory is absorbed and home construction continues to lag population growth, selling price growth will accelerate, likely as we move through the spring of 2025.”

This report by The Canadian Press was first published Nov. 6, 2024.

The Canadian Press. All rights reserved.

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Homelessness: Tiny home village to open next week in Halifax suburb

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HALIFAX – A village of tiny homes is set to open next month in a Halifax suburb, the latest project by the provincial government to address homelessness.

Located in Lower Sackville, N.S., the tiny home community will house up to 34 people when the first 26 units open Nov. 4.

Another 35 people are scheduled to move in when construction on another 29 units should be complete in December, under a partnership between the province, the Halifax Regional Municipality, United Way Halifax, The Shaw Group and Dexter Construction.

The province invested $9.4 million to build the village and will contribute $935,000 annually for operating costs.

Residents have been chosen from a list of people experiencing homelessness maintained by the Affordable Housing Association of Nova Scotia.

They will pay rent that is tied to their income for a unit that is fully furnished with a private bathroom, shower and a kitchen equipped with a cooktop, small fridge and microwave.

The Atlantic Community Shelters Society will also provide support to residents, ranging from counselling and mental health supports to employment and educational services.

This report by The Canadian Press was first published Oct. 24, 2024.

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Here are some facts about British Columbia’s housing market

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Housing affordability is a key issue in the provincial election campaign in British Columbia, particularly in major centres.

Here are some statistics about housing in B.C. from the Canada Mortgage and Housing Corporation’s 2024 Rental Market Report, issued in January, and the B.C. Real Estate Association’s August 2024 report.

Average residential home price in B.C.: $938,500

Average price in greater Vancouver (2024 year to date): $1,304,438

Average price in greater Victoria (2024 year to date): $979,103

Average price in the Okanagan (2024 year to date): $748,015

Average two-bedroom purpose-built rental in Vancouver: $2,181

Average two-bedroom purpose-built rental in Victoria: $1,839

Average two-bedroom purpose-built rental in Canada: $1,359

Rental vacancy rate in Vancouver: 0.9 per cent

How much more do new renters in Vancouver pay compared with renters who have occupied their home for at least a year: 27 per cent

This report by The Canadian Press was first published Oct. 17, 2024.

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