Ottawa home sales down 29 per cent in June
Ottawa home sales dropped for the fourth straight month in June as higher interest rates and inflation continue to affect the real estate market.
The number of home sales in June dropped 29 per cent year-over-year, according to the Ottawa Real Estate Board. That includes a 31 per cent drop in residential sales and 23 per cent decrease in condo sales.
“After the frenzy of the past two years, we are witnessing Ottawa’s resale market normalize in 2022 and shift towards the more traditional seasonal ebb and flow cycle,” OREB President Penny Torontow said in a news release.
“While June transactions do typically taper as many look towards their summer holidays, last month’s sales were at a slower pace than we have seen in well over a decade.”
Torontow attributed the decrease to rising interest rates and inflation affecting the cost of living. She also suggested other factors such as buyer fatigue, lack of confidence among consumers, and the uncertainty surrounding back-to-work arrangements.
“A long commute with rocketing gas prices will certainly affect decisions about where to live,” she said.
Despite the drop in sales numbers, Ottawa home prices still inched up. The average price of a residential property in June was $772,861, a six per cent increase from a year ago. The average condominium price was $438,977, up one per cent.
Torontow said that even as the numbers fluctuate, Ottawa real estate will continue to be stable in the long term compared to other cities. Toronto, for example, saw home sales go down by more than 40 per cent last month.
“We aren’t likely to ever experience the significant dips that other regions may see,” she said, “Prices won’t fall out; they are prone to level off to the reasonable rates of increase that we have historically experienced.”
Inventory in the housing market is also slowly moving toward a more balanced market.
Residential inventory is up by 38 per cent over last year at this time and is sitting at nearly two months’ supply.
A few months ago, housing supply was at about two weeks’ worth of inventory in Ottawa.
Correction
An earlier version of this story said Toronto home sale prices went down by 40 per cent year-over-year in June. In fact, it was the number of home sales that went down by 40 per cent.
CTVNews.ca Top Stories
NDP motion regarding Palestinian statehood passes after major Liberal alterations
A motion from the federal New Democrats initially calling on Canada to recognize the 'State of Palestine' passed amid widespread acrimony on Monday, after the Liberals drastically altered its wording to see the government simply work towards that aim as part of a two-state solution.
'He didn't want to die': Family of Calgary man killed in standoff speaks out
Family of a Calgary man killed after a 30-hour standoff with police last week are speaking out, sharing details of the tense and heart-wrenching experience.
Toronto family doctor who called patient's body 'perfect' suspended for 3 months: tribunal
A family doctor in Toronto has been suspended for three months after a disciplinary tribunal found that he failed to follow proper protocols while examining a patient's breasts and made inappropriate comments about her body.
Ohio mom who left toddler alone 10 days when she went on vacation pleads guilty to aggravated murder
An Ohio mother whose 16-month-old daughter died after being left home alone in a playpen for 10 days last summer while she went on vacation was sentenced Monday to life in prison with no chance of parole.
Retired teacher pleads guilty to paying for sex with 15-year-old in Collingwood, Ont.
In a Barrie courtroom on Monday, a retired high school teacher from the Niagara Region pleaded guilty to sexual touching and obtaining sexual services from a 15-year-old boy in Collingwood in 2021.
Hertz CEO out following electric car 'horror show'
The company, which announced in January it was selling 20,000 of the electric vehicles in its fleet, or about a third of the EVs it owned, is now replacing the CEO who helped build up that fleet, giving it the company’s fifth boss in just four years.
5 charged in Calgary kidnappings that targeted women
Calgary police have charged five men in a pair of kidnappings last year that targeted innocent victims.
Demand soars for solar eclipse glasses in Canada. Are they worth buying?
The demand for total solar eclipse glasses used to safely view the rare celestial event has been ramping up as sellers, along with astronomy and eye-care experts in Canada, warn that viewing the eclipse with the naked eye is dangerous.
Canadian commander of volunteer fighter group dies in Ukraine
A Canadian-born commander of the so-called Norman Brigade, a volunteer fighting group in Ukraine, has died.