June 2022 Ottawa Real Estate Market Update: Nick Fundytus and Karim Ali Explain Where the Market is Going

Karim Ali - Hi, I'm Karim from the Nick Fundytus team, and today we're going to tell you a little bit about what you need to know about the Ottawa real estate market in June of 2022.

As you've probably heard, the real estate market is slowing down in Ottawa. Multiple offers are not as common, houses are staying on market longer, but that's not necessarily a bad thing. So Sellers, don't be alarmed.

Here are the stats for the past month in the Ottawa Real Estate Board and Canadian Real Estate Association. For an explanation of terms, go at nickfundytus.ca/glossary. Keep in mind, these numbers help show trends, but they are not specific to your home. If you'd like to learn more about your home and how it compares to the market, shoot us a message or leave a comment down below.

1,846 homes were sold in May of 2022, which is down about 19% from May of 2021. 1,384 of those homes were freehold. Meanwhile, 462 of those were condominiums. The average price for freehold homes in May of 2022 was about $802,000, which is an 8.2% increase from May of 2021. The average price for condos, on the other hand, was of about $472,000, which is an 11.3% increase from May of 2021. So Nick, what does that mean for us?

Nick Fundytus - Okay, so what we're seeing here for the first time in about two years is a decrease, both in terms of the number of units sold and, in a lesser sense, the prices. Now, prices this year are still higher than they were a year ago, it's not doom and gloom. People are wondering, "Is this a crash?" We're certainly seeing some articles out there to try and get some clicks on the Internet saying that a crash is coming. That's not happening. There's still a lot fewer homes for sale than there are Buyers out to buy them. What we are seeing is simply a bit of a correction to kind of more normal market conditions. It's still a Seller's market, but compared to what has been the last couple of years, it feels like a balanced market.

Now, if you are a Seller, you need to be realistic about your prices. This is not a situation where you can put a really optimistic price on a property, if you price too low, and
below what you're willing to sell, I should say, and you try and hold off offers, in some cases, you're going to find that you're going to be disappointed and you might be stuck - have a hard time justifying going up to the price you actually wanted.
If you price too high, what you're going to find is you're just going to sit around on the market. You need to figure out, you need the services of a professional REALTOR®, or good research on your own to make sure that your pricing correctly.

If you were a Buyer, on the other hand, this is absolutely the right time to jump in if you were sitting on the sidelines. If you are waiting around for your moment, if you're waiting for a sign, this is the sign. Jump in! You're not going to have any more leverage with Sellers than you do right at this moment for a while. So, go and look for your property and that's all I can tell you for now.

Thank you very much for that, Nick.

That's all we have for you today. I'm Karim Ali from the Nick Fundytus team.

I'm Nick Fundytus and we'll be back next month with statistics on the Ottawa
market and what they mean. For show notes, more statistics, or to look at some of our old episodes, follow us on YouTube and click the bell so you never miss a market update.

We're pleased to help you find your perfect home in Ottawa and keep you updated.

What’s the difference between a real estate agent and a REALTOR®? Visit www.crea.ca/why to find out.