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Ottawa Real Estate Market Update: First Quarter 2026
The Ottawa real estate market entered 2026 with a noticeable shift towards a balanced market, giving buyers more options while requiring sellers to be increasingly strategic with pricing and presentation.
After several years of an intense seller’s market, the first quarter of 2026 showed a more measured and stable market. Inventory levels increased, sales activity moderated slightly, and pricing remained relatively steady overall — a welcome sign for both buyers seeking more choice and sellers benefiting from continued price stability.
Market Performance briefly
During the first three months of 2026, Ottawa recorded 2,474 residential sales, representing a 5.7% decrease compared to Q1 2025.* While sales volume softened, this reflects a market normalization rather than a downturn.
The average sale price across all residential property types for the quarter came in at $670,360, a modest 0.9% decline year-over-year, reinforcing the overall stability of Ottawa’s housing market. Meanwhile, the MLS® Home Price Index benchmark sat at $617,700 in March, down 2.1% from the same period last year.
Inventory Growth Gives Buyers More Leverage
One of the most notable trends in Q1 was the increase in available inventory.
March alone saw 2,452 new residential listings, marking the highest number of March listings in five years and sitting well above both the five- and ten-year averages. This increase in supply gave buyers greater negotiating power and more time to make purchasing decisions.
This shift is helping create healthier market conditions, reducing the urgency and competition that defined Ottawa’s market during the peak pandemic years.
Detached Homes Continue to Show Resilience
Single-family homes remained Ottawa’s strongest-performing segment.
The benchmark price for detached properties reached $698,400 in March, down only 2.3% year-over-year, demonstrating continued demand for family-oriented housing despite affordability pressures.
Well-priced detached homes in desirable suburban communities such as Barrhaven, Kanata, Orleans, and Stittsville continued to attract strong buyer interest.
Townhomes and Condos Face Greater Pressure
The townhouse and condominium segments experienced slightly softer pricing.
- Townhouse benchmark: $554,700 (-3.2% year-over-year)
- Apartment benchmark: $384,700 (-4.4% year-over-year)
Condominiums in particular remain challenged by affordability concerns, rising condo fees, and cautious first-time buyer activity.
That said, these softer conditions are creating opportunities for buyers seeking more affordable entry points into Ottawa homeownership.
What This Means for Buyers
For buyers, Q1 2026 presented one of the best windows in recent years to enter the market.
More listings, less competition, and stable pricing have created conditions where buyers can:
- Take more time evaluating properties
- Negotiate more effectively
- Include financing and inspection conditions with greater confidence
This is especially positive for first-time buyers and move-up purchasers who had previously been sidelined by aggressive bidding conditions.
What This Means for Sellers
For sellers, success in today’s market depends more than ever on accurate pricing and strategic presentation.
The days of simply listing and expecting multiple offers are largely behind us. Homes that are overpriced or poorly marketed are sitting longer, while properly prepared and competitively priced properties continue to sell efficiently.
Professional staging, high-quality marketing, and realistic pricing remain critical to maximizing results.
Looking Ahead to Spring 2026
Early second-quarter data suggests spring momentum is beginning to build, with April sales activity improving month-over-month while inventory continues to rise. Ottawa remains firmly in balanced market territory.
Barring major interest rate changes, Ottawa’s housing market is expected to remain stable through the remainder of 2026, with moderate price movement and steady transaction activity.
Final Thoughts
The first quarter of 2026 confirmed what many local market watchers anticipated: Ottawa real estate is transitioning into a healthier, more balanced market.
For buyers, this means opportunity.
For sellers, it means strategy.
And for both, Ottawa continues to offer one of Canada’s most stable and resilient real estate environments.
All stats provided by the Ottawa Real Estate Board
We wanted to bring you up to date as to what has been happening in the Ottawa real estate market. These stats are for all the areas serviced by the Ottawa Real Estate Board (OREB). Your location can vary from these overall stats. If you are interested in potentially selling or buying, please let us know and we will do a focused Comparative Market Analysis of homes that best match your neighbourhood and style of home.
Key Stats & What’s Happened in 2025
Total home sales through the Ottawa Real Estate Board (OREB) have increased modestly compared to 2024. By August 2025, there were ~9,936 home sales—about 4.1% higher than the same period last year.
Average sale prices are up, but not dramatically. As of August, the average price for all residential listings sold was around $686,536, up ~3.6% year over year.
For “benchmark” homes (used in the MLS® Home Price Index), prices are more mixed:
• Single‑family homes: ~$700,100, up ~1.5% YoY.
- Townhouses: ~$466,200, a stronger gain (~8.3%).
oreb.ca
- Apartments: ~$412,300, slightly down (~1.1%).
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Supply / Inventory has been growing new listings and active listings are notably higher than 2024, and above long‑term averages.
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Months of inventory, in many segments, is hovering in ranges considered balanced (~3.0 to ~4.0 months depending on neighbourhood and property type). This suggests neither a strong seller’s market nor a buyer’s market in many areas.
Trends & Drivers
These are the dynamics shaping how the market is behaving:
Affordability Pressure
With prices up, particularly for single‑family detached homes, many buyers are being squeezed. Townhouses have become more attractive (and have shown stronger gains), while apartments are showing softness.
More Choice for Buyers
Rising active listings means more options. Buyers aren’t facing quite as frantic competition as in the peak demand periods. Sellers are having to be more realistic on pricing and presentation.
Lifestyle Demand
Areas outside the core are attractive: more space, better value, family‑friendly community features. Remote / hybrid work continues to support this.
Segment Differences
• Detached homes are seeing modest gains; gains are strongest in the townhouse segment.
• Apartments/condos are the weaker link overall, with some decline in benchmark prices.
• Buyers in the condo/apartment space seem more cautious.
Seasonality + Economic / Rate Uncertainty
Spring saw momentum; summer and going into fall are more subdued, typical for seasonal effects. Meanwhile, interest rates, inflation, cost of borrowing, and broader economic uncertainty are in the background influencing buyer/seller behavior.
What 2025 Looks Like Overall
Putting together what we know so far:
The Ottawa market in 2025 is stable and balanced—not booming but not crashing. Growth is modest rather than explosive.
Buyers have more negotiating power than in overheated markets of recent years, but demand remains sufficiently strong to prevent a significant drop.
Price appreciation is uneven: townhouses are performing best, detached homes okay, condos (especially smaller or less well‑located ones) softening.
Sellers in desirable locations or with desirable product/features are still rewarded, but they need to be realistic about pricing and preparing homes well.
Inventory growth is a key theme; how quickly new supply (especially for condos / apartments) comes online will affect things going into late 2025 / early 2026.
Risks & What to Watch in Late 2025 and into 2026
Interest rates / mortgage costs remain a big wildcard. If rates go up (or don’t fall as expected), affordability will tighten further.
New construction and supply shortages in certain areas may keep upward pressure on prices. Conversely, if supply catches up significantly, that could dampen gains.
Economic events (inflation, employment, policy changes) could shift sentiment.
How condo/apartment markets adjust: either with more discounts, more incentives, or slower absorption.
The balance between distant suburban vs in‑core neighbourhoods—if commuting or transit costs rise, or if remote work weakens, that could shift preferences.
(Statistics have been gathered from the Ottawa Real Estate Board and the Canadian Real Estate Association)
Preparing your home for a summer sale is all about maximizing curb appeal, creating a bright and welcoming interior, and emphasizing features buyers will love during warmer months. Here’s a checklist to help you get your home market-ready:
Curb Appeal: First Impressions Matter
Lawn Care: Mow the lawn, trim hedges, remove weeds, and edge the grass.
Garden: Plant seasonal flowers for color.
Power Wash: Clean driveway, walkways, porch, and siding.
Paint Touch-ups: Repaint or touch up front door, trim, shutters.
Clean Windows: Inside and out.
Outdoor Lighting: Replace bulbs and clean fixtures.
Interior Staging & Cleaning
Declutter: Clear countertops, closets, and floors. Less is more.
Deep Clean: Scrub bathrooms, kitchens, floors, carpets.
Depersonalize: Remove personal photos and overly specific decor.
Rearrange Furniture: Make rooms look spacious and functional.
Light & Airy: Open blinds, add mirrors, use light-colored accessories around the house.
Fix Minor Issues: Leaky faucets, squeaky doors, chipped paint.
Summer-Specific Touches
Highlight Cooling Features: Fans, AC units, or energy-efficient windows. Don’t let the home get too warm for visitors.
Stage Outdoor Spaces:
Set up patio furniture, clean the grill, display summer plants.
Pools: Keep your pool sparkling. Don’t let the water get murky or show signs of algae.
Make sure your pool equipment (pumps, filters, heaters) have been serviced and all are in good working order.
Let the Light In: Bright homes sell faster—maximize natural light.
Refresh Scent: Use citrus or linen-scented air fresheners if needed.
Final Touches Before Showings
Keep the temperature cool indoors.
Store seasonal clutter (kids’ gear, sports equipment).
Set the mood with soft background music and subtle lighting.
As with any season, getting your home in tip-top shape will help speedup the process of getting your home sold. No mater what marketing tools we use, if your home isn’t clean, in good repair and inviting, you will be facing an uphill challenge.
Want more advice or hints? write us at homesbyhartman@realtyagent.com
This a question we have been fielding from many of our clients and friends. In a time that is in such turmoil not only at home but around the world it is a very difficult question to answer but we’ll give it our best try.
It appears that the Bank of Canada as well as the Federal Reserve in the U.S. are very likely to lower interest rates again in early September and that may not be the last of it. We are confident that this will stir the market and get some buyers off the fence and make the commitment to buy a home.
Then there are the sellers. Prices and sales are definitely down compared to the last couple of years. Those that have owned a home for a while (5 + years) are still seeing a substantial increase in value over what they paid back then. Those who have bought less than 5 yers ago are either seeing a modest increase in values or a break even point. So, depending on the situation, we may see more homes on the market.
That being said, the homes on the market now are for the most part, not moving quickly. Patients are required from sellers in today’s market. Good marketing strategies are required and adapting to the pulse of the market is critical. We have seen homes come on the market and by the look and description should sell relatively quickly but then they do not. Why? Generally pricing. Starting too high because the last few homes sold in a brisk seller’s market is a common mistake sellers and some agents make. Then not adjusting price to meet the market is a very critical mistake. We have seen homes on the market for over 120 days and not change the asking price. This is either a seller who doesn’t really care to sell and just wants to see if any fish will bite or poor advise from those that the seller relies on to guide them.
So, buying and selling you must be knowledgeable, flexible and attentive to what is going on around the market today. After over 30 years of selling real estate, we know and watch the market everyday.
As we are sure you are aware, the real estate market in Ottawa and throughout the country is in a bit of turmoil. Prices have dropped, properties are on the market for longer than even during what was once considered normal times.
So what is a seller to do the get the most value out of their home in today’s market? Over the past few years almost anything and everything was selling without an issue. No building inspections. No financing condition. No asking the seller to do this or that or throw in some furniture or a lawnmower or snow blower. But today, you MUST GET BACK TO BASICS! Prepare your home to the best you can do and afford. Paint, clean and repair, repair, repair! Make sure your home will pass not only the Buyer’s inspection but a professional building inspection. If you don’t think it will, take care of the issues if you can. Doing all this may not necessarily make your listing price higher but it will make buyers feel good about your home and about making an offer. Offers tend to be higher when the buyer sees that the home is clean and well maintained. THAT can bring you more dollars in your pocket.
If your trading real estate (buying up to a larger or superior home downsizing) it is a bit of a wash. What you are buyer usually rises and falls in step with what you’re selling. Buying up in a down market is usually a benefit to a buyer as in harder times, affordable homes seller better while larger more expensive homes can stay on the market longer reducing their value.
If you are getting out of home ownership (renting) then we recommend the Spring market. This usually gives the best value. We start the Spring market in March and it continues to grow and increase in value as time moves toward Summer. However, the right time to sell is up to you and your needs and circumstances. We sell home 12 months of the year.
We have stuck to the basic of good service, responding to our clients needs and practicing solid real estate techniques and marketing for over 30 years. We’ve lasted in this business for only one reason: We are very good at what we do.
So feel free to call or write. homesbyhartman@realtyagent.com 613-825-9710
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