Signs of Ottawa home prices levelling off are likely to be short-lived, according to a major Canadian real estate firm.
Royal LePage said in a forecast Wednesday that it expects aggregate local home prices to reach $738,200 in the fourth quarter, up 17 per cent year-over-year and an increase of more than four per cent from mid-2021.
Echoing observations made by the Ottawa Real Estate Board earlier this month, Jason Ralph – the managing partner of Royal LePage Team Realty – noted that the supply of homes for sale is increasing and that it’s taking longer for them to sell relative to the pace of activity seen earlier in the year.
But he says the cyclical nature of the real estate market in Ottawa and across Canada will cause activity to once again heat up in the coming months.
“I expect this fall will bring a rush of buyers back to the market, even more than in years past,” Ralph said in a statement. “Demand remains high and I don't expect we'll be in a balanced market anytime soon.”
Nationally, Royal LePage said the “torrid pace” of home price appreciation is starting to moderate, but that home price gains will be sustained due to low inventory and new demand from immigrants, investors and Canadian households.