New listings are down 13-15% vs last year at the end of January 2018 and total listing inventory is 26% lower than a year ago and 33-35% lower than at the end of January 2016. This sets the stage for a very interesting year in Ottawa real estate.
Upwards price pressure on residential property:
Not surprisingly, there was upwards price pressure on residential sales values with the average house in January selling for $427,487 up 8.8% from a year ago. This price increase despite a unit sales decrease of 1.1%,, perhaps reflecting lack of buyer choice due to limited listing inventory.
Condo flip side:
The condo market, meanwhile surged 45.4% on unit sales yet the average selling price was 8.6% lower at $263,744.
These results tend not to agree with typical supply/demand principles and will probably even out in the months to come.
“Grey Market” listings:
Some Realtors are keeping listings out of the MLS® market by use of pocket listings, coming soon listings or exclusive listings that do not appear on MLS®. In a strong market, there is an opportunity to market properties via social media and other 3 party sources and online, so this may be exacerbating the already limited listing inventory.
So if you see a sign or promo that talks about an “exclusive” listing or see a sign that says “coming soon”, these will not appear on the public MLS® sites. We don’t agree with these practices, in most cases, but it is up to each individual seller and their Realtor to determine marketing options for their own property.
Generally speaking however, a seller can only be certain of getting the best market value price by having the property exposed to the widest possible market and this is only possible by full blown exposure on the MLS® system.
When you think it about it….it is also the most fair and democratic, too.
We are back from vacation, refreshed and ready to go for another great year in Ottawa real estate and have some super opportunities for those wishing to list pre-season (February especially!) so feel free to give us a call to discuss your buying or selling plans for 2018.
Gord McCormick, Broker of Record
Dawn Davey, Broker
Oasis Realty Brokerage
12th year in business with lower commission rates for sellers