Ottawa home prices increase 1.6 per cent in April

A new home is displayed for sale in a new housing development in Ottawa on Tuesday, July 14, 2020. Prospective buyers have lamented the torrid pace Canada's real estate market has moved at in recent years, but many feel 2023 may be the year their luck changes. THE CANADIAN PRESS/Sean Kilpatrick

Home sales and prices continued to heat up in Ottawa in April as the real estate market showed signs of both buyer and seller confidence, according to a new report.

However, the Ottawa Real Estate Board warns the federal government's new mandate requiring workers to be in the office a minimum of three days a week could cause shifts in the real estate market.

Newly released statistics show 1,456 homes and condominiums were sold in Ottawa last month, up 8.9 per cent from April 2023.

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The average cost of a property sold in Ottawa was $643,700 in April, up 1.6 per cent from April 2023. The benchmark price for single-family homes was $727,700, up 1.6 per cent from the year before. The average price for a single-family home was $719,000 in March.

"While most of Ottawa’s market is in balanced territory, townhomes have shifted to the seller’s market side as supply shrinks," Curtis Fillier, president of the Ottawa Real Estate Board, said in a statement.

"Single-family homes are the most active market, which is inflating the average sale price. The next few months will be both telling and interesting as people continue to redefine their post-pandemic normal amid an upcoming federal election and back-to-work mandate for government workers."

A total of 4,132 homes and condos have been sold in the first four months of the year, up 11.5 per cent from the same period in 2023.

Fillier says that while it has been a "typical spring" for Ottawa's real estate market, there is a "restored mutual confidence" among both buyers and sellers.

"Buoyed by recent sales activity, sellers are more confident that they can move their property as evidenced by the uptick in listings," Fillier said.

"For buyers, the pressure of the pandemic market has eased and they’re comfortable taking the time to find the property that best suits their needs. The pace is still conservative while the economy is holding some back, but overall Ottawa’s market is strong and stable, and that’s a win-win."

The Ottawa Real Estate Board says there were 2,597 new listings in April, up 40 per cent from the year before. At the end of April, there were 2,966 active listings in Ottawa.