Sell my house
CategoriesReal Estate Agent

Everything You Want to Know About the Ottawa Housing Market || Ivana Novakovic

The Ottawa real estate market is selling at an incredible speed. With the average home only staying on the market for 17 days! Most homes however, sell in just six days on market. We have not seen a market like this in decades. Since 2019, homes have been appreciating by tens of thousands of dollars each month and there’s no knowing when it will stop.

There are some skeptics who say this cannot continue on like this, we must be headed towards a recession, homes will start dropping in price. I, however don’t believe this to be the case. I only see more and more buyers trying to buy, and less Sellers trying to sell. There is too much demand and not enough supply. New home builders like Minto, Mattamy, Caivan, etc. can’t even keep up with demand, selling out within minutes of new community and home releases.

I am a Real Estate Agent in Ottawa and I see how fast the market is growing. Most houses that hit the market are priced under market value, this is a tactic Real Estate Agents use to get their Sellers the best price for their home. With the low list price, comes an extreme number of buyers looking at the home. With all these buyers, comes a ton of offers. Typically, the more offers, the higher the sale price. This is what is driving bidding wars. The number of offers on each property is a huge dictator in the upwards market trend. If there are 10 offers on one property, but only one buyer gets the house, where are the other 10 buyers going? There’s no stopping it!

Top Real Estate Agents in Ottawa and the Canadian Real Estate Association predict that the market will increase by 11% in 2022. The average sale price as of March 2022 is $752,080, that is an increase of 13.1% since March 2021. The average sale price of a two storey single home is $889,721. The average sale price of a bungalow is $814,499 and the average condo is selling for $479,405.

Members of the Ottawa Real Estate Board sold 2,011 residential properties in March through the Board’s Multiple Listing Service® System, compared with 2,274 in March 2021, a decrease of 12 per cent. March’s sales included 1,493 in the residential-property class, down 12 per cent from a year ago, and 518 in the condominium-property category, a decrease of 10 per cent from March 2021. Although the number of sales in March decreased from last year at this time, it was still a robust and busy start to the spring season.

It is important to have the right Real Estate Agent and Brokerage working for you. RE/MAX is the top selling Real Estate Brokerage in Ottawa. Selling more than 13,000 homes in 2021. Our biggest competitors sit at 11,380 homes sold in 2021 and all other brokerages are at 2,500 sales and below. RE/MAX Real Estate Agents have a huge advantage, being able to market their listings to an exclusive group of top producing agents. No one sells more Real Estate in Ontario than RE/MAX.

Mortgage rates also play a factor in buyers ability to purchase. Some skeptics believe that increasing mortgage rates will deter buyers from purchasing at all. The bank of Canada raised mortgage rates by .5% on April 13th, 2022, we will see in the coming months whether this plays a role in the market. Will buyers keep buying? Will there be more inventory on the market? Will Seller’s keep getting over asking offers? Nobody has a crystal ball, the future for the Ottawa Real Estate market remains unknown.

As an Ottawa REALTOR®, I hope that the market remains strong but that it trends back to a more balanced market. The only way I see this happening is if supply increases. With a balanced market, buyers can actually have a chance at buying without competing with other offers and Sellers will get a fair market price for their home. Win, Win! With the extreme bidding wars and houses selling well above asking, it is hard to give buyers direction when we don’t know what the other offers entail.

CategoriesReal Estate Agent, Real Estate Tips

5 Ways for Buying Property in Ottawa’s Hot Sellers’ Market

The provincial government has introduced the first phase of its More Homes For Everyone Act to tackle the housing shortage by implementing measures, including working with municipalities to get homes built faster and increasing the Non-Resident Speculation Tax. This is a good start, and we are hopeful that with the application of these and further measures, Ottawa’s many potential home buyers waiting on the sidelines will finally be able to get a foothold in our local market.

Pre-Approval

It is important to be qualified or pre-approved for financing before you start looking for a home. This lets you and your RE/MAX Hallmark REALTOR® know what you can afford as well as providing a written confirmation or certificate for a fixed interest rate good for a specific period of time. To obtain pre-approval, contact your RE/MAX Hallmark REALTOR® or mortgage broker. The benefit of a mortgage broker is that he or she operates independently of the lender and therefore can assist you in finding the best financial product at the best rate from a variety of sources and usually at no expense to you.

I hear buyers all the time saying “Homes for sale near me are way too expensive! When will I ever be able to afford these ridiculous prices!”.

Let me help you!

Homes for Sale In Ottawa continue to rise in price. Below, I will give you information on how you may be able to purchase a home in Ottawa.

  1. Conventional Mortgages

The maximum amount of conventional mortgage is 80% of the purchase price. The amortization or length of time in which to repay the loan is usually 25-30 years. The term of the mortgage is the number of months or years, usually six months to five years, for which the rate of interest is set.

  1. High Ratio Mortgages

For most people the hardest part of buying a home, especially the first one, is saving for the necessary down payment. With mortgage loan insurance, you can put as little as 5% down payment on homes up to $500,000.

  1. Refinance

If you already have a property you may want to think about refinancing it, this way you can come up with the down payment for your next purchase/investment. Your mortgage broker can help you determine if this is a possibility.

  1. Off Market Listings

It is important to have the right Real Estate Agent and Brokerage working for you. RE/MAX is the top selling Real Estate Brokerage in Ottawa. Selling more than 13,000 homes in 2021. Our biggest competitors sit at 11,380 homes sold in 2021 and all other brokerages are at 2,500 sales and below. RE/MAX Real Estate Agents have a huge advantage, being able to market their Ottawa homes for sale to an exclusive group of top producing agents. If you work with a RE/MAX agent, you will have access to these off market listings.

  1. Using Your RRSP To Purchase

The Home Buyers’ Plan (HBP) allows each RRSP plan holder to borrow up to $25,000 from the plan to use towards the down payment of a home. Couples with separate plans can borrow up to $25,000 each up to a total of $50,000. Home buyers using this program have up to fifteen years to return the borrowed funds, interest free, to their RRSP. Using these funds towards the purchase of a home does not deregister the plan unless the monies are not returned as agreed. This allows participants to retain the tax advantages the RRSP offers.

New homes for sale in Ottawa are perhaps another option for buying. Since these homes take a year or more to close, this may give buyers the time they need to gain a down payment, or become more financially ready for closing costs. New home builders like Minto, Mattamy, Caivan, etc. can’t keep up with demand, selling out within minutes of new community and home releases. It is important to have your real estate agent work for you and help you get a new build home before they sell out.

There are many ways to buy a property in this hot Seller’s market. You need an agent you can trust working on your behalf to guide you through the process and teach you about opportunities you may not be aware of.

Service 4
CategoriesReal Estate Agent, Real Estate Tips

Things to consider when buying a house in Ottawa

Every listed home should meet the basic expectations of any buyer; it should have a sound roof, functioning gutters and downspouts, foundation without cracks, functioning heating and/or air-conditioning system, solid subflooring, and safe and secure electrical wiring. With financer-mandated home inspections, any shortcomings may be require to be remedied to get buyer financing approval.

Houses for sale in Ottawa are sometimes priced lower than market value, which means they have more buyers looking at the house (even buyers who can’t afford it). This is creating bidding wars between buyers and ultimately leading to an over asking sales price. Your real estate agent can help guide you through this elaborate offer process.

It is important to understand that the market value of a home is determined by the prices of comparable homes recently sold in the area. Always ask your real estate professional which areas are more desirable and why. This can help you choose how much you want to spend on your home. Here are other things/costs to keep in mind during the home buying process.

Closing Costs?

Before making a home purchase there are many things to consider, hidden fees are one of them. Here is a list of closing costs you may expect:

  • Appraisal Fees
  • Inspection Fees
  • Lawyer Fees
  • Land Transfer Taxes

Extra Costs?

There are also ongoing costs associated with owning a home. Some of these costs include the following:

  • Property Taxes – These depend on the location and size of the property.
  • Maintenance and Repairs – Things like the roof, furnace, and A/C are more costly repairs for a home, but you also have to keep in mind all the small repairs throughout the year
  • Home Insurance – This is sometimes bundled in with your mortgage payment

Do You Have a Mortgage Broker?

Having a reliable mortgage broker is extremely beneficial when it comes to finding the best rate for your mortgage and can take a lot of the stress out of the buying process.

How Much do Utilities Cost?

Utilities can vary a lot from house to house, do some research on the property you want to purchase so there are no surprising charges. These are some (not all) of the utility costs you may expect:

  • Electricity
  • Gas
  • Water/Sewer
  • Trash/Recycling
  • Telecommunications (internet, cable, phone, etc)

The best way to get an estimate is to ask your real estate agent to ask the Sellers what they pay. Otherwise, you can contact the providers for each cost.

After speaking to your mortgage broker, they will be able to tell you what you can afford to buy. This is when you can start your search! When looking for homes there are the basics that you want to know about each home. Your real estate agent will be able to give you information to any questions you may have.

Buying a home is more than simply entering a google search for “Homes for sale near me. Listed below are all questions you and your agent should ask for any homes of interest:

Are there any problems currently with the house? Have there been any in the past?

Leaks, foundation cracks, roofing issues, etc. should all be relayed to a serious buyer.

How old is the roof, A/C, furnace, windows?

These three things are the most costly to replace, having them recently updated would mean that you don’t have to worry about that extra cost for a while.

Have there been any improvements to the home?

Additions and improvements usually bring value to the home. Sometimes it brings more value to the Sellers than Buyers.

What is the heating system?

A modern heating system is more appealing to buyers, natural gas and forced air.

Are there any safety hazards?

Mold, pests, poor air quality, etc., can all devalue a home, and are certainly not a selling feature.

Is the home still under Tarion Warranty?

Tarion Warranty is a new build home warranty program. You can expect to be covered (for certain things) up until a certain number of years.

Is the home stigmatized?

Has someone passed away in the home? Has someone grown marijuana in the house? These are both examples of stigmas of a house, things that devalue a house.

How is the neighbourhood? Crime rates?

Always look online and ask your agent about the neighbourhood and crime rates.

A real estate professional can help you navigate the purchase of your home, answer any questions, and alleviate some of the stress that comes with this investment.

CategoriesReal Estate Agent

Renting vs. Buying in Ottawa: What’s Right for You?

The choice to buy or rent is a big decision that affects your financial situation, lifestyle, and personal goals. Whatever option you choose depends greatly on your individual lifestyle and financial situation. Owning a home isn’t always better than renting, and renting is not always as easy as it seems. Here are some key takeaways:

  • Home owners are responsible for paying costs upfront for whatever may be wrong with the property (furnace replacement, dishwasher broke, sink isn’t working, etc.)
  • Home owners can benefit from tax deductions and equity
  • Renting has predictable monthly expenses
  • Renting doesn’t mean you are tossing away cash every month, and homeowning doesn’t always help you build wealth
  • Both options are greatly determined by everyone’s individual situation and lifestyle

Renting

Renting is predictable as you know your lease amount and monthly expense, your landlord may add other costs like utilities, parking, etc. The landlord is able to increase the rent by a legal allowable amount each year.

Renting means you are able to leave whenever your lease ends. Although, the landlord can also make you move more suddenly if they decide they want to do extreme renovations, or bump up the rent to something you cannot afford (however, the yearly increases usually aren’t that significant).

Renting in Ottawa has increase dramatically over the past two years, especially during the Spring and Summer months. This has increased the average price for rentals. The supply is simply not enough for the demand and people are struggling to find affordable living. On the other hand, prices are at an all-time high for housing and it continues to rise month over month, which means landlords mortgage payments are high as well.

Owning

First time home buyers get a sense of pride and stability. It is an excellent way to build wealth in the long run. Changing your mind about where to live is not cheap, you may not be able to get the price you want for your home if the market is down. Selling your home in a hot seller’s market is also pricey, lawyer fees, real estate fees, taxes, etc. all add up!

Overall cost of owning is typically higher than renting even if the mortgage payment is lower than the rent. Here are some examples of things homeowners spend money on that renters do not:

  • Trash pickup
  • Water and Sewer
  • Gardening/landscaping
  • Driveway Upkeep
  • Property Insurance
  • Property Taxes
  • Mortgage Interest
  • Repairs and Maintenance

Homeowners may benefit from tax benefits, they can deduct out of pocket expenses and mortgage interest.

Buying in Ottawa is a challenge right now. Since 2019 the market has not stopped or slowed down. Buyers are competing against many others for the same home, some properties having five or more offers in one day. This is causing extremely fast sales and high pricing of homes.

Buy or Rent?

The choice to rent or buy all depends on your financial situation. A mortgage agent can be beneficial in letting you know what you can afford. You need to weigh out the pros and cons of each by evaluating your income, savings and how you want to live.

Purchasing a property can be an amazing investment and help you build equity. Whether you are looking for apartments for sale or single homes, the performance of the investment greatly depends on the location of the home, economy, environmental factors and real estate market conditions.

Homeowners can make more profit on their home investment if they put in the right upgrades. Here are some things that typically increase the value of homes:

  • Kitchen – Quartz countertops, pot lights, stainless steel appliances, backsplash, cupboards, coloring, etc.
  • Bathroom – Countertops, light fixtures, free standing tubs, tiling, etc.
  • Basement – Bathroom, lighting, windows, flooring, etc.
  • Flooring – Hardwood
  • Paint – Neutral pain colours throughout
  • Central Heating and A/C

Hiring a real estate professional to help in the sale of your home is crucial, they can guide you to make the most money out of your investment.

Homes For Sale In Ottawa
CategoriesCompany insights, Industry Insights, Real Estate Agent, Real Estate Tips

How can a real estate agent in Ottawa make your home buying process easier by finding the top homes for sale in Ottawa?

Homes for sale in Ottawa are selling at a fast pace. Top real estate agents in Ottawa can help you in the home buying or selling process.

There are a limited number of new homes for sale in Ottawa. Builders such as Minto, Mattamy, EQ homes, and Caivan cannot keep up with demand, this is why their prices are so high, doubling in just 3 years. New build homes used to be cheaper than already existing houses but since 2020 this has not been the case. New builds are the same as, if not exceeding the price of existing houses, since they’ve become so popular. Buyers seeking new construction will benefit from the help of a real estate professional who has the experience to help secure their dream home.

A Real Estate Agent in Ottawa is committed to preparing you to be an educated buyer. The right agent will:

  • Give you the most vital information about available homes
  • Keep you aware of changes in the real estate market
  • Arrange a tour of areas, schools, and key points of interest
  • Provide neighborhood information on municipal services, schools, churches, etc.
  • Check applicable zoning and building restrictions
  • Disclose all known facts about viewed properties
  • Collect pertinent data on values, taxes, utility costs, etc.
  • Point out strengths and weaknesses of all properties of interest
  • Explain and guide clients through forms, contracts, and closing procedures
  • Discuss loan qualification and processing

Your realtor is committed to helping you save time, therefore he/she will:

  • Provide ready access to all MLS listed properties
  • Assist you as needed on all unlisted properties
  • Help you select for viewing only those homes that fit your needs
  • Show you homes only in the price range most suited to your finances
  • Provide a list of qualified lawyers, home inspectors, mortgage and insurance brokers, other service providers
  • Arrange for necessary property inspections

Your realtor is committed to helping you find the best value, therefore he/she will:

  • Prepare studies of property values in chosen areas
  • Perform a Comparative Market Analysis on chosen properties
  • Discuss financing alternatives
  • See that you get a complete estimate of all costs involved
  • Offer advice on the preparation of an offer on properties
  • Write and present your purchase agreement to the seller
  • Negotiate on your behalf to attain the lowest possible price with the best possible terms

Currently, there are a limited number of homes for sale in the Ottawa region. This means that the supply is low in an area where the demand is exceptionally high. There are TONS of buyers looking for homes. This is driving prices way up and causing “bidding wars” for houses. Homes for sale near me are selling within 7 days on the market! Now that is a true seller’s market, and no one knows when it will stop.

A real estate agent is not only at your disposal to supply knowledge and counsel but is also dedicated to providing the easiest and most gratifying home buying/selling experience.

Find a Real Estate Agent
CategoriesIndustry Insights, Real Estate Agent, Real Estate Tips

How To Find a Real Estate Agent In Ottawa Who Offers Quality Listing Service To Sell House Fast In Ottawa?

If you have a house to sell in Ottawa, this post is full of information on how to find a real estate agent in Ottawa. You have a basic knowledge of setting a listing price, online marketing, staging and negotiating. Isn’t this enough to do the job yourself? Homeowners wonder if they could buy or sell a home through online or traditional marketing and advertising channels without a real estate agent.

In today’s realty market, the selling and purchasing of a residential property involve more than 100 people with different skills and expertise who participate in the transaction from start to finish. Whether it’s for a home inspection or a title search, it takes more than 20 steps to finalize the sale of your home. This is why it is difficult to sell your own house.

The house selling price is an important factor in selling a home. No matter how long you have lived in your home, an Ottawa REALTOR® will know considerably more about the sale price history and market trends than you do. Since real estate agents are paid a percentage of your selling price, it’s in their best interest to price it perfectly.

Real estate agents network with various contractors and professionals. They can advise on service providers’ reputations and provide references who have previously worked with providers.

If you’re thinking,

“What to ask agents to know if they are the right fit to make the sale of my home?”

“Who can guide me through an Ottawa sale of a house?”

“How do I find realtors?”

“How do I sell house fast in Ottawa?”

“Who is the best agent to assist in the sale of a house in Ottawa?”

Here are some traits to look for when hiring an agent. Is he or she….

  • Current? Is the agent up-to-date with the latest housing trends so he/she can serve you efficiently?
  • Connected? Does the agent have the necessary contacts who can assist in every phase of selling your home? A network of connections includes home inspectors, quality service people, other brokers, and county officials.
  • Knowledgeable? Is the agent familiar with the current market and able to price your home strategically? Does he/she know what is unique about your neighborhood to distinguish your home from the competition? Does he/she know what to highlight in your area to attract buyers?
  • Organized? An agent must pay close attention to your specific needs, communicate well, and be quick to follow leads.
  • Personable? Agents who are sincerely interested in helping you will “go the extra mile with a smile.” They must be able to sell themselves to you as well as sell your home to a buyer.
  • Passionate? Some agents treat their job like a hobby or just a way to earn extra income. Find an agent who is passionate about real estate and loves the job.
  • Honest? Professional real estate agents build their reputation on high standards of business practices.
  • Self-Motivated? Real estate agents are commission-only businesspeople. Successful agents work hard because if it benefits their clients, it benefits them.
  • Creative? Sometimes it takes creativity to properly showcase a home, develop engaging content, and negotiate a sale. An agent who can quickly address any marketing need is an asset to you.
  • Tech-savvy? If you want to sell your home online, Agents well versed in the latest technology for marketing homes should have a website, social media setup, user-friendly home search options, and quality presentations online with high-resolution images of homes, videos, and slideshows.

Selling your house can be made easy with the right agent!