The Quebec Professional Association of Real Estate Brokers (QPAREB) released its latest report on the residential real estate market for February 2024 in the Quebec City and Montreal Census Metropolitan Areas (CMAs).
Quebec City highlights
“The market in the greater Quebec City area is the only one in the province that is seeing a decline in the number of properties available on the market, while other CMAs are posting increases … This February is the fifth most active month recorded over the last 25 years, absorbing most of the properties returning to the market,” notes Charles Brant, QPAREB’s market analysis director.
“It goes without saying that the Quebec City market continues to be among the most dynamic and top performing large-scale markets in the province and even in the country, and is seen by buyers as an attractive alternative.”
Accelerated sales
Residential sales in the Quebec City CMA reached 967 in February, marking a 33 per cent increase compared to the same period last year. This surge in transactional activity, occurring a month earlier than in the previous year, mirrors the robust market conditions experienced in February 2022.
Constrained supply
Contrary to the provincial average, Quebec City witnessed a moderate number of new listings, leading to a drop in the inventory of available properties on the market. This scarcity of listings continues to favor sellers in the market dynamics.
Rising prices
Prices, especially for condominiums, experienced a notable surge as the market remains firmly in favor of sellers. The median price for condominiums rose by 16 per cent, reaching $268,000, while single-family homes saw a 9 per cent increase, with a median price of $362,500.
Variances by region
The Northern Periphery of Quebec City recorded the area’s highest increase in sales, up by 74 per cent compared to February 2023, followed by the South Shore with a 19 per cent increase. The Agglomeration of Quebec City saw a 26 per cent rise in sales, indicating widespread market activity across the region.
Montreal highlights
“The dynamic start to the year can be explained by a conjunction of several factors which support sales, particularly in the Montreal area. One demographic factor that has primarily impacted the metropolis is the sustained migratory flow since the end of the pandemic.
There are also behavioural factors associated with this year’s anticipated interest rate cuts … (the Bank of Canada) stresses that the door remains wide open to upcoming cuts in the key rate. It is against this background that more buyers are starting to take action. This month of February has been particularly indicative of this phenomenon,” notes Brant.
Higher sales
Residential sales in the Montreal CMA totaled 3,843 in February 2024, representing a 30 per cent increase compared to the same period last year. The Island of Montreal led in sales, experiencing a 40 per cent jump, followed by other metropolitan areas posting increases ranging from 11 per cent to 29 per cent.
More listings
The market saw a surge in new listings, up to over 36 per cent for the first time in February since 2004. This increase in supply, coupled with anticipated interest rate cuts, contributed to a resurgence in sales activity.
Steady price climbs
Despite the increase in total listings (18 per cent), prices continued to climb steadily across property categories. The median price for condominiums rose by 4 per cent to $395,000, while single-family homes saw a 7 per cent increase, reaching $550,000.
See more February details and statistics here.
