Analyzing Real Estate Trends: November Sales Report Reveals Market Shifts

Dec 7

We spoke with Charlene Weber about the November sales report for Ottawa. The November sales report provides a snapshot of the current trends in the market. As we delve into the statistics, we get a picture of the current market trends moving into the end of the year.

Seeing a slowdown in sales is not all surprising at this time of year, we typically see a slowdown happen while people stay home to focus on the upcoming holiday season. For buyers, this is an excellent time to take advantage of a slower market, empowered with more options on the market and more time to pick a property that is right for you. For sellers, this is a time to manage expectations about the time it will take to sell your home, the sale price, and the number of showings. It’s important to manage your expectations during this time of year and trust your real estate professional. Your wants and needs are absolutely paramount, but they must exist within the constraints of what is possible during a time when many people put real estate aside to focus on family and celebrations.

Overall Market Performance: 1.6% Dip in November

In November 2023, total sales amounted to 724, reflecting a 1.6% decrease from the same period last year. This slight decline prompts a closer examination of the year-to-date figures, where the total sales volume stands at 11,421 an 11.7% decrease compared to the previous year.

Residential Market Analysis: Average Prices and Inventory Dynamics

Residential Year-to-Date Average Sales Price: $669,536, down 5.7% compared to the previous year. This metric serves as a barometer for the health of the residential market, indicating a moderate decline in property values.

Month's of Inventory: At 2.3, this figure represents how long it would take for all current residential listings on the market to sell. The 2.3-month inventory suggests a stable, yet not overly saturated, market.

Single-Family Homes: Unveiling Market Subtleties

Year-to-Date Average Sales Price for Single-Family Homes: $821,238, reflecting a 5.7% decrease compared to the previous year. The single-family home segment closely mirrors the overall residential market trends.

Month's of Inventory for Single-Family Homes: A notable shift from 1.7 to 2.7 year-to-date suggests a more tempered demand for single-family homes compared to earlier in the year.

Townhome/Row Unit Segment: Pricing Challenges

Average Sales Price for Townhome/Row Units: $546,580, down 7.7% year-to-date. This segment appears to face more significant pricing challenges compared to the broader residential market.

Month's of Inventory for Townhome/Row Units: While still relatively low at 1.7 months, the increase from 1.3 year-to-date signals a potential softening in demand.

Condo Apartments: A Mixed Bag

Average Sales Price for Condo Apartments: $440,328, down 2.6% year-to-date. This segment shows resilience compared to other property types.

Month's of Inventory for Condo Apartments: An increase from 1.7 year-to-date to 2.6 months suggests a mild cooling in demand but remains within a stable range.

Navigating the Changing Landscape

Homebuyers and sellers, as well as industry professionals, should stay up to date with these shifts. Understanding the nuances of the market empowers individuals to make informed decisions in this ever-changing real estate landscape. With the recent Bank of Canada rate announcement, holding the key interest rate at 5% we expect to see the market pick up in the new year, bringing more buyers back into the market and increasing property demand.