The average home price in the Montreal region has already fallen 9% from its peak last April, according to the latest resale market statistics compiled by the Professional Association of Real Estate Brokers of Quebec (APCIQ).
Posted at 5:26pm
Updated at 7:30 p.m
The average home price in August was $525,000 compared to $580,000 in April. This is uncleaned data.
However, compared to August 2021, the median price has increased by 5% in one year.
August data for the Montreal Census Metropolitan Area (CMA) is from the Centris provincial database for real estate agents.
“In August 2022, there were 2,681 transactions in the Montreal CMA, reports APCIQ in its monthly news release, down 20% compared to the 3,347 transactions that occurred in the same month last year. The market continues to slow down. »
At the same time, the number of sales signs is increasing from month to month. The number of active offers increased by 37% in one year compared to August 2021. It went from 9,988 to 13,715 properties listed for sale. The home category saw the biggest increase with a 58% increase in products for sale.
“The magnitude of the rise in mortgage rates is thus more clearly reflected as transaction activity continues to slow and the inventory of properties for sale increases,” Charles Brant said in a press release. , Director of APCIQ’s Market Analysis Division.
“The process of market rebalancing is underway, reflected in a shift in the ratio of sales to new offers and a rapid decline in the proportion of sales of properties that have been completed after an outbidding process. This situation will inevitably lead to a price drop and the disappearance of the inflated profits that resulted from the boom at the beginning of the year and peaked in the spring,” he says.
The median price for condos rose to $385,000 in August and that for plexes (2 to 5 unit buildings) to $697,000.
Speaking of Plex, this segment of the market has cooled off a lot lately. The number of transactions has fallen by 36% in one year, from 385 resales in August 2021 to just 248 transactions in the last month.