Ottawa Housing Market Forecast 2025: Trends, Insights, and What’s Ahead
The average sale price in the Ottawa housing market has increased by 0.9 per cent across all property types between 2023 and 2024, from $671,983 to $678,081.
The number of sales transactions increased by 9.13 per cent during the same time period, from 10,700 unit sales in 2023 to 11,662 sales in 2024.
Meanwhile, the number of new listings increased by 9.2 per cent, from 18,781 in 2023 to 20,500 in 2024.
Looking ahead to 2025, Ottawa is expected to be a balanced market, with average price anticipated to rise by 2.5 per cent, and the number of sales increasing by 5.5 per cent. The number of listings is expected to increase by 5.5 per cent in 2025.
First-time buyers, retirees and distressed-sale buyers are expected to drive market activity in 2025, with townhouses seeing the bulk of sales activity in the region.
First-time homebuyers are purchasing townhomes and condos in the $400,000 – 600,000 price range. There’s also been a noticeable shift toward condominiums, driven by their relative affordability and lower maintenance requirements. Move-up and move-over buyers are primarily seeking properties that offer increased space, enhanced amenities, and superior locations to accommodate their evolving lifestyles, in the $700,000 – $1,200,000 price range. Among this buyer segment, there’s also been a noticeable shift toward suburban neighbourhoods such as Kanata, Barrhaven, and Orleans as these areas offer larger properties, a family-friendly environment, and a strong sense of community.
Sellers are cautiously optimistic going into 2025, and should remain mindful of potential challenges, such as economic uncertainties and interest rate fluctuations, which could influence buyer behaviour and market dynamics.
Buyer confidence is also expected to be high in Ottawa in 2025 compared to 2024, with increased insured mortgage caps, and the First Home Savings Account and amortization structures making it easier for first-time homebuyers to enter the market.
