The Key to Selling Your Home!

February’s Resale Market Back in Overdrive


March 4, 2020

Members of the Ottawa Real Estate Board sold 1,141 residential properties in February through the Board’s Multiple Listing Service® System, compared with 1,002 in February 2019, an increase of 13.9 per cent. February’s sales included 835 in the residential-property class, up 10.9 per cent from a year ago, and 306 in the condominium-property category, an increase of 22.9 per cent from February 2019. The five-year average for February unit sales is 1,006.

“After a record-breaking 2019, January saw a minor dip in sales; however, February’s numbers suggest Ottawa’s resale market is heading back into overdrive,” observes Ottawa Real Estate Board President Deborah Burgoyne. “Activity overall has gone up with more listings coming on the market (though still well below the five-year average) and the highest number of February transactions in over 15 years.”

“The average Days on Market (DOM) decreased to 30 days for residential properties, down 12% from last year and condos fell 58% to 19 DOM. Figures for median Days on Market bring those numbers down to 9 DOM (combined). As a matter of fact, in specific highly sought after neighbourhoods, sold signs are going up after only 1-2 days.”

February’s average sale price for a condominium-class property was $349,813, an increase of 21.3 per cent from this time last year while the average sale price of a residential-class property was $563,694, an increase of 21.1 per cent from a year ago. Year to date figures show a 20.8 per cent and a 20.5 per cent increase in average sale prices for residential and condominiums, respectively.*

“These increases are a direct result of the sustained lack of inventory putting upward pressure on prices, and this trend is likely to persist until supply recovers and is bolstered with newly constructed units. Multiple offers have become commonplace in certain pockets of the city, and one of the Board’s statistical indicators shows that approximately 58% of properties are selling for over the asking price, compared to 32% of properties a year ago,” reveals Burgoyne.

The most active price range in the residential market was $400,000 to $549,999, accounting for 39 per cent of the units sold while $250,000 to $399,999 represented the most prevalent price point in the condominium market, accounting for 55 per cent of February’s transactions.

“With the first day of spring only weeks away, I suspect the frenzy of the spring market will be well upon us before the weather catches up,” speculates Burgoyne. “When there is limited inventory, it’s always a good time to sell, and the earlier you get on the market, the more you can differentiate your home. Be sure to entrust your home sale or purchase to an experienced professional.”

In addition to residential and condominium sales, OREB Members assisted clients with renting 498 properties since the beginning of the year.


Should You Worry About Market Fluctuations?

 
 
 
You turn on the television and watch a news story about housing prices going down. Then you read an article about the housing market on the upswing again.

It’s a little like being on a roller-coaster ride!

Unfortunately, the ride isn’t much fun if you’re thinking of buying or selling a home. In fact, it can be very confusing and frustrating. You just don’t know if “now” is the right time to make a move.

In reality, the housing market has been fluctuating for decades. Yet, people sell their homes every day for good prices, and just as many people get into their next dream home affordably.

When you hear news of market fluctuations, there are two important things to consider.

First, a lot of media information about the housing market is national, or at least regional. If the housing market is trending up or down nationally, remember that it doesn’t necessarily mean that your LOCAL market is doing the same. In fact, it’s entirely possible for housing prices to be rising in your neighbourhood, while they are falling nationally, and vice versa.

Second, if you’re selling your current property while buying another home, then the net effect of market fluctuations may cancel out. Say, for example, that the local market is on the upswing. You’ll probably be able to sell your current home for a good price. However, the home you purchase will likely also be priced to reflect the upswing. The same holds true when the market is down.

All that being said, there are some circumstances in which you need to consider market fluctuations when deciding whether or not to make a move. Call today for more information.

 

Moisture on Windows

 
 
 
You’re standing by your window admiring the view. Then you notice it. Moisture has built up around the edges of the glass. Should you worry?

It all depends on the reason for the build up.

Assuming you have traditional double-pane glass in your windows, there are a few things to look for if you notice moisture.

Often, moisture at the bottom of your windows is simply caused by too much humidity in your indoor air. If that’s the case, simply adjust your humidifier.

If the moisture is on the outside of the window, typically there’s also no problem with the window itself. It may have rained recently, or the outside humidity may have spiked causing the accumulation. Generally, there’s no reason for concern.

However, if the moisture is in between the two panes of glass, the seal has broken and surrounding air - along with its water content - has made its way in. This disrupts the thermal barrier of the window, reducing its energy efficiency. In fact, the glass might feel noticeably colder than your other windows on chilly days. In that case, you’ll need to replace the pane.

Similarly, if the moisture is coming in through only one spot - the bottom right corner for example - then you might have a leak. If you have a wood frame or sill, you may also notice a growing water stain. It’s important to get leaks fixed quickly. There may be water damage occurring within the frame that you cannot see.

 

Home Shopping and the Four-Legged Stool

 
 
 
What kind of stool is most likely to keep you from toppling over when you sit on it? Of course, two-legged stools won’t even stand on their own. Three-legged stools are okay, but still unstable. Four-legged stools are rock solid.

What does this have to do with shopping for a new home?

Well, if you want to find the right home quickly and for the best price, you need to have four things in place - the four legs of the stool. They will help ensure the experience goes smoothly.

The first leg is your wish list. You need to have a clear picture of the type of home you want. How many bedrooms? A large deck? Don’t forget about the neighbourhood. Do you need to be close to major highways for ease of commuting?

The second leg is a pre-approved mortgage. Getting the financing handled upfront takes the guesswork out of what you can afford. And, sellers are more likely to take any offers you make more seriously.

The third leg is realistic expectations. Of homes that sell, 99% sell at or near their current market values. That doesn’t mean you can’t find a good deal. It does mean you’re unlikely to find a “steal”. Fortunately, there are likely several wonderful properties available within your price range.

The final leg of the stool is a great real estate professional. Choosing the right real estate professional is crucial to making your home shopping experience less stressful and more productive.

So, when you’re hunting for a new home, make sure you start with a stable “four-legged stool”. It will dramatically increase your chances of finding a home that fits your needs and budget.

Need help with that? Call today.

 

Notable, Quotable, Quotes!

“If you want to travel fast, go alone. If you want to travel far, go together.”
Chinese proverb

“Perfection is not attainable, but if we chase perfection we can catch excellence.”
Vince Lombardi

“There are two ways of spreading light: be the candle or the mirror that reflects it.”
Edith Wharton