Good morning, Ottawa!
While the temperature may be dropping, Ottawa’s real estate market definitely isn’t! It was another very strong month in this city, with a few trends worth noting.
Ottawa’s West End: So, the hot spot to live right now is apparently the west end. Out of all the districts in greater Ottawa, the 16 hottest areas are all in the west end. And conversely, the lowest-performing areas have been predominantly east end (see chart below). A few of the primary reasons for this are Kanata’s re-surging tech sector, the DND move to the Moodie Drive location, the increased development of business from downtown to Westboro to Bayshore (and the west end still has the CTC stadium, and the future Lebreton development as well). All that said, the east end still has its share of developments, and there are great opportunities out those neighborhoods as well. And the LRT will bring serious changes to both ends of Ottawa.
If you’re still reading this, another interesting trend right now is the rising condo market. Yep, the condo market is hot again. “As we enter the 3rd quarter of the year, we continue to see the resale market outpace last year’s performance, which was also a stellar year,” says Rick Eisert, President of the Ottawa Real Estate Board. October’s sales included 261 in the condominium property class, and 982 in the residential property class. Condominium sales continue to drive the overall residential sales market, with a year to date increase of 21.4 per cent over the same time period last year.”
Mortgage Rules & Changes: As you may have heard, the govt continues to hit Canada with more obstacles for mortgage approvals. This time, its those who have larger down payments and hope to bypass CMHC insurance fees. If you have 20% down or higher, you too will now have to qualify at a 2% higher rate, or the ‘stress test’ as they call it. This is going to make it harder for many buyers to get approved, and will ultimately direct more funds back to the big 5 banks, and to mortgage insurers. This is the general impression I’m getting here, but I’m no mortgage broker. If you’d like the inside scoop on this situation, call your broker and ask lots of questions
More details on these rules HERE.
That’s about it for this month. We can all be thankful that Ottawa is a growing city, and with that comes many excellent options for long-term investments in real estate. If you have any questions, or would like to learn more, please contact me as I’m very happy to help.
And don’t forget to winterize your homes! Turn off all outdoor faucets, double check insulation around doors & windows, service your furnace if need be….. And get out those tuques and scarves. Winter is coming….
Sales Representative. Residential & Commercial.
Capital Homes Realty
217-1419 Carling Ave, Ottawa, ON
Cel: 613 262 1697
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