The Ottawa new construction market for townhouses and apartments is showing clear signs of resilience and momentum in early 2025, according to Zonda Urban’s latest market update.

In its Q1-2025 report, Zonda Urban notes a substantial 78% increase in multi-family unit sales year-over-year in the Ottawa Census Metropolitan Area (CMA), with nearly all 407 units sold being townhouses. The surge in activity highlights Ottawa’s relative strength among Ontario’s major housing markets.

“Out of the five major Ontario markets Zonda Urban tracks, Ottawa continues to show persistent ‘green shoots’ with year-over-year growth in sales activity,” said Pauline Lierman, Vice President of Market Research at Zonda Urban.

Townhouse sales saw a particularly sharp jump, rising 99% compared to Q1-2024. Barrhaven led the charge, accounting for 37% of all sales, followed by Orleans at 21%.

While the average price of a new townhouse dipped slightly from the previous quarter—down 1% to $578,638—this was largely attributed to increased demand for more affordable stacked townhomes. The average size of units sold also dropped slightly to 1,625 square feet, reflecting this shift.

Condominium apartment sales remained minimal in Q1-2025, with a standing inventory of 227 units across the Ottawa CMA, suggesting the townhouse format remains the preferred choice among buyers.

“Affordability has been a critical factor. Of the 14 projects that have launched over the past year, 12 offered average pricing under $650,000, with most of these under $600,000,” Lierman explained. “Stacked townhouses during the last six months in particular have seen strong demand with average price points under $450,000.”