Everything you need to know if your considering buying a home in ottawa

Should you Rent or Buy your Home in Ottawa?

If you’re relocating to Ottawa I’m sure youve been trying to decide if you should rent or buy a home. I will go over the pros and cons of both options. Moving to a new city can be challenging and many might opt to rent first to figure out if they like the area – I’m going to uncover exactly how much this will cost you and other more cost effective options.

Firstly, let’s review the benefits of renting. Renting can be cheaper in most cases than buying a home, and any and all maintenance within the home comes out of your landlord’s pocket. If you are moving to Ottawa, renting first can seem like a great option to discover a neighborhood with little commitment.

Renting might be worth it...

Rent in Ottawa particularly in Kanata is actually one of the most expensive suburbs in all of Canada. In 2019 Kanata had the highest rental price for a 2 bedroom apartment in Canada as a whole. Renting a 3 bedroom townhome in Kanata will be on average $2200 monthly. One year of rent will be over $26,000.

My recommendation is to hire a Realtor who can help you uncover exactly what you are looking for so you can save $26,000 on rental payments and buy a home instead. Renting for a year can sound like a great option but it’s like throwing money away!

Relocating to Canada?

Now of course if you cannot afford to buy a home renting is the way to go. If you are a newcomer to Canada however, it can be challenging to find a rental as you will have no established credit in Canada. Normally you will need a cosigner with a Canadian credit score in order for a landlord to accept your application.

Currently the rental market is moving quite quickly – this can make it difficult to find a rental. If you have pets this can also make finding a rental hard to achieve.

I believe that investing in real estate in Ottawa is a great decision. We are rapidly expanding in population which is increasing our housing shortage. The shortage is increasing demand which is in-turn increasing prices. My advice would be to get into the market as soon as you can to capitalize on your investment.

Buying a Home in Ottawa

Interest rates are at the moment higher than in previous years. This has slowed buying activity. As a buyer entering the market this is great as you will have less competition for homes and more space to negotiate. Once the rates come down even slightly I believe there will be a major surge in activity in the market.

If you are unsure of the market here in Ottawa and are wondering if investing in real estate is a good idea for the long term, lets review the Ottawa sales chart illustrating the residential sales price increases and decreases over the last 65 years.

This graphic is extremely informative as it reviews price changes year over year. Interestingly enough only 5 years out of 65 had a negative price change in average home price. If you are unsure if real estate is a good investment this graphic should help you understand why it is.

Ultimately renting and buying both have their pros and cons. Most of the time it comes down to affordability and many have to rent. If you do in fact have the ability to purchase a home here in Ottawa I would say that is your best option if you will be here long term.

Need Help Finding a Home in Ottawa?

I help families confidently and successfully relocate to Ottawa.

Moving to a new city is exceptionally challenging. I am your resource for all things Ottawa. Finding a home let alone a new neighbourhood is a huge undertaking without any support. Connect with me where I will help guide you through the process in relocating to your new city!