• Led by Condominiums, Montréal’s Residential Real Estate Market Continued its Momentum in August

    L'Île-des-Sœurs, September 7, 2017 - The Greater Montréal Real Estate Board (GMREB) has just released its most recent residential real estate market statistics for the Montréal Census Metropolitan Area (CMA), based on the real estate brokers’ Centris® provincial database. In total, 2,899 residential sales were concluded in August 2017, an 8 per cent increase compared to August of last year. This was the most active month of August since the GMREB began keeping track of property sales.

    “The Montréal real estate market has been building an impressive track record,” said Mathieu Cousineau, President of the GMREB Board of Directors. “Sales have increased for 29 of the past 30 months, with July 2016 (0 per cent) being the only month in which sales did not increase. The last monthly drop in sales dates back to February 2015,” added Mr. Cousineau.

    Sales by geographic area
    • Four of the five main areas of the Montréal CMA registered an increase in sales in August. The Island of Montréal led the way with a 12 per cent rise in sales.
    • Laval, the North Shore and the South Shore turned in a similar performance, with respective sales increases of 7, 5 and 7 per cent.
    • Only the Vaudreuil-Soulanges area registered a decrease in sales in August, as sales fell by 3 per cent compared to August of last year.
    Sales by property category
    • Across the Montréal CMA, sales of single-family homes grew by 4 per cent in August, while sales of plexes (2 to 5 dwellings) remained unchanged.
    • Condominiums had an excellent month once again, as sales jumped by 19 per cent. This was the eighth consecutive month in which condominiums posted the largest sales increase among the three property categories.

    Prices
    • Single-family homes in the Montréal CMA sold for 6 per cent more in August 2017 than one year earlier, with a median price of $325,000.
    • Price increases were more moderate for the two other property categories: +2 per cent for plexes ($470,250) and +1 per cent for condominiums ($251,500).


    Number of properties for sale

    The number of residential properties listed on the real estate brokers’ Centris® system (24,031) was 15 per cent lower than it was in August of last year.












    For more information, please visit www.homepriceindex.ca.
  • Hot Month of July on Montréal’s Residential Real Estate Market

    L'Île-des-Sœurs, August 4, 2017 - The Greater Montréal Real Estate Board (GMREB) has just released its most recent residential real estate market statistics for the Montréal Census Metropolitan Area (CMA), based on the real estate brokers’ Centris® provincial database. In total, 3,075 residential sales were concluded in July 2017, a 16 per cent increase compared to July of last year. This was the most active month of July in eight years.

    Sales by geographic area
    • All five main areas of the Montréal CMA registered an increase in sales in July, with the Island of Montréal (+21 per cent) and Vaudreuil-Soulanges (+19 per cent) leading the way.
    • Laval and the North Shore registered similar results as sales in both of these areas rose by 14 per cent compared to July 2016.
    • The South Shore posted a more moderate sales increase of 6 per cent.
    Sales by property category
    • Condominium sales increased by 24 per cent across the CMA, with 1,071 transactions concluded. This was the third consecutive month that condo sales have increased by more than 20 per cent.
    • Single-family homes also turned in an excellent performance, as sales of this property category grew by 13 per cent.
    • Plex sales were also on the rise, increasing by 2 per cent compared to July of last year.

    Prices
    • Across the CMA, the median price of single-family homes increased by 8 per cent to reach $323,000 in July.
    • Half of all plex (2 to 5 dwellings) transactions were concluded at a price higher than $489,000, a 7 per cent increase compared to July of last year.
    • Finally, the median price of condominiums stood at $256,000, which is 2 per cent higher than in July 2016.

    “For single-family homes, market conditions for resales are increasingly favouring sellers, which explains why price increases have been more sustained in recent months,” said Mathieu Cousineau, President of the GMREB Board of Directors. “We are also in a seller’s market for plexes, while market conditions for condominiums are almost balanced,” he added.

    Number of properties for sale

    The number of residential properties listed on the real estate brokers’ Centris® system (24,412) decreased by 15 per cent compared to July of last year.












    For more information, please visit www.homepriceindex.ca.
  • Residential Real Estate Market: Record Number of Sales in the Montréal Area in the Second Quarter of the Year

    L’Île-des-Sœurs, July 13, 2017 - The Greater Montréal Real Estate Board (GMREB) has released its most recent residential sales statistics for the Montréal Census Metropolitan Area (CMA), based on the real estatebrokers’ Centris® provincial database. In total, 13,764 residential sales were concluded in the second quarterof 2017, an 8 per cent increase compared to the second quarter of last year and a new second-quarter sales record.

    Click here to see the main residential real estate market statistics for the Montréal CMA.

    Here are some highlights from the second quarter of 2017, as compared to the second quarter of 2016.

    Sales
    • With 13,764 transactions concluded, the residential real estate market in the Montréal CMA set a new sales record by surpassing the 13,727 transactions that were registered in the second quarterof 2009.
    • Condominiums registered the largest sales increase (+17 per cent), with 4,487 transactions. This was a record number of sales for this property category for a second consecutive quarter.
    • Sales of single-family homes and plexes (2 to 5 dwellings) also registered significant increases of 4 per cent and 9 per cent, respectively.
    • All five main areas of the Montréal CMA posted sales increases. For a second consecutivequarter, Vaudreuil-Soulanges (+27 per cent) and the Island of Montréal (+12 per cent) registeredthe largest increases, followed by Laval (+6 per cent), the South Shore (+4 per cent) and the NorthShore (+3 per cent).

    “Demand for high-end properties remained strong this spring in the Montréal area as sales concluded at $500,000 or more jumped by 31 per cent compared to the second quarter of last year, and sales concluded at $700,000 or more increased by 40 per cent, with 871 transactions,” said Mathieu Cousineau, President of the GMREB Board of Directors. “In fact, this market segment has performed better than the overall market for the past 12 quarters,” he added.

    Prices
    • The median price of all three property categories grew substantially in the second quarter of the year. Across the CMA, single-family homes registered the largest increase in median price at 7 per cent, to reach $318,000. The median price of condominiums rose by 3 per cent to reach $245,084 while that of plexes grew by 4 per cent to reach $480,000.
    • The median price of single-family homes rose significantly in all five main areas of the CMA,ranging from +5 per cent on the North Shore ($267,250) and in Vaudreuil-Soulanges ($295,000) to+7 per cent on the Island of Montréal ($445,000) and on the South Shore ($305,000). In Laval, themedian price of single-family homes rose by 6 per cent ($322,000).
    • For condominiums, the area of Vaudreuil-Soulanges posted the largest increase in median price at 5 per cent, with half of all units selling for more than $179,350.
    Active listings
    • The number of active listings fell for a seventh consecutive quarter with 27,838 properties for sale across the Montréal CMA, a 14 per cent drop compared to the second quarter of last year.
    • The supply of single-family homes and plexes fell by 19 per cent and 16 per cent, respectively, while that of condominiums decreased by 8 per cent.
    • Successive decreases in active listings have offset the many increases that were seen in recent years, so that the supply of properties for sale has now returned to levels observed in the spring of 2012.

    Record Number of Sales on Québec’s Residential Real Estate Market in the Second Quarter of 2017

    The Québec Federation of Real Estate Boards (QFREB) has released its most recent residential real estate market statistics for the province of Québec based on the real estate brokers’ Centris® provincial database. In total, 25,638 sales were concluded in the second quarter of the year, a 4 per cent increase compared to thesecond quarter of last year. This was the 12th consecutive quarterly increase in sales and a new secondquartersales record.

    “Despite the mortgage tightening measures that have been in effect since the fall, we’ve seen a great start to the real estate market this year,” said Paul Cardinal, Manager of the QFREB’s Market Analysis Department. “The exceptionally strong labour market and the sharp increase in net migration last year have stimulated the demand for housing,” he added.

    Click here to see the main residential statistics for the province of Québec.

    Here are the other highlights of the second quarter of 2017:

    Sales
    • Condominium sales across Québec rose sharply, as the 5,583 transactions concluded represent a 14 per cent jump compared to the second quarter of 2016 and a new sales record for this property category.
    • Sales of single-family homes and plexes rose by 2 per cent (17,857 transactions) and 7 per cent (2,087 transactions), respectively.
    • Geographically, only two of the province’s census metropolitan areas (CMAs) registered an increase in sales in the second quarter: the Montréal CMA stood out with an 8 per cent increase in sales, while Gatineau posted an increase of 3 per cent. All of the other CMAs registered a drop in sales: TroisRivières (-12 per cent), Saguenay (-8 per cent), Québec City (-2 per cent) and Sherbrooke (-2 per cent).
    • Among the smaller urban centres, significant sales increases were seen in the agglomerations of Thetford Mines (+55 per cent), Sept-Îles (+28 per cent), Saint-Jean-sur-Richelieu (+24 per cent) and Rouyn-Noranda (+22 per cent).

    Prices
    • The median price of single-family homes sold in Québec in the second quarter of the year was $250,000. This is a 5 per cent increase compared to the same period last year and the largestquarterly increase in almost six years.
    • Again, the Montréal CMA registered the largest increase, at 7 per cent, with a median price of $318,000 for single-family homes.
    • The Gatineau ($249,700) and Saguenay ($181,750) CMAs also registered noteworthy increases of 5 per cent and 4 per cent, respectively.
    • Finally, the median price of single-family homes grew modestly by 2 per cent and 1 per cent, respectively, in the Québec City ($258,500) and Trois-Rivières ($150,000) CMAs, and remainedunchanged in the Sherbrooke CMA ($204,500).

    The downward trend in the number of residential properties for sale in Québec continued for a sixth consecutive quarter. From April to June 2017, there was an average of 73,574 active listings on the real estate brokers’ Centris® system, which is a 9 per cent drop compared to the second quarter of 2016.

    Finally, across the province, it took an average of 114 days (-7 days) for a home to find a buyer in the second quarter of 2017 (all property categories combined).

  • Momentum Continues on Montréal’s Residential Real Estate Market

    L'Île-des-Sœurs, July 6, 2017 - The Greater Montréal Real Estate Board (GMREB) has just released its most recent residential real estate market statistics for the Montréal Census Metropolitan Area (CMA), based on the real estate brokers’ Centris® provincial database. In total, 3,952 residential sales were concluded in June 2017, a 10 per cent increase compared to June of last year. The sales record for a month of June, which was set in 2009, was 4,163 transactions.

    “The residential real estate market in the Montréal area is showing solid momentum, as we just registered the 25th increase in sales in the past 26 months,” said Mathieu Cousineau, President of the GMREB Board of Directors.

    Sales by geographic area
    • For a second consecutive month, the area of Vaudreuil-Soulanges and the Island of Montréal clearly stood out with sales increases of 29 and 17 per cent in June.
    • Laval also registered a solid performance with a 13 per cent increase in sales compared to June of last year.
    • Sales on the South Shore also held their ground, rising by 6 per cent.
    • Only the North Shore posted a decrease in the number of residential sales, as transactions fell by 5 per cent compared to June 2016.
    Sales by property category
    • For a second consecutive month, condominiums led the way, as sales of this property category jumped by 20 per cent across the Montréal CMA in June. In May, the increase was 23 per cent.
    • Plex sales were also very strong, increasing by 12 per cent.
    • Sales of single-family homes registered a more modest increase, at 4 per cent, but it remained the property category with the most transactions, as 2,248 sales were concluded in June.

    Prices
    • Across the Montréal CMA, the median price of plexes reached $478,250 in June, a 4 per cent increase compared to June of last year.
    • As for condominiums, half of all transactions were concluded at a price higher than $257,500, meaning that the median price was 5 per cent higher than in June 2016.
    • Finally, the median price of single-family homes grew by 9 per cent to reach $328,000.


    “Price increases have been accelerating in the Montréal area for a few months now. The growth in the median price of single-family homes has just reached its highest rate since December 2010,” added Mr. Cousineau.

    Number of properties for sale

    The number of residential properties listed on the real estate brokers’ Centris®system (25,763) decreased by 14 per cent compared to June of last year.












    For more information, please visit www.homepriceindex.ca.
  • Record Sales in May on Montréal’s Residential Real Estate Market

    L'Île-des-Sœurs, June 6, 2017 - The Greater Montréal Real Estate Board (GMREB) has just released its most recent residential real estate market statistics for the Montréal Census Metropolitan Area (CMA), based on the real estate brokers’ Centris® provincial database. In total, 5,057 residential sales were concluded in May 2017, a 15 per cent increase compared to May of last year and a new sales record for a month of May.

    “This was an exceptional month of May on Montréal’s residential real estate market,” said Mathieu Cousineau, President of the GMREB Board of Directors. “Sales surpassed the previous peak for a month of May, which dates back to 2007,” added Mr. Cousineau.

    Sales by geographic area
    • All five main areas of the Montréal CMA registered an increase in sales in May. However, the areas of Vaudreuil-Soulanges and the Island of Montréal clearly stood out with respective sales increases of 25 and 22 per cent.
    • The North Shore and Laval were also quite active, as sales rose by 14 per cent and 11 per cent, respectively.
    • Finally, the South Shore registered a more modest sales increase of 4 per cent compared to May of last year.
    Sales by property category
    • Condominium sales registered an impressive increase of 24 per cent across the Montréal CMA, with 1,637 transactions.
    • Plexes (467 transactions) also turned in an excellent performance, with a 19 per cent jump in sales.
    • Single-family homes, whose sales grew by 10 per cent in May, remain the most in demand property category, as 2,950 transactions were concluded.

    Prices
    • The median price of single-family homes stood at $319,000 in May in the Montréal CMA. This was a 6 per cent increase compared to May 2016.
    • Condominiums registered much more sluggish price growth, as the median price of this property category rose by only 1 per cent to reach $243,000.
    • As for plexes, half of all transactions were concluded at a price higher than $480,000, which is up 5 per cent compared to May of last year.

    Number of properties for sale

    The number of residential properties listed on the real estate brokers’ Centris®system (28,137) decreased for a 20th consecutive month, falling by 15 per cent compared to May 2016.












    For more information, please visit www.homepriceindex.ca.
  • The Real Estate Board Invites Montréal's Elected Officials to Consider Certain Factors Before Imposing a 15 Per Cent Tax on Foreign Buyers

    L’Île-des-Sœurs, May 15, 2017 - The Greater Montréal Real Estate Board (GMREB) invites elected Montréal officials to consider certain factors before imposing a 15 per cent tax on foreign buyers. The proportion of foreign buyers is quite different in Montréal compared to Toronto and Vancouver. Furthermore, the Montréal real estate market is not in an overheated situation.

    “Looking at the dwelling vacancy rate, the pace of price growth, the number of months of inventory, as well as the available data on the percentage of foreign buyers, there is nothing to suggest that there is a situation in Montréal that requires a quick response,” states Mathieu Cousineau, Chairman of the GMREB Board of Directors. “However, we do believe that there is an urgent need to put in place the means to effectively identify property purchases by foreign nationals. This will enable us to monitor the evolving situation and make informed decisions,” added Mr. Cousineau.

    The number of foreign buyers in the market

    The Canada Mortgage and Housing Corporation (CMHC) has estimated that the share of foreign buyers in the entire Montréal metropolitan area for all property categories is only 1.5 per cent. Although this figure may be underestimated, the proportion is nevertheless low. In comparison, the proportion of foreign buyers in the Vancouver area has been estimated at 9.7 per cent by the Government of British Columbia and 4.9 per cent in Toronto by the Toronto Real Estate Board.

    Overall, foreign buyers still have little impact on property prices in Greater Montréal. According to our brokers in the field, foreign buyers are present primarily in more well-off markets such as Ville Mont-Royal and Westmount. To a lesser extent, they are present in the West Island and Brossard single-family home markets, as well as in the Downtown, Griffintown, and to a lesser extent, Île-des-Sœurs condominium markets.

    It is important not to lump all foreign buyers together. A distinction must be made between foreign investors who buy properties for speculation and foreign buyers who establish their principal residence here.

    More and more immigrants are choosing Montréal as their destination, largely due to the quality of life, the favourable economic conditions and the low cost of living. They are not only an integral part of the new boom taking place in Québec's largest city but their contribution is also essential to our future demographic growth. However, while the latest statistics on net migration clearly show that this category of foreign buyers is increasingly present, there is no evidence that speculative buying of properties by foreign investors is a common phenomenon here, such as is probably the case in Vancouver and Toronto.

    Urgent need of an accurate picture of foreign buyers in the market

    It is currently difficult to obtain a clear picture of the situation of foreign buyers in the Montréal real estate market.

    It should be noted that in the last federal budget, the government proposed addressing these gaps by providing Statistics Canada with $39.9 million over five years to develop and implement the Housing Statistics Framework (HSF). The HSF builds on the Government's commitment in the 2016 budget to develop methods for gathering data on foreign homebuyer activity.

    There are various actions that could be considered to respond to the situation. For instance, since June 10, 2016, the Government of British Columbia has been tracking property purchases by foreigner buyers using property transfer tax forms. Similarly, in Québec, when registering a transaction in the land register, buyers might be required to note if they are a Canadian citizen or not (in which case, it would then be necessary to identify if they have permanent resident status or not).

    Price growth

    Residential property price increases have been modest in recent years in the Montréal metropolitan area. The market is far from a housing shortage, whether it be the resale, new construction or rental markets. During the period from 2012 to 2016, the annual price growth never exceeded 4 per cent.

    This pace has picked up somewhat this year with median prices for single-family homes and condominiums increasing by 6 per cent and 3 per cent, compared with the first four months of 2016. The Montréal real estate market remains very affordable when compared with most major cities in North America, with a median price of $304,000 for single-family homes and $240,000 for condominiums. In this context, it is difficult to foresee a surge in prices similar to what Toronto has experienced.

    Vacancy rate

    According to the CMHC, the rental vacancy rate in Montréal is not a concern, as it was still relatively high at 3.9 per cent in October 2016. By comparison, during this same period, the vacancy rate was 1.3 per cent in Toronto and 0.7 per cent in Vancouver.

    Number of months of inventory

    The Montréal resale market is characterized by a much higher number of months of inventory than the cities of Vancouver and Toronto, where there is a marked imbalance between supply and demand. The situation is different here with overall market conditions being relatively balanced. We have just returned to a seller's market for single-family homes, while the condominium market still shows a small surplus.