The Numbers: Pent-up Buyer Demand Drives January's Sale Market
JANUARY AVG. SALE PRICES
*Important to note that varied pricing and conditions in different neighbourhoods affect average sale prices
Here’s the lowdown on the housing market for January 2021
New year, new me, or so the saying goes. Though many of us yearned for a fresh start, 2021 began with a déjà vu moment as we entered the new year with another stay-at-home order reminiscent of that at the beginning of the pandemic. One thing that has changed though: the 24% increase in sales in January 2021, compared to the same time, exactly a year ago.
So what have we seen from the first month of the year? Like the flurry of new year’s resolutions, January ‘21 came in strong with an increase in listing activities. However, the stay-at-home order caused many sellers to pull back, while demand didn’t, proving once again that the number of interested buyers has not dwindled. Compared to December, January also saw an increase in average sale prices for both residential-class and condominiums, by 12% and 7% respectively. But Ottawa Real Estate Board President Debra Wright cautions “those looking at the increase in average prices this month and believing that property values are accelerating at an extreme pace”: the month saw more movement in the upper end of the market, which contributed to the unrepresentative numbers.
What we’re looking forward to
It’s difficult to say how the real estate market might be affected by the stay-at-home order in the long term, but at present the market has in fact slowed, backed by lower resale numbers in January compared to what we saw in December. That said, if 2020 has taught us anything, it’s that this market will forge ahead under any circumstances, and we’ll be forging ahead along with it as always, for our buyers, and our sellers.