This year, the Montreal Census Metropolitan Area (CMA) recorded the highest number of home sales ever for the month of August since 2000, according to the Quebec Professional Association of Real Estate Brokers (QPAREB).
A total of 4,878 residential sales were concluded in August 2020, a 39 per cent increase compared last year. Julie Saucier, president and chief executive officer of the QPAREB, notes that many transactions lost during the lock-down in early spring have almost recovered during July and August—traditionally quieter months. Like other areas in Canada there has been a renewed interest in buying single-family homes.
“Against all expectations, this enthusiasm is supported by a notable increase in the savings rate of many buyers in recent months,” she said. “The situation is particularly present in the suburbs, where cases of overbidding are increasing and market conditions are still extremely favourable to sellers.”
Home sales by geographic area
All six of the Montreal CMA’s main areas saw a remarkable increase in sales in August. Vaudreuil-Soulanges, the North Shore and Laval led the way with respective increases of 62, 51 and 48 per cent, compared to August of last year. The South Shore ( up 39 per cent), the Island of Montreal ( up 29 per cent) and Saint-Jean-sur-Richelieu ( up 17 per cent) also performed well.
Home sales by property type
There were 2,601 single-family home sales—the largest increase at 47 per cent. Condo sales jumped by 36 per cent (1,861 transactions), while sales of plexes (two to five dwellings) rose by 12 per cent (410 transactions).
Property prices surged across the CMA in August for all three property categories.
The average price of single-family homes increased by 24 per cent compared to August of last year, reaching $427,500. This was the highest increase ever recorded from the realtors’ provincial database. Single-family home sales above $1 million more than doubled compared to August of last year ( up 136 per cent), which had an impact on the increase in median price.
The average price of condos stood at $312,000, a 12 per cent increase since last year, while the average price of plexes was $599,500, a 13 per cent increase.
Number of properties for sale
With 12,953 active residential listings, the number of properties for sale continued to drop, falling by 21 per cent year over year. The last time there was a similar level of active listings in the Montreal CMA was back in August of 2003.