The steep rise in Ottawa home prices has yet to put a damper on the region’s red-hot real estate market, thanks in large part to a growing population and the region’s relatively high average wages, according to Royal LePage.
The brokerage firm reported this week that the aggregate home price in Ottawa rose seven per cent year-over-year in the third quarter to $464,663. The appreciation was driven primarily by two-storey homes and bungalows, which rose 7.4 and 7.6 per cent to $492,291 and $457,135, respectively.
The increase in the median price of a condominium was more modest, climbing 2.8 per cent to $332,335.
“With consistent demand and a low inventory, listings are not staying on the market long," said John Rogan, broker of record and branch manager at Royal LePage Performance Realty, in a statement.
He said Ottawa's solid economy continues to attract new residents, creating “inventory shortages” and strong demand.
However, Rogan said he’s seeing fewer people migrate to the National Capital Region from Toronto – where housing prices remain significantly higher – than in past months.
In a poll earlier this year, 60 per cent of respondents in the Ottawa Business Growth Survey said they believed the region’s relatively low home prices gave the city’s employers a competitive advantage in attracting skilled workers.
Looking ahead, Royal LePage forecasts that the aggregate property value in Ottawa will rise 1.1 per cent quarter-over-quarter to $469,782.