During the COVID-19 Pandemic – Ottawa’s March Sales and Rental Market Summary

Photo by Dan Magatti on Unsplash

OREB released the housing market data for March 2020 this week. In the first half of March, the performance of the housing market was still very brave, and it still inherited the strong competitive state of the Multiple Offer in the seller’s market in January and February. However, in the second half of the month, due to the impact of COVID 19, the number of buyers and sellers both fell sharply, so prices also experienced a certain decline. Let’s take a look at the details together.

Resale Market

In March, a total of 1,525 residential houses will be traded on the MLS platform by the OREB Real Estate Board (an increase of 1.2 percentage points from 1507 in March 2019 compared to last year).

Number of sales: This includes 1170 residential houses and 355 apartments. The number of residential houses sold increased by 3.3% compared with the same period last year, and the number of apartments decreased by 5.1% compared with the same period last year.

Selling price: The average selling price of a house is $ 559,739, an increase of 16.5% over the same period last year, and the average selling price of an apartment is $ 369,311, which is an increase of 27.3% from March last year!

From the above data, the housing market seems to have experienced the test of the new coronavirus. But is this really the case? We found that most of the transaction data comes from the two weeks before the new corona virus attack. During that time, the Ottawa housing market also experienced the hottest spring market in history.

Immediately after the government promulgated the “stayhome” measures for emergency response to the virus, it is not difficult to find that the number of transactions in January and February can be 10-16% more than the same period in 2019, but the number of transactions in March is only more than last year. 1.2%. This also shows that the virus has also had a serious impact on the market’s trading volume.

On the other hand, the shortage of houses has been repeated in the past few years. It would not be very accurate to blame the new crown for the downturn in March. To sum up, the March data does reflect the impact of some viruses on the housing market. At present, we still need to wait for the data from April to be followed up with the data from March to better restore the most real housing market. Our team is also working hard to change the freshest selling price information the day before to help you interpret and analyze the housing market trend. If you are interested, you can scan the QR code at the end of the article to join.

Let’s take a look at the statistics of Showingtime on the number of home buyers in Ontario.

The orange line is the data for this year (2020), and the black line is last year. It can be seen that from March 17th, the orange color began to fall sharply, and the number of viewings actually decreased by 79%! Many of the remaining housekeeping appointments are still taken by the agent through video cloud housekeeping. The use of 3D virtual tour, facetime, etc. has also become a popular trend.

Rental Market

The Ontario Real Estate Bureau does not count the rental market. The major builders also built a large number of new houses last year, including a lot of investment properties, which will soon be handed over for rent this spring and summer. Because there are many rental platforms and the information is scattered, I will count the rentals through the MLS platform (mainly communities such as barrhaven, kanata, and rrs). The rent is adjusted by the broker. Although the data is not the most complete, it can accurately reflect the trend of the rental market in the community to a certain extent.

Here we searched the data from March 1 to March 31, 2020

West region (Kanata/Stittsville/Morgan’s grant)

During this period, a total of 46 houses were successfully rented through MLS (35 units in March 2019, + 31%). The average rental period of these 46 houses is 23 days, with a median of 12 days. The average rent price for single is $ 2322, and the rent price for town is $ 1963.

South region (Barrhaven/Riverside South)

During this period, a total of 45 houses were successfully rented through MLS (28 units in March 2019, + 60%). The average rental period of these 35 houses is 23 days, with a median of 19 days. The average rent for a single is $ 2253, and the average rent for a town is $ 1941.

Town is also the main force in the rental market, and the average price of 1900-2000 is more popular with independent families. Landlords can refer to these data and combine various expenditure budgets and cash flows to make reasonable prices for their rental properties.

Photo by Dan Magatti on Unsplash

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