Ottawa real estate January 2014 results: mostly "chilly" except mortgage rates
January 2014: Most indicators “chilly” except mortgage rates
January is always about the lowest transaction/volume point
in our real estate year in terms of results and January 2014 was no exception
and in fact this year was slower than most.
Unit Sales:
The number of properties sold in January was pretty much
even with a year ago but also -7.7% lower than the 5 year average for
residential properties and -9.3% lower for condos.
Average Selling
Price:
Residential properties averaged .9% higher than a year ago
and condo property average selling price decreased by 1.1% in January.
Key Indicator to
watch:
Listing inventory continues to run well above historical
norms. Current residential listing
inventory is almost 23% higher than the 5 year average and condo inventory is
75.4% higher.
Though a relatively smaller number, we also note that MLS®
rental inventory is 41% higher than a year ago and 95% higher than the 5 year
average.
These inventory numbers are not disastrous but very much
bear watching, as they could easily get out of balance in this slower sales
environment.
New Construction:
Industry watchers report that new home construction was
pretty much flat in 2013 vs 2012 which mirrors the results in the MLS® resale
market.
Condo completions are forecast by CMHC to be as much as 33%
fewer in 2014 than was the case in 2013.
Good News!
Mortgage rates have held or even slightly decreased, so this
is good news for both buyers and sellers as we head in to the busy spring
market.
New residential listings for the month were actually 4.3%
less than in January 2013, although the number of new condo listings grew by
approx. 23%
Sellers and buyers will want to stay in close contact with
their REALTOR® to be up to date on fast changing market dynamics and make
appropriate plans or adjustments.
If you do not have a REALTOR® representing your interests,
please give us a call at 613-435-4692 and we would be happy to discuss how you
may best achieve your housing objectives in this uncertain market.
Gord McCormick, Broker of Record
Dawn Davey, Broker
Oasis Realty Brokerage
613-435-4692
oasisrealty@rogers.com
www.oasisrealtyottawa.com