There has always been a demand for rentals in the Ottawa housing market. Rental apartments are generally in demand by young adults, financially weaker households and more and more so by newly landed immigrants. Ottawa received more than 6,000 new immigrants every year and new rental constructions accounts for less and 3% of total constructions since 2003. With both of these factors in play there is a strong demand for rentals and an ever-tightening inventory.
On a side note, CMHC (Canada’s Mortgage and Housing Corporation) released a survey in 2007 revealing that 20% of approximately 20,000 condominium apartments were rented out.
Average Rent (2 Bedrooms):
2005 - $920
2006 - $941
2007 - $961
2008 - $980
2009 (forecast) - $1000
Vacancy Rate:
2005 - 3.3%
2006 - 2.3%
2007 - 2.3%
2008 - 1.9%
2009 (forecast) - 1.6%
What does these numbers mean?
Ottawa's rental market is getting more expensive and fewer apartments are available.
How do these numbers affect the Real Estate market in Ottawa?
To buy or not to buy has always been the question.. Right now I am off to meet a client (Yes at 9:00pm on a Sunday night) but I will continue this thought tomorrow. Until then thank you for reading and have a great night!
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