Ottawa remains affordable for most homebuyers, real estate report says
Ottawa remains well in the realm of affordability for most home buyers in the area, according to a report released on Wednesday by real estate brokerage website Zoocasa.
According to the report, which cites statistics released by the Ottawa Real Estate Board, home sales in the city have grown by 12.6 per cent over the last two years.
In 2018, 13,418 residential class homes, which includes detached and semi-detached houses, and 4,058 condos, which includes townhouses, changed hands.
The values of these homes have had gains, up 5.1 per cent to $446,611 for detached and semi-detached homes, and 3.2 per cent to $278,316 for condos year after year.
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While property sales and prices have increased, the housing market still remains pretty slim in Ottawa. According to the report, a shortage of listings in Ottawa has driven up prices, though the homes still remain, for now, in the realm of affordability.
Contrary to that, the report’s author, Penelope Graham, says there are still many choices for prospective Ottawa homebuyers.
“The findings reveal a market brimming with choice for prospective buyers, with home prices well aligned with incomes in nine out of 10 markets across the region,” wrote Graham in the report.
“That offers a diverse array of home types and price entry points, from chic condos in Ottawa South to spacious lots and detached homes in Kanata, Nepean and Orleans.”
Most affordable neighbourhoods
The report also breaks down prices in the city by neighbourhood and uses the median family income in Ottawa, $85,981, according to Statistics Canada, for a baseline of affordability.
For those families who don’t meet the average income mark, a family income minimum to buy a home is provided for each of the neighbourhoods.
Topping the list for 2018 was Orléans while Centretown/Ottawa West was at the bottom.
Suburban neighbourhoods, apart from Stittsville, round out the top of the list while the closer you get to the core, the more expensive it becomes to buy a home.
Here’s how each neighbourhood in the city ranks by affordability:
- Ottawa East
- Ottawa South
- Ottawa West
While these numbers do seem large, they are a fraction of the cost of a similar home in Toronto. Ottawa broker for Zoocasa, Jonathan Amodeo, believes this is a great market for not only seasoned homeowners, but first-timers as well.
“If you have a steady income and access to credit, it’s possible for most first-time buyers to become homeowners in Ottawa, which is in stark contrast to Canada’s largest housing markets,” Amodeo says.
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