Ottawa Housing Market Price Changes
Friday Mar 08th, 2019
The HOME prices by May 2019 will be up by 10% year over year
Why; what is driving up Ottawa prices
1. The liberals have made many promises and have added to the Federal Deficit $30,000,000,000 since taking office. So they have need to staff up big time.
In 2010 In Ottawa under the Conservatives there were 185,000. Public Servants in the Ottawa area. That dropped to 145,000 by 2015 As of now it is at 210,000 and climbing.
2. Military and RCMP moves to the west
...for the Nortel site which finally opened in April 2017 and the Former JDSU site for the RCMP. So new military and RCMP are moving to the west 80% of the time. Prices for houses in 2016 and 2017 were negative to 1% gains for the year. That shift from east Ottawa to west is now over and new public servants to Ottawa are seeing better value for the same house in the East VS the West but military will go West.
3. New Mortgage rules...
...are not hurting the Ottawa market that much. It is severe for people in Toronto but not here. One rule is the Stress test meaning you have to qualify for say a 5% rate vs say 3%. That starts January 1, 2018. Also credit ratings are reviewed more extensively. It reduces buying power quite dramatically for some. However most Federal Public Servants and military do not have a problem qualifying for a Mortgage
What does this mean for the Ottawa Housing Market Prices This spring there will be even more coming to Ottawa but the west will not get as much of an advantage in price increase as the moves to the west by RCMP and Military has mainly already been accomplished by April 2018 by military moving out of Orleans, Rockland, Russell, and Embrun.
So Market demand for homes will be very exceptionally strong in Ottawa this year.