Montreal Housing Market Report
- The average home sold price reached $560,074 in November 2022 for a 0.9% annual decrease.
- While Montreal home sales are down 38.3% year-over-year, active listings are up by a significant 58% year-over-year.
- Single-family detached median price remained the same year-over-year.
- Condo median price increased by 2% year-over-year to $380k.
- Plex median price decreased by 1% year-over-year to $715k.
Montreal Housing Market Overview
Home prices in Montreal’s housing market have plateaued at prices similar to this time last year while real estate markets across Canada continue to face a slowdown in recent months. The average home sold price for the month of November 2022 in Montreal’s housing market was $560,074, a 0.9% decrease year-over-year and a marginal 0.6% increase month-over-month. That is 7.9% lower than the record-breaking $608,265 average sold price seen seven months ago in April 2022.
Sales activity in Montreal was much slower than the sales activity at this time last year. There were 2,716 home sales in Montreal's housing market during the month of November 2022, a 38.3% drop from the 4,402 sales in November last year. The sales increased by 2% compared to last month. In comparison, Toronto’s housing market saw a 49% drop in sales in November 2022 compared to October 2022. Revisions to the Centris system database lowered last year’s number of sales in November 2021 to 4,378. However, that is still a revised 38% drop in sales year-over-year.
Looking at Montreal property types, the median price of a single-family home in Montreal was $520,000 in November 2022, down 1% year-over-year and up 2% month-over-month. There were 30.5% fewer single-family homes sold this month compared to last year, with 1,460 single-family home sales in November 2022.
The median price for condominiums slightly increased by 1.6% year-over-year to a median price of $380,000 for November 2022, with no change compared to last month. The 1,045 condo sales in November 2022 represent a 40.9% drop in sales year-over-year.
The median price for plexes for November 2022 was $715,000, down 1.4% year-over-year and up 2.1% compared to last month. Meanwhile, Montreal plex sales are down 60.2% year-over-year to 210 sales.
Single-family homes had an average selling time of 44 days in November 2022, up from 38 days in October 2022 and from 32 days in November 2021. Condos had an average selling time of 48 days, up from 40 days last November, while plexes had an average selling time of 64 days, 10 days more than 54 days last November.
Looking at market activity for the month of November 2022, the number of active listings in Montreal is up 58% year-over-year while new listings are down 3% year-over-year. This month, Montreal's sales-to-new listings ratio is 57%, an increase from last month’s SNLR of 51%. Having a sales to new listings ratio of 40% - 60% generally means that the market conditions are balanced.
The annual decrease in sales activity this month is similar to Toronto's housing market and Vancouver's housing market. Home sales in Toronto are down by 49% YOY and Vancouver sales down 53% YOY for November 2022. At 38%, Montreal’s dip in sales remains relatively lower. Talking about month-over-month sales, while Toronto saw an 8% decrease in sales this month compared to last month, Vancouver’s sales decreased by 15%. In contrast, Montreal’s sales increased by 2% in the same period.
As Montreal home prices recede and sales dwindle, it’s becoming clear that Montreal’s housing market has stabilized and may even contract amid an environment of rising interest rates. Although Canada's inflation rate cooled a little after continuously rising to a peak of 8.1% in June, Bank of Canada rate hikes are expected to continue into the next year, and a further cooldown in Montreal’s housing market might be seen over the coming months. Rising Montreal mortgage rates and Quebec City mortgage rates are likely to reduce affordability, limiting demand from Quebec home buyers.
Canadians sitting on high levels of savings, brought about by increasing net worth during the pandemic, have buoyed housing prices in Montreal and in Canada. However, uncertainty around inflation and interest rates may cause homebuyers to give a second thought before withdrawing from their TFSA or RRSP in order to buy a home in Quebec.
Home Prices in Montreal
Single-Family Detached Home Prices in Montreal
|Statistics for November 2022|
|Median Price:||$520,000||-1.0% from Nov. 2021|
|Units Sold:||1,460||-30.5% from Nov. 2021|
Condo Prices in Montreal
|Statistics for November 2022|
|Median Price:||$380,000||1.6% from Nov. 2021|
|Units Sold:||1,045||-40.9% from Nov. 2021|
Plex Prices in Montreal
|Statistics for November 2022|
|Median Price:||$715,000||-1.4% from Nov. 2021|
|Units Sold:||210||-60.2% from Nov. 2021|
Montreal Housing Market Statistics for All Property Types in November 2022
Average Sold Price and MLS HPI Benchmark Price
Property Type Distribution
Market Overview for Single-Family Homes in November 2022
Median Sold Price
Market Overview for Condominiums in November 2022
Median Sold Price
Market Overview for Plexes in November 2022
Median Sold Price
Glossary and Definitions
MLS® HPI: The MLS® Home Price Index (HPI) is an index by the Canadian Real Estate Association (CREA) that tracks the prices of homes in a neighborhood. It allows Canadians to quickly compare home prices across Canada and between periods of time without having to account for specific features of a property. Unlike market prices, which can fluctuate from month to month based on seasonal dynamics, the HPI provides a stable view tracks trends across a longer period of time. The HPI is reviewed every year in May to adjust for changes in the real estate marketplace.
MLS® HPI Benchmark Price: The MLS® Home Price Index (HPI) Benchmark Price is the HPI translated into a real-world price number.
Strata Insurance: Strata insurance is insurance used by a strata like a condominium to covers damages to common areas and assets and liability to the strata. It can also include fixtures built or installed as part of the original construction of each unit, even though these may not be common structures. The insurance can cover:
- Buildings and structures associated with the strata including common areas such as the roof, parking garages, driveways, gyms, pools, etc.
- Liability for any property damage or bodily injury suffered on strata property
- Any fixtures that are part of the "standard unit" or original construction of each unit
Strata insurance does not usually include personal items and appliances that are part of a condo unit. It also does not cover the damages made by individual unit owners, such as in the case of water damage caused by a unit owner. These are usually covered by personal condo insurance.
Detached home: A detached home is your standard single-family home. It is a residential building that stands alone and is separately titled or legally a single unit.
Semi-detached home: A semi-detached home is similar to a detached home, except it shares a wall with another home. This pair of homes must make up an independent building and each should be separately titled or legally two separate units. There can only be two homes in a semi-detached building.
Townhouses: A townhouse is the middle between a detached/semi-detached home and a condo apartment. Like detached and semi-detached homes, they are often single-family units that have their own land and may be attached to other units. However, like condo apartments, they typically have to pay co-ownership fees for maintenance and may share some common features with their neighbors.
Condo apartment: This category includes all apartments and condominiums. These are complexes of residential units with common areas such as hallways, parking lots, stairwells, etc. They can be low-rise, mid-rise, or high-rise buildings. Unlike townhouses, there are no parts of the lot (the land of the building) where access is reserved for only one owner or occupant. There can be privately owned units and spaces inside the building.
Plexes are multi-story buildings with two to four individual units, usually one on each floor. They are a mainstay in Montreal and other cities in Quebec. Each unit is usually individually accessible via an external entrance with higher floors connected by staircases.
Freeholds: A freehold is any property where the owner owns both the house and the land it is built on. Common freehold property types include: detached, semi-detached, some townhouses, and farmland.
Condominiums: A condominium or condo is any property where the owner owns the home (or unit) but shares ownership of the land and other improvements with a condominium corporation. Common condominium property types include condo apartments and some townhouses.
Leasehold: Leasehold describes the situation where different entities own the land and the structure built on the land. Owner of the buildings has leased the land and pay rent to their landlord while owning the building on the land.
Housing Markets Across Canada
Data sourced from the Quebec Professional Association of Real Estate Brokers (APCIQ) and the Canadian Real Estate Association (CREA). Any analysis or commentary is the opinion of the analysts at WOWA.ca and should not be construed as investment advice. Please consult a licensed real estate professional before making a real estate investment decision. The trademarks MLS®, Multiple Listing Service® and the associated logos are owned by The Canadian Real Estate Association (CREA) and identify the quality of services provided by real estate professionals who are members of CREA.