Why Does Home Inventory Matter in Ottawa?

Housing supply or home inventory explained for the Ottawa real estate market

At the end of December, we in Ottawa had 4.4 months of resale housing inventory on the real estate market. Let’s break down that 4.4 months measure:

This number tells us how many months it would take for all the current homes for sale on the market to sell, given the current pace that homes are selling each month. For example, if we have 50 homes for sale in our community and 10 homes are selling each month, then we’d have 5 months of residential real estate supply – OR INVENTORY.

50 homes for sale ➗ 10 homes selling per month = 5 months of inventory

What the inventory measure really is, is an indicator of the state of the market: 4.4 months is considered a balanced market.

If we had over 6 months of inventory, it would be considered a buyers’ market. When we had less than 2 months of inventory, it was a true sellers’ market. Sellers and listing agents didn’t have to work too hard to market or sell a property.

IMPORTANT NOTE – Housing inventory, like anything in real estate, is very specific to each community. It’s important to work with an agent who understands this and who will tailor the strategy to what is happening in your very specific location.

If you would like practical info and insights like the above, don’t forget to sign up for regular content delivered right to your inbox.

If you have questions about your specific situation and how the current housing inventory might affect it, simply book a few minutes to chat right here – there is never any obligation.

<div id="fd-form-63cadca5de520bd60dc332e5"></div>
<script>
  window.fd('form', {
    formId: '63cadca5de520bd60dc332e5',
    containerEl: '#fd-form-63cadca5de520bd60dc332e5'
  });
</script>

If you enjoyed the video above, please subscribe to the Youtube channel so you don’t miss any future Ottawa-specific real estate updates.