Ottawa home prices to increase $33,900 by end of 2024, report says
Home prices in Ottawa are expected to increase more than four per cent by the end of the year due to the anticipated drop in interest rates and buyers and sellers returning to the market, according to a new report.
Royal LePage released its House Price Survey on Friday, saying the aggregate price of a new home in Ottawa will increase nearly $34,000 to $788,662 in the fourth quarter compared to the fourth quarter of 2023.
The aggregate price of a home in Ottawa increased 4.4 per cent year over year to $757,700 in the first quarter. Royal LePage said the aggregate price of a new home was $754,700 in the fourth quarter last year.
"The Ottawa housing market has seen a positive start to the year, with an uptick in activity persisting as we enter the spring market. With an anticipated drop in interest rates expected this year, buyers and sellers are regaining confidence and are beginning to come off the sidelines," Jason Ralph, broker of record with Royal LePage Team Realty, said in a statement.
"With this boost in market activity, we have begun to see more multiple-offer scenarios taking place, less so in comparison to the peak of the pandemic, but enough to put upward pressure on housing prices. I expect this momentum will continue into the summer and fall markets."
- Sign up now for daily CTV News Ottawa newsletters
- The information you need to know, sent directly to you: Download the CTV News App
The report says the aggregate price of a new home will increase nine per cent across Canada by the fourth quarter of 2024, to an average of $860,555. The Greater Toronto Area will see a 10 per cent hike in housing prices this year, while the aggregate price of a new home will spike 8.5 per cent in Montreal.
Royal LePage said in its report that there is still "not enough supply" to meet demand in Ottawa.
"Demand for all housing types continues to outpace available supply in Ottawa," Ralph said.
"While we are seeing more product become available, we are still lacking enough inventory to satisfy demand, especially as buyer activity ramps up. I expect more sellers will be willing to list their homes if we see interest rates decrease in the coming months."
The report says new developments will help alleviate inventory pressures and new build transactions will pick up this year. Ralph says anticipated interest rate cuts will help boost the market.
"Looking ahead, I expect interest rate cuts will spur market activity further in Ottawa as more buyers and sellers jump back into the market," Ralph said.
"I believe we will see a robust spring market followed by even stronger summer and fall seasons, where we will really begin to see the benefits of lowered lending rates."
The Bank of Canada held its key interest rate at 5 per cent this week, but signalled rate cuts are getting closer.
Correction
The aggregate price of a home in Ottawa was $757,700 in the first quarter. CTVNewsOttawa.ca apologizes for the error.
CTVNews.ca Top Stories
Liberal MP says she's leaving politics over disrespectful dialogue, threats, misogyny
Liberal MP Pam Damoff says she won't run again in the next federal election, saying she has experienced misogyny, disrespectful dialogue in politics and threats to her life.
Concerns about Plexiglass prompt inspections at some Loblaws locations in Ottawa
Inspections are underway at more than one Loblaws location in Ottawa after complaints were filed about tall Plexiglass barriers.
Federal employees will be required to spend 3 days a week in the office
Starting in September, public servants in the core public administration will be required to work in the office a minimum of three days a week. The Treasury Board Secretariat says executives will need to be in the office four days per week.
OPP officer said 'someone's going to get hurt' before wrong-way Hwy. 401 crash
As multiple Durham police cruisers were chasing a robbery suspect on the wrong side of Highway 401 Monday night, an Ontario Provincial Police officer shared his concerns, telling a dispatcher, "Someone's going to get hurt."
Ont. woman who faked pregnancy to defraud doulas arrested again on similar charges
Victims of a Brantford, Ont., woman who was sentenced to house arrest earlier this year for defrauding and deceiving doulas say they’re not surprised she’s been apprehended again on similar charges.
Five human skeletons, missing hands and feet, found outside house of Nazi leader Hermann Göring
Archeologists have unearthed the skeletons of five people, missing their hands and feet, at a former Nazi military base in Poland.
Poilievre returns to House unrepentant for calling Trudeau 'wacko,' Speaker not resigning
An unrepentant Pierre Poilievre returned to the House of Commons on Wednesday to pepper the prime minister about his drug decriminalization policies after being booted the day prior for refusing to take back calling Justin Trudeau 'wacko' over his approach to the issue.
Police killed student outside Wisconsin school after reports of someone with a weapon, official says
Police shot and killed a Wisconsin student outside a middle school after receiving a report of someone with a weapon while class was in session Wednesday.
Highway collapse in southern China kills at least 36 people
A section of a highway collapsed after heavy rains in southern China, sending cars tumbling down a slope and leaving at least 36 people dead, authorities said Thursday.