Home prices continue to rise in Quebec

House prices continue to rise in Quebec

UPDATE DAY

Despite a 14% slowdown in real estate sales in Quebec in the second quarter of 2022, compared to the same quarter in 2021, the price remains high for new buyers in the region, according to the Professional Association of Brokers Immobiliers du Québec (APCIQ).

The Association released Tuesday the most recent statistics for the residential real estate market in the province of Quebec, established according to the provincial database Centris of real estate brokers.

Thus, the median price of single-family properties in Quebec again saw an increase of $448,694 for the second quarter of 2022, an increase of more than $30,000 compared to the first quarter of this year.

As for condominiums, the median price in the province rose to $381,000, up $16,000 from the first quarter.

The median price for a small income building with two to five units is $541,000, which represents a 15% increase compared to the same period last year. Small income properties with two to five units recorded a median price of $541,000, up 15% from the same period last year and just over $30,000 more than in the first quarter of 2022.

“Prices therefore continue to be under pressure, especially outside the Montreal region,” the APCIQ said in a press release. In the Montreal metropolitan area, on the other hand, home prices are showing signs of losing momentum, clearly affected by the rapid rise in financing costs, putting an end to the unbridled rise in prices and helping to change the psychology of buyers and sellers in the face of market changes.”

The number of residential transactions in the second quarter was 27,150. This is however higher than what Quebec experienced in 2014, when there had been less than 26,000 residential transactions in the province.

“The Quebec residential real estate market stands out from a rapid process of market rebalancing as observed in several Canadian provinces, specifically the 'Ontario and British Columbia,' explained the APCIQ.

The Association, however, considers it likely that the rise in prices will cease for the second part of the year, due to the increase in interest rate.