2018 has been a solid year for real estate in Ottawa, with sales and average prices showing reasonable growth.

Year to date sales and average prices:
Total unit sales in the residential category were actually fairly flat vs 2017 in the MLS® market and the average residential selling price over the year increased 5.1% to $446,415 (as of Nov 30)  total residential unit sales reported on MLS® 12,950

Condo sales have shown a healthy 14.3% unit sales increase, with the average selling price up 2.8% to $278,330.  Total condo sales this year 3,844

Listing inventory still the key stat:
Listing inventory remains a critical indicator of market conditions and current listing inventory levels show residential listings are down 18.9% vs November 2017 and condo listings are down 32.9%.

The number of new listings has been down 5.1% for residential properties and 7.2% for condos this year.

Seller’s market?
The Ottawa market favours sellers when one looks at all of the above but the average price increases do not seem to equate with the limitations in listing inventory.  One would expect higher overall price increases if the inventory limitations (and the multiple offer stories) served to drive demand for scarce inventory. 

So we are experiencing a good market favouring sellers but not a runaway sellers’ market, as one might expect from some of the headlines and new stories one sees.  A strong sellers’ market would certainly be driving selling price increases at least in the double digits and we are a long way from that.

Best winter to sell in a decade:

All in all, prospects look generally pretty good for 2019 and this promises to be the best winter in a decade or more for those considering a sale. 

Big news this week in Canada of course, is the legalization of cannibis which occurred on October 17th.  Many issues to be resolved in this process and it will provide some complications for real estate also.  To see our take on how cannibis smoking in a property affects market value...check out our blogpost here: http://wp.me/p8m8ue-IH

Many sellers must be asking themselves this question after watching “ For Sale” signs go up and then get marked “ Sold”  in just a few days or seeing endless online posts about how fast a listing has sold and for over asking price.

Seller’s Market:
We are in a sellers’ market in Ottawa in 2018 and listing inventory is scarce, prices are rising and things are selling much more quickly than in a typical balanced market. (a balanced market is one where there are roughly equal numbers of buyers and sellers)

Agents earn their keep…but..
A sellers’ market brings different challenges and experienced Realtor expertise is still important in getting the marketing strategy right and managing the complexities of offer dates, bully offers and multiple offers to a successful result.  Clearly however, the marketing time and cost has to be lower, so shouldn’t the seller get a lower rate?  After all with average prices increasing (8% in March 2018) the Realtor is getting an automatic raise, since their remuneration is based on a % of the selling price?

Why not save $7,000-$14,000?
Our programs offer full MLS® service by two experienced brokers and most of our sellers will save the above commission and HST using our 3.7% or 3% commission programs. (not intended to solicit those with existing representation agreements)

Example provided is based on current residential average selling prices and savings will vary by property being sold.

Gord McCormick, Broker of Record
Dawn Davey, Broker
Oasis Realty Brokerage

613-435-4692  oasisrealty@rogers.com

For real estate news and information at one of Ottawa’s best liked facebook pages, check us out at: https://www.facebook.com/oasisrealtyottawa/

We offer an enhanced listing program for those moving on the Federal Government's Intergrated Relocation Program (IRP)  we are a Brookfield registered supplier for this program and have been helping families relocate to and from Ottawa for many years.

In a nutshell, our program offers a full 2.5% buyer representative commission the agent and brokerage that brings a buyer to the listed property.  Given the discount government rate (which we offer to all residential sellers!) of only 3.7%, this means many buyer reps would only receive 1.85% commission for their assistance in getting the property sold.  This falls well short of the 2.5% typically expected by most sales people and brokers in our market.

So if you or someone you know is moving out of Ottawa on a government or military posting or transfer, they can rest easy with our program, knowing they will have the full support of any of the 3,000 Ottawa Real Estate Board members who may have a buyer for their property.

For more detail or background, you can see a archived piece on our blog at:  http://blog.oasisrealtyottawa.com/fedbrookfield-irp-contract-cuts-realtor-commission-to-3-7/

...or feel free to give us a call at 613-435-4692

Gord McCormick, Broker of Record
Dawn Davey, Broker
Oasis Realty Brokerage
oasirealty@rogers.com

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
613-435-4692  oasisrealty@rogers.com

12^th year in business with lower commission rates for sellers

The new government relocation contract calls for full service commission of only 3.7% for Federal employees who are relocating under the government Integrated Relocation Contract (IRP) which is administered by Brookfield Relocation Services.

We are offering this 3.7% rate to residential sellers in our coverage area and you will pay even less if you also buy with us!  (some conditions apply. condos slightly higher at 3.99%

If you are a government employee posted out of Ottawa, we also have a special “enhanced or improved IRP”program rate and strategy that helps ensure your property gets sold quickly. 

Check out the attached blogpost to see why this improved IRP program is necessary: http://blog.oasisrealtyottawa.com/fedbrookfield-irp-contract-cuts-realtor-commission-to-3-7/ 

*not intended to solicit those with existing representation agreements

Gord McCormick, Broker of Record
Dawn Davey, Broker
Oasis Realty Brokerage
613-435-4692

www.oasisrealtyottawa.com

a lower commission brokerage for sellers!