When purchasing a home in Ontario, it’s easy to focus on the down payment and mortgage without considering other hidden costs. However, these additional expenses can add up quickly and significantly impact your budget. Whether you're a first-time homebuyer or have experience in the real estate market, it’s essential to be aware of the various costs involved in the process. Here’s a breakdown of the most common hidden costs associated with buying a home in Ontario.

1. Land Transfer Tax

One of the largest additional costs in Ontario is the land transfer tax. This tax is based on the home's purchase price and is paid to the province, and in the case of Toronto, an additional municipal tax applies.

For example, for a home priced at $700,000, the land transfer tax would be calculated as follows:

• 0.5% on the first $55,000 = $275

• 1.0% on the next $195,000 = $1,950

• 1.5% on the next $400,000 = $6,000

• 2.0% on the remaining $50,000 = $1,000
  Total provincial tax = $9,225

If you are purchasing in Toronto, there would be an additional municipal tax of $9,225, making the total land transfer tax $18,450.

First-time buyers may be eligible for a rebate, which can reduce the provincial tax by up to $4,000. Always check for rebates that may apply based on your specific situation.

2. Legal Fees

When you purchase a home, you'll need to hire a lawyer to handle title transfers, review contracts, and ensure the property is properly registered. Legal fees typically range from $1,500–$3,000, depending on the complexity of the transaction. Keep in mind that if your transaction is more complicated, for example, involving a private sale or a special agreement, the fees could be on the higher end.

3. Title Insurance

Title insurance is a one-time fee that protects you against title-related issues such as fraud, errors in the public record, or disputes over property ownership. It typically costs between $350–$600 and can offer peace of mind in case of any unforeseen issues with the property’s title.

4. Home Inspection

A home inspection is an optional but highly recommended step in the home-buying process. It allows you to assess the property’s condition and uncover potential issues that may not be immediately visible. Home inspections typically range from $300 to $750, depending on the size of the property. For larger homes, the cost can be higher.

In addition to a general home inspection, you might want to consider additional specialized inspections, such as for septic systems, wells, or mold. These inspections can cost anywhere from $300 to $1,000 or more, depending on the property’s needs.

5. Appraisal Fee

Lenders typically require an appraisal to confirm the value of the property. This is an essential step for securing your mortgage. The average cost of an appraisal in Ontario ranges from $500 to $700, and this cost is usually borne by the buyer.

6. Property Taxes Adjustment

If the seller has already paid property taxes for the year, you may need to reimburse them for the portion of taxes that applies after your closing date. For example, if the seller has prepaid $7,000 in property taxes and you close mid-year, you would owe approximately $3,500.

7. Mortgage Insurance

If your down payment is less than 20%, CMHC insurance is mandatory. This insurance protects the lender in case you default on your loan. The cost of mortgage insurance depends on your down payment amount and the size of your mortgage. For a home priced at $700,000 with a 10% down payment, this cost could be $21,168, which would be added to your mortgage principal.

8. Moving Costs

Moving costs can vary greatly depending on the distance and services you require. For a local move, professional movers may charge between $1,000 to $1,500 for a single-family home, while a DIY move with a truck rental could cost between $200 to $400. Long-distance moves or additional services, such as packing, may increase costs.

9. Utility Hookups and Adjustments

When moving into your new home, you’ll need to set up utilities such as hydro, gas, water, and internet. Utility hook-up fees in Ontario can range from $30 to $150 depending on the service provider and the specific utility. If you’re moving into a home that’s been vacant for a while, you may also need to pay for reconnection or activation services.

10. Condo Fees

If you’re purchasing a condominium, you may need to pay a prorated portion of the monthly condo fees at closing. For example, if the condo fees are $400 per month, and you close mid-month, you may owe around $200 for the rest of the month. Condo fees vary widely based on the amenities and services provided by the building.

11. HST on New Builds

Unlike resale homes, new builds in Ontario are subject to HST (13%). For a new home priced at $700,000, HST would add an additional $91,000 to the cost. However, you may be eligible for an HST rebate if your new home costs under $450,000 or if you're a first-time homebuyer. Make sure to confirm whether the HST is included in the purchase price or if it will be added on top of it.

Budgeting for a Smooth Home Buying Experience

While the down payment is often the primary focus of most homebuyers, it’s important not to overlook these hidden costs. From legal fees and property taxes to mortgage insurance and utility hook-ups, these additional expenses can quickly add up and affect your overall budget.

Planning ahead and budgeting for these costs will help ensure a smoother and more predictable home-buying experience. Consider working with a knowledgeable real estate agent or financial advisor to better understand these costs and manage your finances effectively.

Ready to buy your dream home? Take the time to research these hidden costs and set your budget accordingly—so you can move in with confidence and avoid any financial surprises along the way.

Today, the Bank of Canada lowered its target for the overnight rate to 3.75%, with the Bank Rate set at 4% and the deposit rate at 3.75%. The Bank continues its balance sheet normalization efforts.

Globally, the economy is projected to grow at a steady 3% over the next two years. Growth in the U.S. is anticipated to be stronger than previously expected, while China’s outlook remains cautious. The euro area’s growth has been sluggish but is expected to improve modestly next year. Inflation in advanced economies has decreased recently, aligning with central bank targets. Since July, global financial conditions have eased, partly due to expectations of lower policy interest rates. Additionally, global oil prices are roughly $10 lower than projected in the July Monetary Policy Report (MPR).

In Canada, economic growth was around 2% in the first half of the year, with an anticipated 1.75% growth in the second half. While overall consumption has grown, it has decreased on a per-person basis. Exports have seen a boost from the opening of the Trans Mountain Expansion pipeline. The labor market remains subdued, with the unemployment rate at 6.5% as of September. Population growth continues to expand the labor force, but hiring has been moderate, impacting young people and newcomers the most. Wage growth remains high compared to productivity growth, indicating excess supply in the economy.

Looking ahead, GDP growth is expected to strengthen gradually as lower interest rates support economic activity. A modest increase in consumer spending per capita, along with slower population growth, is expected to drive this recovery. Residential investment is projected to rise, fueled by strong housing demand, while business investment should pick up as overall demand grows. Exports are likely to stay robust, supported by strong U.S. demand.

The Bank forecasts GDP growth of 1.2% in 2024, 2.1% in 2025, and 2.3% in 2026. As the economy gains momentum, the excess supply will gradually be absorbed.

Consumer Price Index (CPI) inflation has dropped notably from 2.7% in June to 1.6% in September. While inflation in shelter costs remains high, it has begun to ease. Excess supply in the broader economy has lowered the prices of many goods and services, and the recent drop in global oil prices has driven down gasoline costs. These factors have collectively brought inflation down. The Bank’s core inflation measures are now below 2.5%. With inflation pressures no longer widespread, expectations from businesses and consumers have largely stabilized.

The Bank anticipates that inflation will hover around its target range throughout the forecast period. The upward pressure from shelter and services costs is expected to diminish, while downward pressures should ease as the economy absorbs the current excess supply.

With inflation nearing the 2% target, the Governing Council has decided to reduce the policy rate by 50 basis points to bolster economic growth and maintain inflation around the mid-point of the 1% to 3% target range. If the economy aligns with the Bank's forecast, additional rate cuts are anticipated. However, the timing and pace of any future reductions will depend on economic data and its implications for inflation. Decisions will be made on a meeting-by-meeting basis. The Bank remains dedicated to maintaining price stability for Canadians, keeping inflation close to the 2% target.

Source: bankofcanada.ca

In September 2024, 1,047 homes were sold through the MLS® System of the Ottawa Real Estate Board (OREB), marking an 11.4% increase compared to September 2023. However, sales were 17.4% below the five-year average and 15.4% lower than the 10-year average for September.

Year-to-date, a total of 10,485 homes have been sold in 2024, reflecting a 6.4% rise from the same period in 2023.

"As the housing market adjusts, Ottawa’s fall outlook remains strong,” says OREB President Curtis Fillier. "Sales are picking up, and prices are steady. Both buyers and sellers are reevaluating their strategies amid expectations of further interest rate cuts, extended amortizations, and higher price caps for insured mortgages.”

Fillier adds, “While recent policy changes will boost demand, Ottawa’s market faces ongoing supply challenges. We’re not building enough homes, particularly the ‘missing middle’ type.” The Canada Mortgage and Housing Corporation (CMHC) recently reported that Ottawa's population-adjusted construction rate is at its lowest in nearly a decade. A City of Ottawa progress report shows the city has met only 22% of its annual housing target by the end of August.

By the Numbers – Prices:

• The MLS® Home Price Index (HPI), which offers a more accurate picture of price trends than averages, shows the overall benchmark price for all homes was $642,800 in September 2024, a slight 0.2% increase from September 2023.

• The benchmark price for single-family homes was $729,000, up 0.5% year-over-year.

• Townhouses/row units had a benchmark price of $500,000, down 1.7% from the previous year.

• Apartments saw a benchmark price of $414,200, a 1.3% decrease from September 2023.

• The average price of homes sold in September 2024 was $685,551, up 1.4% from a year ago. The year-to-date average price was $679,082, a 0.9% increase from 2023.

• The total value of home sales in September reached $717.7 million, a 12.9% jump from September 2023.

OREB notes that while average sale prices can reveal long-term trends, they shouldn’t be viewed as a measure of individual property value changes, as prices vary across different neighbourhoods.

By the Numbers – Inventory & New Listings:

• There were 2,343 new residential listings in September 2024, up 3.9% from the previous year, and 4.7% above the five-year average and 11.6% higher than the 10-year average.

• Active residential listings rose 16.9% to 3,529 units by the end of September 2024. This was 43.3% above the five-year average and 4.6% above the 10-year average.

• Months of inventory stood at 3.4 in September 2024, slightly up from 3.2 in September 2023. This measure represents how long it would take to sell all current listings at the current rate of sales.

source: OREB

What is Carbon Monoxide (CO)?

While natural gas is a safe and reliable energy source, malfunctioning fuel-burning equipment such as furnaces, water heaters, or fireplaces—or even a blocked vent or chimney—can release carbon monoxide (CO), a dangerous and potentially deadly gas.

Known as the ‘silent killer,’ CO is invisible and odorless. uCheck out the tips below to learn how to protect yourself and your loved ones, and watch the short interactive video (on the right) to test your knowledge of CO safety.

Recognize the Symptoms

The signs of carbon monoxide (CO) poisoning can resemble flu symptoms but without a fever. To stay safe, ensure CO alarms are installed according to local regulations, test them monthly, and replace the batteries and check their expiration date twice a year.

Symptoms vary depending on the amount of CO inhaled and the duration of exposure:

Low Concentration:

• Mild headache

• Shortness of breath during moderate physical activity

Higher Concentration:

• Severe headache

• Dizziness

• Nausea/vomiting

• Confusion

• Weakness

• Impaired vision/hearing

• Fainting or collapse

• Loss of muscle control, drowsiness

Extreme Concentration:

• Unconsciousness

• Brain damage

• Death

If you suspect CO exposure, leave the building immediately and get fresh air. Call 911 and seek medical attention. Do not re-enter your home until a qualified professional, like a firefighter, confirms it's safe.

Know what to do

If your CO alarm sounds and someone is experiencing medical symptoms:

• Go outside immediately and get into fresh air.

• Call 911 from a safe distance and seek medical attention.

• Call a heating contractor for an inspection (there will be a charge for this service).

If your CO alarm sounds and there are no medical symptoms:

• Open all doors and windows.

• Call a heating contractor for an inspection (there will be a charge for this service).

Source: www.enbridgegas.com

3 Simple Winterization Steps for Your Lawn Tractor

Before putting your tractor away for the winter, take a few quick steps to avoid issues in the spring:

1. Prevent Engine Corrosion: Moisture in an idle engine can cause rust. To stop this, "fog" the engine by spraying an oily mist into each cylinder. Just remove the spark plugs, spray some aerosol fogging oil (available at auto parts stores), and reinstall the plugs.

2. Protect the Battery: A battery that isn’t fully charged can suffer permanent damage, especially in cold weather. Hook the battery up to a charger and charge it until the voltage reads 12.7 volts.

3. Stabilize the Fuel: Gas left sitting in the tank can clog the fuel system, leading to costly repairs. Add a fuel stabilizer like STA-BIL or Seafoam before storing the tractor. (It’s also a good idea to use a stabilizer year-round.) Stabilizers don’t work well with ethanol-blended gas, so if you’re unsure about the fuel, run the engine until the tank is empty.

Winterizing Your Gas Grill

If you don’t plan to grill during the winter, now’s the time to store your grill before it's buried under snow. After giving it a thorough cleaning to remove grease and food residue, follow these steps to ensure a hassle-free grilling season next spring:

1. Shut off the gas at the LP tank, detach the burner, remove the gas tubes, and take out the unit. Apply a layer of cooking oil to the burners and other metal parts to protect them from moisture and rust. Wrap the burner unit in a plastic bag to prevent spiders and insects from nesting in the gas tubes—a common issue that can cause poor starts, uneven flames, or even fires.

2. If you're storing your grill outdoors, leave the propane tank connected (but turned off) and cover the grill with a protective cover once cleaned. If storing indoors, disconnect the propane tank and leave it outside, upright, away from vents or play areas. Never store the tank indoors, as even a small leak can lead to a dangerous explosion. Finally, cover the grill’s gas line opening with a plastic bag to keep bugs out.

How to Winterize Your Sprinkler System

You can either hire a professional to blow out your sprinkler system each year or tackle it yourself with an air compressor. The key is ensuring no water remains in the lines, as any leftover moisture can freeze and cause pipes to burst. Keep in mind that even the largest home compressors can’t handle the entire system at once, so you’ll need to blow it out zone by zone.

If you have your original irrigation layout, you can calculate the cubic feet per minute (cfm) needed to blow out each zone. Divide the total gallons per minute (gpm) of the zone by 7.5 to find the cfm. If you don't have this information, just rent a 10-cfm compressor and hose from a local tool rental shop.

Set the compressor’s air pressure to a maximum of 80 psi for rigid PVC systems or 50 psi for flexible black polyethylene systems. Turn off the water supply and set the timer to open one zone at a time. If there's a manual drain valve at the end of the zone, open it as well.

Next, close both valves on the backflow preventer and remove the plug on the blow-out port. Attach a quick-connect hose adapter, connect the air hose, and blow out the zone. Once the sprinkler heads pop up and expel water, disconnect the hose immediately.

Avoid overdoing it, as the plastic gears inside the heads can melt in less than a minute without water to cool them. Move to the next zone and allow the heads to cool before repeating the process. For good measure, blow out each zone twice.

Winterize Your Pressure Washer or Risk Ice Damage

I once had an electric pressure washer—emphasis on had. A few years ago, I left it in the garage over winter without draining the pump. The water inside froze and expanded, and when I tried to use it the following spring, water sprayed out from everywhere except the nozzle. I learned the hard way that I should have disconnected the hoses and used a pump antifreeze/lubricant like Pump Saver from Briggs & Stratton. This product pushes out the water and replaces it with antifreeze and lubricant to protect the pump. You can find pump antifreeze/lubricants at most home improvement stores.

Protect Your A/C Compressor From Falling Icicles

There's no need to completely wrap your air conditioner for the winter—many manufacturers actually discourage it, as it can attract rodents and trap moisture, leading to premature corrosion. However, placing a piece of plywood on top of the unit is a smart way to shield it from potential damage caused by falling icicles.

Drain Your Garden Hoses or End Up Replacing Them

I’ll admit, I’ve occasionally been too lazy to drain my garden hoses before winter. Most of the time, it’s fine, but every now and then, frozen water splits a hose wide open. I’ve lost a few cheap ones this way, and even an expensive one (ouch!). It’s a needless expense because draining hoses is quick and simple: either blow out the water with an air compressor or stretch them out on a sloped yard or driveway to let the water drain out.

Gutter Cleaner Tip

An old plastic spatula works perfectly for cleaning debris from gutters! It won't scratch the surface, and you can easily trim it with snips to match the gutter’s shape. Plus, grime wipes off easily, making cleanup quick and simple. Not in the mood for all that effort?

The Government of Canada has announced a series of comprehensive mortgage reforms designed to make homeownership more attainable, particularly for younger Canadians. Rising mortgage costs have long been a barrier to buying a home, especially for Millennials and Gen Z. In response, new rules were introduced on August 1, 2024, allowing 30-year insured mortgages for first-time buyers purchasing newly constructed homes.

The Honourable Chrystia Freeland, Deputy Prime Minister and Minister of Finance, announced further changes to make mortgages more affordable and homeownership more accessible. Key reforms include:

• Raising the cap on insured mortgages from $1 million to $1.5 million starting December 15, 2024. This reflects current housing market conditions and will help more Canadians qualify for a mortgage with less than a 20% down payment.

• Expanding eligibility for 30-year mortgage amortizations to all first-time homebuyers and buyers of new builds, effective December 15, 2024, reducing monthly payments and boosting affordability. This also aims to encourage new housing construction, addressing the ongoing housing shortage.

These reforms build on the enhanced Canadian Mortgage Charter from Budget 2024, which allows insured mortgage holders to switch lenders at renewal without undergoing another mortgage stress test. This fosters greater competition and ensures that Canadians can secure the best mortgage rates when renewing.

These changes represent the most significant mortgage reforms in decades, forming part of the government's broader plan to build nearly 4 million homes—the largest housing initiative in Canadian history. Additional regulatory updates will be introduced in the coming weeks.

In addition to making mortgages more accessible, the federal government is taking steps to protect homebuyers and renters. Today, blueprints for a Renters’ Bill of Rights and a Home Buyers’ Bill of Rights were unveiled. These new policies, developed in partnership with provinces and territories, aim to eliminate unfair practices, simplify leases, and increase transparency in the housing market. The government is also leveraging the $5 billion Canada Housing Infrastructure Fund to encourage provincial action on issues like renovictions, blind bidding, and standardized lease agreements.

Quotes
“We’ve already helped more than 750,000 Canadians save for a down payment through the Tax-Free First Home Savings Account. Now, with these bold mortgage reforms, we are making it easier for Canadians—especially younger generations—to achieve homeownership. By raising the insured mortgage cap and extending repayment terms, we are unlocking homeownership for more people and encouraging lender competition to secure better rates.”
— The Honourable Chrystia Freeland, Deputy Prime Minister and Minister of Finance

“Everyone deserves a safe, affordable home. These new mortgage measures will significantly help Canadians, especially first-time buyers, as they enter the housing market.”
— The Honourable Sean Fraser, Minister of Housing, Infrastructure, and Communities

Quick Facts

• The enhanced Canadian Mortgage Charter ensures that Canadians facing mortgage difficulties have access to tailored relief, and supports first-time homebuyers.

• Mortgage loan insurance enables Canadians to finance up to 95% of their home’s purchase price, helping them secure competitive interest rates with smaller down payments.

• The government’s housing plan, the largest in Canadian history, will unlock nearly 4 million new homes to make housing more affordable.

• The Tax-Free First Home Savings Account allows Canadians to save up to $8,000 annually and $40,000 in total, tax-free, towards a down payment.

• The Home Buyers’ Plan limit was increased from $35,000 to $60,000 in Budget 2024, allowing first-time buyers to withdraw from their Registered Retirement Savings Plan (RRSP) to build or buy their first home. This can be combined with the Tax-Free First Home Savings Account for maximum savings.

Source: www.canada.ca

Ottawa's real estate market is a standout performer throughout the year, and here's why:

Steady Economic Growth

Ottawa’s economy benefits from key sectors like government, technology, and education. As the nation’s capital, it attracts government jobs, tech professionals from companies like Shopify, and students from local universities, driving consistent housing demand.

Diverse Housing Options

With options ranging from historic homes in The Glebe to modern condos in Downtown, Ottawa caters to all preferences and budgets. This diversity means both buyers and sellers can find what they're looking for, whether it’s a first home or an investment property.

Strong Rental Market

Ottawa’s rental market remains strong, supported by students, government employees, and tech workers. This steady demand is great for investors seeking reliable returns and for buyers who may want to rent before purchasing.

Quality of Life

High quality of life in Ottawa, including its clean environment, excellent healthcare, and abundant green spaces, makes it a desirable place to live and invest. This appeal keeps the market active and attractive for both buyers and sellers.

Market Trends and Timing

While Ottawa’s market has seasonal variations, its underlying stability offers year-round opportunities. Sellers can benefit from understanding market timing and maintaining their homes, while buyers should stay informed to seize the right moment.

In conclusion, Ottawa’s thriving real estate market offers benefits for both buyers and sellers. Its economic stability, diverse options, strong rental market, and high quality of life create a vibrant landscape for making informed real estate decisions.

For personalized advice and insights, contact us today!

The Bank of Canada today lowered its target for the overnight rate to 4.25%, with the Bank Rate set at 4.5% and the deposit rate at 4.25%. The Bank continues its policy of balance sheet normalization.

Globally, the economy grew by approximately 2.5% in the second quarter, in line with forecasts from the Bank's July Monetary Policy Report (MPR). Economic growth in the United States exceeded expectations, driven by consumer spending, though the labor market has slowed. Growth in the euro area was supported by tourism and services, while manufacturing lagged. Inflation in both regions is easing. In China, weak domestic demand has hindered economic growth. Since July, global financial conditions have further relaxed, with bond yields decreasing. The Canadian dollar has seen a modest appreciation, largely due to a weaker US dollar. Oil prices are lower than projected in the July MPR.

In Canada, the economy expanded by 2.1% in the second quarter, primarily due to government spending and business investment. This growth was slightly above the July forecast, though early indicators suggest weaker economic activity through June and July. The labor market remains sluggish, with minimal employment changes in recent months, although wage growth continues to outpace productivity.

As expected, inflation fell to 2.5% in July. The Bank's preferred measures of core inflation averaged around 2.5%, and the percentage of consumer price index components rising above 3% is now close to historical levels. High shelter price inflation remains the largest contributor to overall inflation but is beginning to ease. Inflation in certain services also remains elevated.

Given the ongoing reduction in inflationary pressures, the Governing Council decided to lower the policy interest rate by another 25 basis points. Excess supply in the economy continues to push inflation downward, while rising prices in shelter and some services are keeping inflation elevated. The Governing Council is closely monitoring these opposing forces. Future monetary policy decisions will be based on incoming data and their impact on inflation forecasts. The Bank remains committed to restoring price stability for Canadians.

Source:www.BankofCanada.ca

Curb appeal refers to the visual attractiveness and overall charm of a property's exterior. It includes elements like landscaping, architectural details, cleanliness, maintenance, and design features, all of which shape the first impression that potential buyers or visitors will have of the home.

With each changing season, it's an opportunity to refresh your home's outdoor space. Whether you're preparing to sell or simply take pride in your well-maintained home, there are several easy ways to enhance your home's exterior this summer.

Here are five effective strategies to boost your curb appeal:

1. Revamp the Driveway Your driveway is one of the first things noticed upon arrival, making it crucial for curb appeal. Start by pressure washing to remove dirt and debris. If you find any cracks or loose stones, repair or replace them as needed. For a fresh look and added protection, consider sealing the driveway.

Adding a rock garden or hedge can enhance the visual appeal, providing a natural and attractive border that complements your landscaping.

2. Tend to Your Lawn and Gardens An overgrown lawn and weed-filled garden can be off-putting. Improve your lawn by seeding, fertilizing, and aerating, and ensure it's adequately watered. Refresh garden beds with new mulch and plants. If starting anew, use landscaping fabric to keep weeds at bay while allowing water and air to nourish the soil.

3. Enhance Your Front Entrance Your front entryway sets the tone for your home. Start by cleaning the area, fixing any damage, and replacing burnt-out light bulbs. Paint your front door a vibrant color to brighten the facade and protect it from the elements. Add decorative touches such as hanging or potted plants, comfortable seating, and a seasonal wreath to create a warm and inviting entrance.

4. Update Your Deck and Patio Clean your patio and deck with a pressure washer and apply a fresh coat of protective stain to the deck. Remove weeds between patio stones and consider cleaning the siding and windows while you're at it. Refresh or replace weathered patio furniture and arrange it for optimal enjoyment.

Add potted plants to your deck or patio for added privacy and aesthetics. Large plants can act as a barrier from neighbors while also attracting beneficial wildlife like bees, birds, and butterflies.

5. Upgrade Your Lighting Outdoor lighting can dramatically enhance your home's appearance after dark. Install pot lights under the eaves to illuminate the exterior and create a grand effect. Solar-powered lights along the driveway or walkway provide both functionality and a welcoming ambiance. If space allows, add a pendant light to the front porch for a cozy touch. Lanterns or string lights can transform your patio, deck, or backyard into a charming space for relaxation and entertaining.

By making these updates, you can significantly boost your home's curb appeal. Even small changes can make a big difference, helping to create a welcoming and visually appealing exterior that reflects your personal style and pride in your home.

The Ottawa real estate market showed signs of growth in July 2024, with 1,241 homes sold through the MLS® System of the Ottawa Real Estate Board (OREB). This represents a 13.6% increase compared to July 2023.

However, home sales were still 7.1% below the five-year average and 8.8% below the 10-year average for July. Despite this, year-to-date sales figures were encouraging, with 8,349 units sold by July 2024, marking a 5.5% increase from the same period in 2023.

The market’s performance is a positive signal amidst the usual summer slowdown, reflecting growing buyer confidence and a steady stream of new listings. Recent policy changes, including interest rate cuts and extended mortgage amortization periods for first-time buyers, could further support the market, though supply challenges remain.

Price Trends

The MLS® Home Price Index (HPI) provides a detailed view of price trends:

The overall MLS® HPI composite benchmark price in July 2024 was $648,900, up slightly by 0.1% from July 2023.

Single-family homes had a benchmark price of $734,700, down 0.1% year-over-year.

Townhouse/row units saw a benchmark price of $506,100, an increase of 3.4% compared to last year.

The benchmark price for apartments was $422,800, a decrease of 0.9% from July 2023 levels.

The average price of homes sold in July 2024 stood at $679,610, reflecting a 2.1% decrease from July 2023. The year-to-date average price, however, showed a slight increase of 1.0%, reaching $681,082. The total dollar volume of home sales in July 2024 was $843.3 million, an 11.3% increase from July 2023.

Inventory and New Listings

New residential listings in July 2024 increased by 17.1% from the previous year, totaling 2,231 new listings. Active residential listings at the end of July 2024 numbered 3,480 units, a substantial 37.0% increase from July 2023. The months of inventory, which indicates how long it would take to sell current listings at the current sales pace, rose to 2.8 months, up from 2.3 months in July 2023.

These statistics reflect a market that is gaining momentum, with increasing buyer activity and a growing inventory, although challenges around supply and affordability persist.

Source: Ottawa Real Estate Board

Do you often find yourself browsing listings and dreaming about your next move? If so, it’s essential to look beyond listing prices and down payments. Whether you're looking to upgrade or make your first investment, it's crucial to consider various financial aspects before buying a home. Here are some key expenses to factor into your decision:

Utilities

Upgrading to a larger home or one with older, less efficient appliances can significantly impact your utility costs. It's important to estimate these additional expenses accurately. Consider the size of the home, the age and efficiency of the heating, cooling, and water systems, and any additional appliances that might come with the property. Add these estimated costs to your current monthly budget to see how a move might affect your overall spending. Doing this will help you avoid any surprises when your first utility bill arrives after the move.

Mortgage Penalty

Breaking your current mortgage term early might come with a penalty, which is usually around three months' worth of interest. However, this amount can vary depending on your lender and the terms of your mortgage. It's crucial to read the fine print of your mortgage agreement and understand the penalties for early repayment or refinancing. In some cases, negotiating with your lender for a lower penalty or even exploring the possibility of porting your mortgage to the new property might be beneficial. Always consult with your financial advisor to understand the best course of action.

Moving Costs

Moving is never just about transporting your belongings from one place to another. There are numerous additional expenses to consider. If you plan to hire professional movers, get quotes from multiple companies and check for any hidden fees, such as charges for moving large items or extra insurance. If you opt for a DIY move, factor in the cost of renting a moving truck, fuel, and possibly temporary storage. Don’t forget smaller costs like packing materials or even throwing a pizza party to thank friends who help you move. If your schedule allows, consider moving during the off-peak season when costs tend to be lower.

Legal Fees

Hiring a trusted real estate lawyer is essential to ensure that all the legal aspects of your home purchase are handled correctly. Legal fees can vary widely, so it’s important to understand what services are included in the fee structure. These services typically include reviewing the purchase agreement, conducting a title search, handling the transfer of funds, and registering the new property with the local land registry office. Always get a detailed breakdown of the estimated costs and confirm these with your lawyer before you sign any offers. This will help you avoid any unexpected charges at closing.

Additional Considerations

Beyond these primary expenses, there are other costs to consider when buying a home. These might include home inspection fees, property taxes, insurance, and potential renovations or repairs needed immediately after purchase. A thorough home inspection can reveal issues that might not be apparent during a regular viewing and can give you leverage in negotiating the purchase price or requesting repairs before closing.

By carefully considering all these financial aspects, you can make a well-informed decision and ensure that your dream move doesn't turn into a financial nightmare. Planning ahead and budgeting for these expenses will help you transition smoothly into your new home and enjoy it from day one.

Ready to dive deeper into the home-buying process? Visit our latest blog for comprehensive tips and insights to guide you every step of the way. Contact us to ensure you're well-prepared for a successful move by uncovering all potential hidden costs!

Get ready for an incredible weekend in Ottawa! From fireworks to buskers, ribs, and poutine, there's something for everyone. Check out this list of events and share it with your friends. Know of any other events? Share them in the comments!

12 Must-See Events in Ottawa

Casino Lac-Leamy Fireworks Experience world-class pyromusical performances, culinary delights, artistic showcases, and multimedia art installations. Tickets start at $16. Watch from various points along the Ottawa shoreline, including Major’s Hill Park. Fireworks at 9:15pm.

When: July 31 and Aug 3, 7, 10, 14, 17
Where: Canadian Museum of History grounds, Laurier St, Gatineau
Details:feux.qc.ca

Ottawa International Buskerfest Enjoy world-class performances, free workshops, strolling acts, and food vendors. Free entry.

When: August 2-5
Where: Sparks St
Details: ottawabuskerfestival.com

Capital Ribfest & Poutine Savor the best ribs and poutine, along with live music, games, and drinks. Free entry.

When: August 2-5, 12-9pm (Mon, 12-6pm)
Where: City Hall, 110 Laurier St W
Details: capitalribfest.ca

Ottawa Chamberfest The largest and one of the oldest chamber music festivals in the world celebrates its 30th anniversary. Enjoy free and paid concerts in beautiful venues.

When: July 25-Aug 8
Where: Various venues
Details: chamberfest.com

Capital Pop Up Cinema Watch a free outdoor screening of "The Wedding Singer." Approx. 8:45pm.

When: Friday, Aug 2
Where: Beachwood Cemetery, 280 Beechwood Ave
Details: IG @capitalpopupcinema

613 Flea Shop from over 150 vendors offering eclectic goods, handmade items, antiques, vintage clothing, food, and more. Free entry.

When: Saturday, Aug 3, 10am-4pm
Where: Aberdeen Pavilion, Lansdowne Park, 1015 Bank St
Details: @613flea

Atletico Ottawa vs Cavalry FC Support Ottawa’s professional soccer team against Cavalry FC from Calgary.

When: Saturday, Aug 3, 7pm
Where: TD Place, 1015 Bank St

Colonel By Days Explore Ottawa’s rich history and the canal builder’s legacy with live tours, period costumes, and workshops. Free entry.

When: Saturday, Aug 3-Monday, Aug 5, various times
Where: Ottawa Locks Bytown Museum, 1 Canal Lane, Ottawa
Details: ottawamuseumnetwork.ca

Open Doors at Rideau Hall Tour the grounds, state rooms, gardens, and greenhouses of the Governor General's residence. Free entry.

When: Saturday, Aug 3-Monday, Aug 5, 10am-4pm
Where: Rideau Hall, 1 Sussex Dr, Ottawa
Details: gg.ca

Company of Fools: Macbeth Enjoy Shakespeare’s Macbeth with an all-female/non-binary cast. Pay-what-you-can ($20 suggested).

When: Friday, Aug 2-Monday, Aug 5 (and beyond), 7pm-8:30pm
Where: Aug 2nd Alexander Grove (Stittsville), Aug 3rd Fairmont Park (Civic Hospital), Aug 5th Strathcona Park (Sandy Hill)
Details: fools.ca

Glengarry Highland Games Experience Scottish heritage with over 60 pipe bands, 200 Highland dancers, and traditional sports. Tickets: $30 (children 12 and under free).

When: Friday, Aug 2, 8am-2am; Saturday, Aug 3, 8am-10pm
Where: 34 Fair St, Maxville
Details: glengarryhighlandgames.com

Festival Country du Grand Gatineau Celebrate the 32nd edition of the Grand Gatineau Country Festival with performances by over 40 country music artists. Tickets: $26.85 & up.

When: Aug 1-4; Friday from 7pm, other days from 1pm
Where: Father Arthur Guertin Center, 16 Rue Bériault, Gatineau
Details: countrygatineau.com

Saturday

Crush: The Bon Jovi Experience Enjoy Bon Jovi's greatest hits with Crush. Tickets: $25.57-$31.59 incl tax.
When: Saturday, Aug 3, 8pm-11pm
Where: Rideau Carleton Casino, 4837 Albion Road

Major League Quad Watch the Ottawa Black Bears face the Boston Forge in the 2024 MLQ finale. Pay-what-you-can (min. $5).
When: Saturday, Aug 3, 2pm-5pm
Where: 140 Main St, Ottawa
Details: mlquadball.ticketleap.com

Urban Art Collective Saturday Themed Markets Discover unique treasures at the Antique & Vintage Market. Free entry.
When: Saturday, Aug 3, 12pm-5pm
Where: 1088 Somerset St. W, Ottawa

Sunday

Salsa Sundays Join this free weekly dance class led by instructors from the University of Ottawa’s Salsa Club. No partner is needed, and the instructors will have you dancing with Latin flair in no time! Every Sunday from June 9 to September 1, 3pm to 5pm at George Street Plaza, 55 Byward Market Square.

Zumba on the Hill Get your groove on at Parliament Hill with certified Zumba instructors. This lively Zumba Party is free to attend. Sundays from 4pm to 5:15pm. Location: Parliament Hill. Details: Zumba on the Hill Facebook

Lansdowne Market Explore over 75 vendors offering a variety of local produce, baked goods, crafts, hot meals, and more. Pets are welcome. Every Sunday from 9am to 3pm at the Aberdeen Pavilion, 1000 Exhibition Way, Ottawa.

Monday

Bring the Kids! Enjoy a classic and chamber music recital at the National Arts Centre, designed to keep kids engaged with short attention spans. Free admission. Monday, August 5 at 12pm. Location: 1 Elgin Street, Ottawa, ON K1P.

Meet & Greet with Sesame Street Meet Elmo, Abby, and the Cookie Monster at Tanger Outlet. Enjoy face painting, games, and treats with your little ones. Free event. Monday, August 5 from 11am to 3pm. Location: 8555 Campeau Drive, Ottawa.

Source: Ottawaisnotboring.com