Ottawa’s residential real estate market entered 2026 on balanced footing. Inventory levels remain higher than in recent years, giving buyers more choice, while sellers continue adjusting to conditions that reward accurate pricing and patience.
Benchmark prices are down year over year across all housing types, with softer conditions most evident in townhouses and apartments. Detached homes, however, continue to show greater price stability. Overall, January’s data points to a market operating more evenly — not one under broad-based pressure.
“What January is showing us is a market that’s adjusting in a healthy way. We’re seeing more choice for buyers, more realism on the selling side, and pricing that’s responding to those conditions without sharp swings. That kind of balance is a sign of stability, not stress.”
— Tami Eades, President, Ottawa Real Estate Board
Residential Market Activity
In January, 610 residential properties sold in Ottawa. While this reflects a typical post-holiday slowdown, it also signals a steadier start to the year. Sales were 5.6% lower than January 2025, but still within long-term January norms — indicating that demand remains present, even as buyers proceed cautiously amid affordability considerations.
The average residential sale price came in at $641,436, down 4.5% year over year. This change aligns with normal winter market dynamics and a more price-sensitive buyer pool.
Recent interest rate reductions are beginning to ease pressure at the margins. So far, their impact appears to be influencing buyer engagement first, rather than fully translating into completed transactions.
The MLS® Home Price Index further confirms the trend: benchmark prices for single-family homes, townhouses, and apartments all posted modest month-over-month declines in January.
Inventory & Market Balance
Supply conditions continue to vary by property type.
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New Listings: 1,522 (↑ 8.8% year over year)
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Active Listings: 2,673 (↑ 22.7% year over year)
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Months of Inventory: 4.4
While inventory remains elevated compared to recent seasonal norms, growth has slowed. This has helped prevent a buildup of excess supply.
With months of inventory now closer to long-term, pre-pandemic averages, Ottawa’s housing market is operating in more balanced territory. Buyers benefit from increased choice and negotiating flexibility, while well-priced homes are still attracting solid interest.
Property Type Breakdown
Single-Family Homes
Detached homes remained Ottawa’s most stable segment.
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Sales: 276 (↓ 13.8% year over year)
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Months of Inventory: 4.3
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Active Listings: 1,177
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New Listings: 663 (essentially flat year over year)
Pricing:
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Average Price: $793,874 (↓ 3.6%)
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Median Price: $750,000 (unchanged year over year)
These figures suggest detached home pricing is adjusting in an orderly manner. While the benchmark price edged lower year over year, declines remain limited — a shift from the modest gains seen late last year.
Townhomes
Townhomes saw stronger sales activity, but supply expanded sharply.
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Sales: 215 (↑ 6.4% year over year)
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New Listings: 487 (↑ 45.8% year over year)
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Active Listings: 708 (↑ 67.0%)
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Months of Inventory: 3.3
Pricing:
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Average Price: $536,106 (↓ 3.3%)
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Median Price: $560,000 (↓ 3.4%)
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Benchmark Price: ↓ 3.2% year over year, ↑ 1.0% month over month
As supply increased, leverage shifted modestly toward buyers. However, the month-over-month uptick in the benchmark price suggests this segment may be stabilizing.
Apartments & Condos
The apartment segment showed a constructive shift in January.
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Sales: 95 (up from 78 in December)
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Months of Inventory: 6.8 (down from 7.9)
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New Listings: 312 (up from 144 in December)
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Active Listings: 647
While a seasonal influx of new listings increased supply, stronger absorption prevented further imbalance.
Pricing:
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Average Price: $388,307 (↓ 12.1% year over year)
This remains Ottawa’s most price-sensitive segment. However, the combination of higher sales and lower months of inventory suggests conditions may be starting to stabilize.
Looking Ahead to Spring 2026
January reflects a familiar winter pattern: slower sales and cautious buyer behaviour shaped by seasonal factors and ongoing economic uncertainty.
At the same time, there are early signs that market conditions are beginning to firm:
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Improved absorption in the apartment segment
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Stable detached home pricing
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Resilient townhome activity
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Slowing inventory growth
This aligns with CREA’s 2026 outlook, which anticipates improving conditions as lower interest rates gradually draw sidelined demand back into the market.
If rate reductions continue to ease affordability pressures, January’s data supports a credible case for a stronger spring market ahead.
If you’d like a personalized breakdown of what these trends mean for your property — or for your buying plans in 2026 — feel free to reach out.
