The migration boom in Montreal will further propel residential sales and condo prices in 2020.
The Quebec Professional Association of Real Estate Brokers (QPAREB) recently looked back on 2019 and made some predictions for the future, stating the market will once again be the strongest in the province with condo prices possibly accelerating.
The average condo is predicted to reach $285,200. Last year, the average price was $267,900, an increase of five per cent compared to 2018. The same goes for single-family homes, which could go up six percent to $360,700.
Overall sales are expected reach a new high this year. Last year, a record 51,329 residential sales happened in Montreal, a 10 per cent increase compared to 2018. The condo market sold the most dwellings, with a 14 per cent increase.
High-end properties are also fetching strong demand, as condo sales above $1 million jumped by 33 per cent (221 transactions) and sales of single-family homes above $1.5 million increased by 12 per cent (368 transactions).
“In addition to registering record sales in 2019, selling times were down sharply and price increases were sustained,” said Charles Brant, economist and director of the QPAREB’s Market Analysis Department. “By property category, condominiums stood out most in terms of the number of transactions, but plexes registered the largest price growth.”
Many sales were also going above asking prices and commanding multiple offers. Tense market conditions now give sellers the upper hand in negotiations
“Condominiums are increasingly exposed to situations of multiple offers, with sales being concluded at a price higher than the asking price,” Brant noted. “This phenomenon has become increasingly prevalent in the large areas on the periphery of the Island of Montreal and has even become endemic in many neighbourhoods on the Island of Montreal.”