Montreal Real Estate Market Stories July 2018
Montreal real estate market stories July 2018 – latest market news:
- According to the Canadian Real Estate Association (CREA), 60% of all Canadian markets saw increased activity in June.
- Canadian home sales increased by 4.1% between May and June.
- Actual (not seasonally adjusted) activity was 10.7% lower than in June 2017.
- June’s MLS® Home Price Index (HPI) increased by 0.9% year-over-year
- National home sales increased by 4.1% in June 2018 compared to May. While this is a substantial monthly increase, sales remain low when compared to June of last year.
- Slow activity in the Canadian market can largely be attributed to tightened mortgage regulations and increased interest rates.
- Home prices rose by 6.4% in Greater Montreal. Montreal’s market was led by a 7.4% increase in Townhouse prices
- Apartment units across the country recorded the highest gains in June (11.3%) followed by townhouses (4.9%), when compared to May 2018.
- Real estate in Montreal has appreciated by 6.4% versus 4.7% in the rest of Canada in 2018
- Greater Toronto Area and Greater Vancouver markets are being slowed down by year-over-year declines
- Weekly earnings in Quebec have been rising more quickly than any other province, since November 2017 while inventory is expected to continue decreasing for the remainder of 2018.
- The median price of condos in Montreal increased to 3%, reaching $315,192
- Montreal’s West Island recorded the highest appreciation rate in the GMA, increasing by 18.8% to $570,778. The borough has witnessed the strongest price growth with about a quarter of home sales above asking and condominium sales up by 12.4%.
According to Royal Lepages Market Report “Greater Montreal Area home price appreciation surpasses the national average for the first time in seven years. ● Montreal’s real estate market performed better than the majority of Canadian markets during the second quarter of 2018 ● Montreal’s west island home price appreciation among the highest in Canada at 15.3 per cent ● Royal LePage forecasts the median price of a home in the Greater Montreal Area to increase 1.8 per cent during the third quarter of 2018”
“Quebec’s good economy and robust job market continued to fuel demand during the second quarter, which lifted prices and created overall stability in the Greater Montreal Area’s real estate market,” explained Dominic St-Pierre, Senior Director, Royal LePage, Quebec Region. “Across all housing types, sellers are significantly benefiting from low inventory.”
New Quebec provincial system to track foreign buyers data
The Quebec government recently adopted Bill 1505 which includes tracking measures for real estate transactions carried out by foreign buyers, which should be up and running by the end of 2018. “
Royal Lepage Market Report finds the condominium segment on the Island of Montreal shifts to a seller’s market for the first time in five years. “Low inventory drives multiple offers in the single-family home market ● Steady rise in single-family home price appreciation pushes demand towards condominiums ● Montreal Centre and Montreal West dominate the market with the highest price increases in the two-storey home segment.”
Read the Latest RBC Housing Report – Market Update July 2018
The Bank of Canada raised it’s key interest rate in July 2018
As widely anticipated by economists, the Bank of Canada (BoC) raised its trendsetting policy rate to 1.5 per cent, up from 1.25 per cent on Wednesday. It was the fourth rate increase in the last 12 months. READ MORE: Here goes another rate hike.
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Average Prices Per Square Foot Across 18 Boroughs of Montreal
Average prices per square foot for single family home land, across 18 Montreal boroughs:
|Greater Montreal Sectors||Average Price ($) Per Square Foot|
|14||Ile des Soeurs||92|
|16||Villeray – St Michel||60|