Ottawa Real Estate: August 2025 Insights and Findings

August has always been an interesting month for Ottawa real estate. It’s the tail end of summer, families are wrapping up vacations, and buyers often take a pause before the fall rush begins. This year, though, the month gave us a mix of steady demand and a noticeable build-up of inventory, creating a market that feels both familiar and slightly different. For buyers and sellers, it’s a moment that rewards careful attention and strategic decision-making.

Under $2 Million: Balanced but More Selective

The bulk of Ottawa’s market activity continues to happen in the under $2 million range, and August was no exception. We saw 746 freehold transactions go under contract, with 269 condos transact in the month of August. These numbers are in line with July, pointing to steady buyer engagement even as the season slowed. Absorption rates held firm at about 61 percent for freeholds and 52 percent for condos which tells me that demand is still healthy, but buyers are no longer rushing into decisions.

What stands out is not only the volume but also the quality of absorption. Freeholds posted a monthly absorption rate of 61.15 percent, with months of inventory sitting at 1.64. Condominiums followed closely behind, with a 51.63 percent absorption rate and 1.94 months of inventory. These figures speak to a balanced market where demand is active, though measured.

Luxury Market Over $2 Million

At the top end of Ottawa’s housing market, activity in August slowed even further, underscoring just how selective buyers have become in this segment. Only four properties over $2 million went under contract last month, with a median list price of $4.245 million and an average time on market of 71 days. This is a sharp pullback from July’s nine transactions and June’s fourteen, reinforcing the reality that the luxury tier is squarely in buyer’s market territory.

Among the August contracts, 113 Grandview Road in Crystal Bay stood out. First listed in September 2023 at $7 million, the property was eventually reintroduced to the market at $4.99 million, where it found a buyer after an extended journey that reflects the recalibration happening in Ottawa’s high-end segment. Similarly, 39 Winding Way in Barrhaven, also last offered at $4.999 million, went under contract after spending time on market at a more competitive price point. Both homes illustrate that while demand at the upper end exists, it is highly price sensitive and focused on properties that deliver clear value in location, design, and scale.

Inventory continues to build, amplifying the challenge for sellers. August brought 30 new listings priced above $2 million, pushing total active inventory to 114 properties. The median list price of these new offerings was $2.395 million. With months of inventory sitting at 28.5, absorption has slowed to just 3.51 percent, highlighting the disconnect between supply and demand in this range.

Noteworthy among the new listings were 2330 Summerside Drive in Manotick, a five-bedroom waterfront property introduced at $3.995 million, and 320 Crestview Road in Alta Vista, a substantial five-bedroom home listed at $3.368 million. These entries underscore the enduring appeal of Ottawa’s established luxury enclaves but also reflect the crowded field sellers are competing in.

For buyers, the opportunity could not be clearer: more selection, longer timelines, and leverage at the negotiation table. For sellers, however, success requires more than simply being on the market. The luxury segment today demands patience, strategy, and, above all, pricing discipline to align with how Ottawa’s most discerning buyers are making decisions.

Reading the Market

Taken together, Ottawa’s August numbers reveal a city moving in two directions depending on the price bracket. The under $2M segment continues to perform steadily, with strong absorption and firm pricing where homes are positioned properly. The luxury tier, on the other hand, is testing the resolve of sellers, with higher inventory and lower absorption creating conditions that heavily favor buyers.

Looking forward, the fall market will bring clarity as more buyers return from summer break and more listings hit the market. The question is whether buyer urgency will reappear or whether caution will carry through into year-end. The fundamentals in Ottawa remain supportive: employment is steady, household formation is continuing, and interest rates, while still elevated compared to the pre-pandemic era, are stable enough to allow for planning and confidence.

Economic Backdrop and Buyer Mindset

Nationally, several developments are shaping the way Ottawa buyers and sellers are approaching the market. Housing starts remain strong across much of Canada, though Ontario has become a clear outlier with steep declines, particularly in the Greater Toronto Area. Rising development and construction costs, coupled with heavier resale inventory, are slowing the launch of new projects in Ontario and raising longer-term questions about supply. Ottawa, while not immune, benefits from its relative affordability compared to Toronto, which helps keep resale demand steady.

At the policy level, many analysts now expect the Bank of Canada to cut rates again at its upcoming announcement next week. This comes as inflation pressures moderate and household debt servicing costs continue to climb. For buyers, the prospect of lower borrowing costs could reintroduce urgency into segments of the market that have been slower through the summer. For sellers, a rate cut would mean more buyers regaining confidence in their purchasing power, potentially reducing the time it takes to secure a deal.

The psychology of the Ottawa market reflects this broader context. Under $2M, buyers are already active and selective, while in the luxury tier patience is high and negotiation is sharper. A rate cut may not immediately shift conditions in the luxury space, but it could encourage sidelined buyers to re-enter the market in the fall. Ottawa continues to show resilience built on fundamentals rather than speculation, and that foundation should give consumers confidence in making informed real estate decisions today.

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August 2025 | Ottawa Signed Contracts Contracts Signed Over $2 Million
Rank	Address	View	Last Asking Price	Details
1	113 Grandview Road, Ottawa, Ontario K2H 8B7 (Crystal Bay)	🔗	$4,990,000	5 Bed / 6 Bath
2	39 Winding Way, Ottawa, Ontario K2C 3H1 (Barrhaven)	🔗	$4,999,000	4 Bed / 5 Bath

August 2025 | Ottawa New Listings New Listings Over $2 Million
Rank	Address	View	List Price	Details
1	2330 Summerside Drive, Ottawa, Ontario K4M 1B4 (Manotick)	🔗	$3,995,000	5 Bed / 4 Bath
2	320 Crestview Road, Ottawa, Ontario K1H 5G6 (Alta Vista)	🔗	$3,368,000	5 Bed / 5 Bath

© 2025 HAUS COLLECTION REALTY LIMITED. ALL WORLDWIDE RIGHTS RESERVED. ALL MATERIAL PRESENTED HEREIN IS INTENDED FOR INFORMATION PURPOSES ONLY. WHILE, THIS INFORMATION IS BELIEVED TO BE CORRECT, IT IS REPRESENTED SUBJECT TO ERRORS, OMISSIONS, CHANGES OR WITHDRAWAL WITHOUT NOTICE. THIS INFORMATION IS BASED ON DATA FROM THE OTTAWA REAL ESTATE BOARD AND INTERPRETED BY HAUS COLLECTION REALTY LIMITED. DATA HAS BEEN LIMITED TO SALES REPORTED WITHIN THE CITY OF OTTAWA BOUNDARY. IF YOUR PROPERTY IS CURRENTLY LISTED WITH ANOTHER REAL ESTATE BROKER, OR YOUR ARE UNDER A BUYER REPRESENTATION CONTRACT WITH ANOTHER REAL ESTATE BROKER, PLEASE DISREGARD THIS OFFER. IT IS NOT OUR INTENTION TO SOLICIT THE OFFERINGS OF OTHER REAL ESTATE BROKERS.