Montreal CMA: Condominium and Plex Markets on the Island of Montreal Limit the Strong Rebound in Residential Sales
L’ÎLE-DES-SŒURS, Quebec, July 07, 2020 (GLOBE NEWSWIRE) — The Quebec Professional Association of Real Estate Brokers (QPAREB) has just released its most recent residential real estate market statistics for the Montreal Census Metropolitan Area (CMA), based on the real estate brokers’ Centris provincial database.
In total, 4,980 residential sales transactions were concluded in June 2020, a 16 per cent increase compared to June of last year. This represents a considerable rebound in the number of transactions in the Montreal CMA and the highest level of sales ever recorded for a month of June since the Centris system began compiling market data.“The number of sales rebounded significantly in June after registering an historic drop in April and a stabilizing month of May. While it’s true that this upturn is largely due to the finalizing of an accumulation of transactions that had been postponed since the start of the health crisis, it should nevertheless be noted that, despite the context, consumer confidence is there and demand remains strong,” said Julie Saucier, president and chief executive officer of the QPAREB. “Generally speaking, market conditions continue to be very favourable for sellers in the Montreal CMA, leading to ongoing price increases. However, it’s important to note the historic increase in new condominium listings on the Island of Montreal (+83 per cent) and the absence of a sustained sales recovery for this property category,” she added.Sales by geographic areaAll six main areas of the Montreal CMA registered an increase in sales compared to June of last year. The strongest increases were in Vaudreuil-Soulanges (+44 per cent), on the North Shore (+38 per cent) and in Saint-Jean-sur-Richelieu (+37 per cent).The other markets on the Montreal CMA periphery also benefitted from the recovery, albeit more moderately. The South Shore of Montreal posted a 16 per cent increase in sales, followed by Laval with an 8 per cent increase.The Island of Montreal stood out from the other areas by its absence of a sales catch-up, as transactions were barely higher than those registered in June of last year (+1 per cent). This result is nonetheless positive, since 2019 was an exceptional year in terms of sales.Sales by property categoryAcross the CMA, single-family home sales bounced back the most in June, as transactions jumped by 23 per cent (2,833 sales). Sales of condominiums registered a more moderate increase of 10 per cent (1,711 transactions). This property category was negatively influenced by the lack of a sales increase on the Island of Montreal compared to June of last year, unlike the other main areas of the CMA.The plex segment remained stable, with a sales level comparable to that registered in June of last year (434 transactions).PricesAll three property categories posted a double-digit increase in median price in June, reflecting market conditions that are very tight and that are particularly favourable for sellers. In fact, all three categories reached a new all-time high.Across the CMA, the median price of single-family homes and plexes stood at $395,000 and $604,000, respectively, up 12 per cent compared one year earlier.The median price of condominiums jumped by 17 per cent to reach $305,000.Number of properties for saleAs for the supply of properties for sale, the downward trend that began in October 2015 continued for a 57th consecutive month, despite the pandemic.This situation allows conditions to remain firmly in a seller’s market. It is also conducive to overheating and the generation of multiple offers.Overall, with 6,331 new properties put on the market in June (+38 per cent), the catch-up in new listings was offset by the increase in sales. This context could change rapidly in the coming months in favour of an easing of market conditions when the sales catch-up dissipates and gives way to more moderate sales activity.For June 2020 and year-to-date statistics charts, click here.About the Quebec Professional Association of Real Estate BrokersThe Quebec Professional Association of Real Estate Brokers (QPAREB) is a non-profit association that brings together more than 13,000 real estate brokers and agencies. It is responsible for promoting and defending their interests while taking into account the issues facing the profession and the various professional and regional realities of its members. The QPAREB is also an important player in many real estate dossiers, including the implementation of measures that promote homeownership. The Association reports on Quebec’s residential real estate market statistics, provides training, tools and services relating to real estate, and facilitates the collection, dissemination and exchange of information. The QPAREB is headquartered in Quebec City and has its administrative offices in Montreal. It has two subsidiaries: Centris Inc. and the Collège de l’immobilier du Québec. Follow its activities at qpareb.ca or via its social media pages: Facebook, LinkedIn, Twitter et Instagram.About CentrisCentris.ca is Quebec’s real estate industry website for consumers, grouping all properties for sale by a real estate broker under the same address. Société Centris provides real estate industry stakeholders with access to real estate data and a wide range of technology tools. Centris also manages the collaboration system used by more than 13,000 real estate brokers in Quebec.For more information:Taïssa Hrycay
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