The number of homes sold through the MLS® System of the Ottawa Real Estate Board (OREB) totaled 809 units in February 2025. This represented a 10.2%decline from February 2024.

Home sales were 19.1% below the five-year average and 15.4% below the 10-year average for the month of February.

"Ottawa's sales activity moderated while prices held steady," says OREB's President. "Despite increased inventory, market uncertainty continues to influence buyer and seller decisions. Some sellers who had previously delayed listing are now entering the market, contributing to more options for buyers. While demand remains strong in certain price segments, the pace of sales varies, making strategic pricing and preparation key for sellers."

"The Bank of Canada's influence on borrowing power, ongoing economic factors like tariffs, and the potential impact of upcoming elections are also shaping buyer and seller sentiment," adds OREB's President. "As we approach the spring market, we anticipate increased buyer activity, particularly if interest rates trend downward and confidence continues to build."

The benchmark price for single-family homes was $719,800, up 1.3% year-over-year uptick in February. By comparison, the benchmark price for a townhouse/row unit was $438,000,a decline of 11.6% from 2024. The benchmark apartment price was $459,300, a 4.5%gain from the previous year. The average price of homes sold in February 2025 was $669,945, a 1.4% improvement from February 2024.

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This morning, I attended a call with Shaun Cathcart, Senior Economist and Director of Housing Data and Market Analysis at CREA, who provided an insightful update and analysis on the current housing market. Mr. Cathcart addressed potential market impacts stemming from the newly implemented tariffs, in a thorough Q&A session. 

We are currently navigating a period of heightened uncertainty, influenced by a complex interplay of economic factors. Potential scenarios include recessionary periods with varying levels of inflationary pressure, with the most concerning being a recession coupled with high inflation. In the coming months we will have a better understanding of which scenario will take hold and thus how it will impact the real estate market in the short term. But as of now, the February stats which will be released by CREA within a week show a deceleration in the Canadian real estate market. 

Despite this deceleration, it is important to maintain perspective and recognize the resilience of the Canadian real estate market. Historically, the sector has successfully adapted to numerous challenges, including: 

• 1997: Introduction of the Harmonized Sales Tax (HST) 

• 2003: Severe Acute Respiratory Syndrome (SARS) outbreak 

• 2007-2008: Global Financial Crisis 

• 2008: Implementation of the Land Transfer Tax 

• 2011: Competition Bureau scrutiny 

• 2020: COVID-19 pandemic 

• 2023: Introduction of the Foreign Buyer Ban 

• 2024: Implementation of the Luxury Land Transfer Tax 

• 2025: Extension of the Foreign Buyer Ban 

• 2025: Introduction of tariffs 

Despite these events, the Canadian real estate market has demonstrated a consistent upward trajectory. While growth rates may fluctuate, the overall trend remains positive. 

In this dynamic environment, a prudent approach involves maintaining vigilance, practicing informed decision-making, and remaining receptive to emerging opportunities. 

Please do not hesitate to contact me with any inquiries. Now more than ever it is imperative that you seek the guidance of a professional and have representation so you can protect yourself and make an informed decision. 

 www.sharaturner.com