While buying a home in Ottawa remains challenging in 2021, it has been a successful start to the year for our relocation clients. The pandemic has again affected how some HHTs are being authorized. Travel restrictions and quarantine protocols are forcing some to reevaluate their approach to finding a home in Ottawa. This year I have already completed three purchases with military clients, each a little different.
Our first HHT was an Imposed Restriction. Only one of the buyers was able to be in Ottawa. After two close calls in multiple offer situations, we found a property backing onto a golf course that was willing to entertain pre-emptive offers. We performed a home inspection first to protect ourselves and ensure we could present a strong offer and secured the home before other buyers could get organized.
Our next purchase was entirely virtual, with an in-person HHT as back-up. The top priority was to avoid higher prices and competition later in the year. With an iPad and lots of discussion on the road we toured several properties and secured a 2021 built home in a brand-new community. Buying a home without ever stepping foot inside is not for everyone. It can be hard to get a feel for the house, let alone the neighbourhood. To these buyers, the age of the home meant that the possibility of unnoticeable issues was low compared to resale homes, which made buying sight-unseen much more comfortable.
Most recently, we purchased a home with another IR client. Many listings hit MLS Tuesday-Thursday and wait to review offers until the following week. Our buyers were able to be in Ottawa Monday-Friday, which made it difficult to compete against buyers who had been preparing all week. Our clients adapted well and were able to make quick decisions. We launched the team into action to compete against a bully offer at a home we had been discussing and came out on top despite having only 30 minutes to prepare our offer.
All of our relocation success stories are built on preparation, organization, and communication. Flexibility is key. Contacting a Realtor in Ottawa should be one of the first things you do if you think you will be receiving a COS letter. We look forward to helping many more relocation clients during the upcoming posting season.
Every year the Chris Scott Team helps as many CAF members as we can, with their relocation into or out of Ottawa. My name is Colin and I am part of the Chris Scott Team, I have personally helped many buyers with their military relocations. Military relocations are a huge focus for us, and a part of our business that we all thoroughly enjoy. Based on recent moves and current trends, these are my Top 5 areas for members to check out in 2021:
Fairwinds, Stittsville (west)- Affectionately known as CFB Fairwinds, this is a neighbourhood that our relocation clients continue to flock to! A newer community that has a focus on family living, Fairwinds is a popular choice for military moves. It offers homes from several well-known builders that come in an array of sizes, styles, and prices across the neighbourhood- which makes for a great selection of homes when you are moving in, and a large pool of Buyers when you are promoted to another city. The west end of Ottawa has remerged as a hotspot for cutting-edge tech industries, in addition to the recent opening of the National Defence Headquarters on Carling Ave.
Hunt Club Woods (central/south)- One of my favourite areas in Ottawa. Phenomenal access to highways in all directions, downtown in 20-25 minutes, and well- established neighbourhoods. Walk scores are sometimes a little low, yet there are several major shopping hubs within a short drive or bus ride. There is a hearty sense of community from many long-term homeowners, and more recently a new generation of families with young children.
Riverside South (south)- An area that is still developing, Riverside South has a lot to offer for some Buyers. Many homes and subdivisions are quite new, in an area that shows strong potential for growth over the next few years. Many homes are move-in ready and may not need any big-ticket upgrades before your next posting. Ideal for members working at CFS Leitrim, or those who do not have a daily commute to downtown. It has the same great access to major routes as Hunt Club, yet in the newer areas there are still some amenities that are lagging a bit behind the pace of home construction. The good news is that they are coming, along with future stages of the OC Transpo Light Rail System, so there are many reasons to expect value to continue increasing.
Avalon/Fallingbrook, Orleans (east)- For those looking for some relief on purchase price, the east end can sometimes be the answer. There are many similar neighbourhoods as in Kanata and Stittsville- yet without a home for Tech and DND, the longer commute has historically helped to temper the average sale price. With an increasingly gig-focused economy, Covid-19, Stage 1 of the LRT at Blair Station in Gloucester (with more track coming soon heading east), and new subdivisions under construction every day, Orleans has become a popular place for incoming members in this competitive market.
Kemptville/Carleton Place/Arnprior (south/west surrounding towns and cities)- With home prices consistently on the rise, and many members relocating from smaller markets, these outlying communities are often go-to areas to shop in during our HHTs. Distance to Ottawa means that property values are generally lower than in the city, although these areas are growing closer and closer to Ottawa every year, as new Industry and home prices drive Buyers away from the downtown core. These areas can also offer a bit of greenspace for Buyers who are giving up large lots in rural towns to move to Ottawa. There can be less competition from other Buyers, yet resale opportunity can also be a factor at the end of a posting.
Wherever you are most comfortable looking for a home in Ottawa, the Chris Scott Team has the knowledge and experience to help with your relocation- before, during, and after your HHT. Our mission is to turn every client into a Raving Fan!
This blog post was a contribution by our team member Colin.
As a military relocation specialist, I am sometimes asked to contribute to the state of our real estate market. Here is a good article that appeared in the Ottawa Citizen and Sunday Sun that I had the pleasure of assisting with. It explores the reasons why the Ottawa market is rising while unemployment is trending upward. These price increases have made it challenging for Ottawa military relocation clients who are trying to find a home here at a reasonable value. If you are being relocated to Ottawa keep our team in mind. We will do whatever it takes to make your HHT a successful endeavor!
Author of the article:
James Bagnall
As appeared in the Ottawa Citizen and Ottawa Sun on June 7, 2020
I caught up Saturday morning with Chris Scott, the realtor who for the past 16 years has been selling homes under the Keller Williams Integrity Realty banner. He had just finished showing homes for a military official who was being transferred from New Brunswick to Ottawa.“When he returns to New Brunswick, he’ll have to self-quarantine for two weeks,” Scott said. “He’s got to find something this week or he’ll have to do it all over again.”That is just one example of what’s driving up Ottawa house prices in the midst of a pandemic. Scott, who specializes in real estate services for military personnel, pointed out that many potential buyers have been frustrated by the scarcity of listings and the resulting bidding wars.
Chris Scott, a sales representative with Keller Williams VIP Realty. Scott specializes in finding and selling homes for military personnel. JAMES BAGNALL/Postmedia
A recent listing in Munster Hamlet, for instance, attracted eight offers, pushing the $415,000 asking price for the single-family dwelling to $460,000.
“The buyers are there,” Scott said. “They’re ready.”
This, in part, explains why average prices for resale homes in May jumped 11.2 per cent year over year to $548,000, while sellers of condos saw average prices surge 15.5 per cent to nearly $344,000. What’s missing, big time, is available properties. At the end of May, just 1,933 residences and condos were listed for sale in Ottawa, down 50 per cent from a year earlier. This, in a city with 264,000 owned properties, including 59,000 condos.Clearly some of the scarcity reflects potential sellers’ concerns about COVID-19. But in the past few weeks, Scott said, people who had delayed putting their houses up for sale are now calling him. “They’re more comfortable with the safety features we’ve put in place as an industry,” he noted, “as well as with the favourable trend in the number of infections.”
Yet the underlying weakness in the local job market is profound. The capital region’s jobless rate soared from less than five per cent pre-pandemic to more than 14 per cent in May.That’s more than 100,000 people out of work in a regional workforce of 757,000. And that doesn’t include the many thousands who have been laid off temporarily as a result of COVID-19, but aren’t counted among the officially unemployed. Many have little idea when they’ll be called back to work by employers.So why aren’t the jobless numbers having a bigger impact on house prices?
Part of it has to do with just who is being laid off. The hardest hit have been young and lower paid workers, people unlikely to be involved in bidding wars for half-million-dollar properties.
During the year ended in May, nearly one-third of the net 2.6 million jobs shed across Canada were those of people aged 15 to 24. This cohort accounts for just 14 per cent of the total working-age population. Drilling a little deeper, one million of the lost jobs were part-time; fully half of these had been occupied by young workers.The year-over-year decline in jobs was sharpest in restaurants and hotels (down 45 per cent), culture and recreation (off 25 per cent) and wholesale and retailing (down 16 per cent).In the national capital region, these sectors combined to account for roughly two-thirds of the jobs lost since May 2019.
These sectors have been sustained by a small army of service workers, many now relying on government cheques until the post-COVID-19 recovery, whenever that comes.On the other hand, the Ottawa region is buttressed by several sectors that appear to offer rock-solid employment prospects: public administration, health, education and high-tech. Together, these make up about half the total workforce in Ottawa and Gatineau. Remarkably, their employment levels are roughly the same as a year ago.“A lot of people have a direct connection to a government job here,” Scott said. “Even if they’re not employed directly, often they have a spouse or relative who is.”
That kind of security can make a profound difference when signing up for a 20-year mortgage.Core pillars of Ottawa’s high-tech industry are also spinning off well-paid jobs, not to mention sharply higher share prices that benefit employees. Many of these firms are supplying technologies in high demand in the era of COVID-19. Shopify helps retailers build or expand online businesses. Ciena, Ericsson and Nokia all build the underlying infrastructure that enables communications networks in a work-from-home world. Software built by Kinaxis makes sure some of the globe’s largest corporations can track and re-orient their supply chains as closed borders force such readjustments.Provided the globe doesn’t slip into an extended economic recession, these jobs and paycheques should be safe enough to help underpin Ottawa’s resilient housing sector.
The real danger for the market would be political. If the federal government later decides to trim the public service as it begins the long job of reducing the country’s suddenly massive spending deficit, the price of houses locally would — on past experience — weaken quickly. For the moment, that scenario appears a long way off.
I have been fortunate enough to work with military members for over 15 years on their relocation moves to Ottawa. It is my favorite part of real estate. The thrill of finding homes for people on tight timelines is always a fun challenge. April & May are always the busy house hunting trip months. We were geared up for another busy posting season when Covid-19 hit. The impacts on the market were immediate. With the exception of a few military members who sold their homes in their respective cities all booked HHT’s were cancelled or postponed. Many listings that were ready to go to the market got pulled. When HHT’s resume hopefully later this month this is what the new Ottawa market looks like:
Listing Inventory Down
Sales were down 56% in April. There are fewer listings available but still, lots of buyers looking. Prices have stabilized but I am starting to see more multiple offers in the past week or so. Our market is starving for more new listings. I believe that they will be coming in the next few weeks. Sellers have been waiting for the right time to put their homes on the market.
Virtual Showings
We have already completed our first virtual house-hunting trip. I think we will have more to follow this year as families do not want to travel. We are face-timing clients through homes and providing them with as much information to make an informed decision. It seems challenging to buy off a video tour and floorplan. However, most new homes are sold the same way. I think this will be part of our new normal in weeks and months ahead.
Spring Selling Season Delayed
The spring market is going to be delayed into the summer this year. I think there will a very active summer market. If you are coming late on your Ottawa HHT this year it will not be reflected in the market. August right now seems like a very popular closing month for many of my clients.
Obstacles Can Be Navigated
Our team is committed to our military clients having the absolute best experience possible. Last year we navigated dozens of CAF members through a very hot market. This year it is the Covid-19 crisis. No matter what is thrown at us we will make sure you find a suitable home.
If you want to chat more about the market or your own real estate needs my cell is 613-863-6999
3 Biggest Challenges Facing CAF Members on their HHT’s
Our team has specialized in helping military families buy & sell their Ottawa homes for over 15 years. It has always been the most enjoyable part of what we do. The current market conditions in Ottawa have created some real challenges for our military clients relocating the capital. It is a seller’s market and the absorption rate is at an all-time high. Here are the 3 biggest challenges facing our HHT clients in Ottawa:
1: Available properties to buy
In many neighbourhoods within the city there is not much inventory available. It is even more prevalent in the areas our military clients like to purchase. Kanata, Stittsville, and Nepean are all grappling with a shortage of available listings. These are historically low levels. The graph below illustrates this well. When supply is down and demand is strong it puts upward pressure on prices. It also tends to make house-hunting trips a bit more stressful!
2: Speed of Sales
Homes in Ottawa are selling at record speed. Before you arrive on your HHT the properties you may hope to see are sometimes sold. It is challenging when we have a full list of houses to look at, only to discover that many have been put under contract. It also means that when you are on the ground here the houses can sell quickly. Decisions on properties need to be made quicker than usual.
3: Multiple Offer Dates
This was the biggest hurdle for my military clients in 2019. Many sellers in Ottawa are not entertaining offers until a certain date and time. For instance, a house may come for sale on a Wednesday. Showings will begin but there will be no offers until the following Monday. Then on offer day, you may be competing against 3-5 other buyers for the house. I don’t have to explain the logistical concerns involved for clients coming in for a few days on their house-hunting trip. It is something that we had to overcome in 2019 for sure. All our HHT’s were successful last year.
Ok, so I have given you a few of the challenges that one might face. It is also important to know the solutions. Here are some of the solutions to tackle this challenging house hunting trip environment:
How to have a successful Ottawa HHT in a tough market
First let me say that 2019 was the most challenging posting season ever in Ottawa. In these extreme market conditions, we managed to secure over a dozen houses for our clients and nobody left empty-handed or even settling for a house. I think a reality show on my client’s HHT experiences this year would win an Emmy for best reality show!! We had some adventures for sure and it wasn’t always easy but we got the job done. Here are a few keys to success in this market:
Adaptability to Conditions:
We need to act fast in this market. Whether it is reorganizing a day of showings to get into a new listing first or having an offer prepared and ready the instant our clients need it. We had one client purchase only 3 hours after they landed because that is when the offers were being presented. Clients need to be adaptable too. In that particular case, our clients beat out 5 other offers and secured the house. They love the house and neighbourhood to this day! Trust was important for them. They needed to trust us that the house was a good value and a good fit. They got a perfect house because they were adaptable to the conditions and our team was prepared to act fast with them.
Exclusive off-market opportunities:
We plan our whole year around the HHT season. We are determined to find off-market properties for our incoming military families. Here is an example of a letter we sent out to over 20,000 households.
We do targeted Facebook ads and postcards for Kanata and Stittsville. Both areas have been very popular for our military clients. Each year we have many clients who buy our off-market opportunities. In many cases, they are outgoing military clients who love selling to incoming CAF members. It works out great! Our team is proactive in creating the best experience possible.
Experience:
Simply put, there is no team better equipped to handle house-hunting trips. We work together on our HHT’s and are extremely organized to make sure every detail is taken care of. There is no team that knows BGRS policies or can get quick information on them faster than us.
Adaptability to market:
Every HHT is different and requires the ability to adapt to different situations. Let me give you a quick example of this: In 2019 posting season Andrew and Liv were about to put an offer on a house they didn’t really love in multiple bids. On the morning of the offer date, we are getting a pre-inspection done to give us the best chance. We are sitting there and this perfect house comes to the market (send to us via email). We booked the appointment for the inspection. We raced to the house and we were in there 30 mins after it hit the market. The clients loved it!! I knew the other agent really well and we had an offer in the seller’s hand within an hour (we have Steph in the office coordinating things). It was accepted an hour later (we had a tight timeline). Interestingly, another offer came in just after ours was already accepted. We dodged a bullet for sure. The moral of this story is that we do what it takes to get our clients the best house possible. If it means switching gears completely then that is what we will do. Andrew/Liv got their dream house! We need to adapt to the market conditions that are presented to us.
Communication before you arrive in the city is also very important. If you want to connect with our team and talk about your real estate needs or have any general questions please feel free to reach out.
I recently had some clients in from Edmonton on their HHT. They thought they found the perfect house for their family. Unfortunately for them, the inspector discovered some serious issues and our clients walked away from the deal. We were fortunate to have the expertise and guidance of an industry leader. This is the kind of support we make sure our clients have when they come to Ottawa for their HHT. Our preferred inspector is on the approved list and uses an infrared camera inspection as part of his package. He is the best in the business.
Many Ottawa military house hunting trips are during the busy spring market. This is the time where inspectors are also hard to book, especially on short notice. As an extra service to our clients, we have our home inspector tentatively book us a time. We are one of the few teams he does this for because we work with him so often.
Other inspectors that we use on HHTs when needed:
Water Inspectors
Our guy will test the volume of the well, the water treatment equipment, and of course have the water tested.
Septic Inspectors
We want to test the system to make sure it is in working order. It is one of the most expensive home components so we want to make sure there are no unexpected costs coming up.
Pool Inspectors
If you have a pool it is a good idea to have this inspected prior to purchasing. We have a company that specializes in this.
Whatever your needs are on your Ottawa house hunting trip, our team has you covered! Call or text us anytime if you have any questions 613-863-6999.
Relocating to Ottawa? Fill out our HHT Buyer Criteria Form to start your Ottawa home search today.
DND management and OC Transpo are working together to resolve issues surrounding the DND headquarters on Carling Avenue. With the Ottawa light rail system launching, the plans are for quick and frequent service of the Carling Avenue location.
DND employees travelling from the west-end of Ottawa (Stittsville and Kanata) will have two options to transfer at either Moodie Station or Bayshore Station of which both will have frequent service to the DND. Route 66 will be revised once the LRT is up and running. It will be combined with Routes 101 and 103 as primary service to the DND.
Many CF members posted to Ottawa are not familiar with the city or surrounding places to live. During this posting season, Colin has been helping HHT clients secure homes all over the area. From Rockland to Renfrew to Finch to the Byward Market, Colin has had some excellent opportunities to expand his knowledge of the entire Ottawa region. Here’s a quick recap of where Colin has been lately with military clients- which one of these areas would you like to live in?
Trigoria Crescent (Orleans)
These clients needed to be close to a couple of good schools to
accommodate their family situation and be able to easily commute to
work downtown on Cumberland Street.
Route 200 East (Casselman)
A predominantly rural area 30 minutes east of Ottawa, at first these
clients planned to buy land and build a custom home. Then we found this
slice of paradise so we switched gears and secured this instead.
Prescott Street (Kemptville)
Looking for access to both Ottawa and Kingston, these clients focused
their search southwest of Ottawa. This old farmhouse on a ½ acre lot is
great value in an area that is rapidly appreciating.
Stonewalk (Kemptville)
Fast-forward 100 years- this lovely home is in a new subdivision and will
be the final move for these retiring CF members. A good example of the
growth happening in the outlying areas around Ottawa.
Main Street (Finch)
Areas such as Finch and Chesterville are far enough from the big city to yet be affected by rising house prices and competitive offers, but not too far if you are posted at CFB Leitrim in the south end of Ottawa. Resale of this beautiful property could take a little longer here than in the city, which can often affect the areas military buyers are able to realistically consider.
Goshen Road (Renfrew)
For these clients, workshop space on a quiet country road was the focus.
A 45-minute commute to the west end Carling Campus, towns such as
Renfrew and Arnprior are beginning to see the positive effects of rising
population and house prices in Ottawa.
Grenon (Britannia)
This HHT focused on a 45-minute bicycle commute to Gatineau, a lower
sale price, and high walk score. This mature neighbourhood is close to
the Ottawa River and features lots of greenspace and walking/bike paths.
Special thanks to all our 2019 Ottawa military clients who bought and sold with our team. Our house hunting trips took us to every corner of Ottawa and the surrounding area this year. Colin and I worked as a team to make sure everyone was well taken care of. It was a challenging Spring house hunting season in Ottawa but I am proud to say that everyone left with a house they were happy with. If you are relocating to Ottawa and need some assistance with your move always feel free to reach out.
