Demand is Still Strong in the Montreal CMA Despite Lack of Choice and High Prices

 

On December 7, 2021, the Quebec Professional Association of Real Estate Agents (QPAREB) released the latest real estate report for the Greater Montreal region for November 2021, with the headline: "Despite high housing prices and few listings! The real estate market in Greater Montreal is still strong! " 

According to statistics (Centris® provincial database), the number of residential sales in the Metropolitan Montreal metropolitan area is 4,402, which is a drop of 24% compared to November 2020. Although the real estate market has a strong start this year, the first 11 months of 2021 The number of transactions is currently 50,826, a slowdown compared to the same period last year. 

 In November, sales volume fell in all six major areas of the Metropolitan Montreal metropolitan area. The decline was mainly attributable to the decline in the number of active listings of single-family houses to historical lows, which led to a slowdown in single-family residential transactions. 
Among them, the sales volume of Montreal Island decreased (-12%), South Shore (-17%), North Shore (-18%), Saint-Jean-sur-Richelieu (-19%), Laval (-22%) ), Vaudreuil-Soulanges (-33%).




• In November, the three categories of single-family homes, condominiums and small investment properties all experienced extremely strong increases!
• The median price of single-family homes in Greater Montreal continued to increase significantly in November, reaching $525,000, an increase of 21% over the same period last year!
• Compared with November 2020, the median price of condominiums in Greater Montreal has risen very gratifyingly, with an increase of 18% and a price of $374,000.
• The median price of 2-5 small investment properties in Greater Montreal has also increased very gratifyingly, rising to $725,000, an increase of 15% over the same period last year!

• In November, the Median Price of single-family homes, condominiums and small investment properties all experienced extremely strong increases!
• The median price of Single-family homes in Island of Montreal continued to increase significantly in November, reaching $760,000, an increase of 19% over the same period last year!
• Compared with November 2020, the median price of condominiums in Island of Montreal has risen as well, with an increase of 7% and a price of $426,000.
• The median price of 2-5 small investment properties in Island of Montreal has also increased very gratifyingly, rising to $775,000 an increase of 9% over the same period last year!

“In the context of a low supply of properties on the market and persistent high demand, pressure on prices for residential real estate in the Montreal region remains strong. The good news is that in November, new listings showed signs of exceeding pre-pandemic levels when compared to November 2019 or even 2018,” said Charles Brant, director of market analysis.  “The announcement of an earlier-than-expected rise in interest rates no doubt motivated potential sellers to advance their project in order to benefit from the sustained activity and the opportunity to sell at the best price. This phenomenon also explains the higher transaction activity than in 2019 during the same period, as buyers also anticipated the same increase in the cost of financing,” he added.