Monthly Update - May 4th, 2022
The Ottawa Real Estate market, like last year, is starting to see a bit more inventory hit the market as we head into May. This is good news for Buyers, as we had such low inventory levels for the first quarter of the year.
The market continues to head in an unknown direction. the seemingly biggest factor is the rapid increase in interest rates, which does not seem to be slowing down anytime soon. Additionally, high inflation, continuing supply chain issues, the war in Ukraine, and the remnants of COVID... It will be interesting to see how all these factors affect the market going through the Summer months.
The best advice we can give to buyers is to check in with your mortgage provider because things are changing quickly. For sellers; it's possible we see a settling in, less showings, and less offers in multiple offer scenarios. That being said, even with uncertainty around the factors previously mentioned, supply is still quite low.
The data below shows the monthly difference between “New Listings” and “Sales”. We have had fewer New Listings in April and even fewer Sales. It seems as though we are starting to see the interest rate changes starting to affect sales. Currently the Months of Inventory (MOI) is at 0.90 of a month, which is just marginally higher than April 2021.
If you are considering selling this year, and would like advice on how to prepare your home for the biggest ROI (Return on Investment), call or email. We are happy to help so you can make more informed decisions.
Monthly New Listings minus Monthly Sales (Difference)
Months of Inventory (MOI)
Here is part of the report from the Ottawa Real Estate Board.
“Although the number of new listings in April (2,846) was down by 11% from 2021, the number of properties that entered the market was still 10% over the 5-year average (2,600), and 214 units more than what was added to the housing stock in March. This has increased Ottawa’s months of inventory to just under a month’s supply. In March, it was just over two weeks. This is good news for potential Buyers as they will have more options and more opportunities to enter the market.” states Ottawa Real Estate Board President Penny Torontow.