But first-time buyers aren't necessarily benefitting, says real estate board
Montreal’s residential real estate market showed no signs of cooling in August, with sales and prices continuing their upward climb despite mounting economic uncertainty.
According to new data from the Quebec Professional Association of Real Estate Brokers (QPAREB), the Montreal Census Metropolitan Area (CMA) recorded 3,330 residential sales last month, a 12% jump from August 2024 and the most active August since 2021.
Sales momentum spread across all sectors
Sales climbed across all major sectors of the CMA, with the plex market particularly active.
“Repeat buyers who can leverage their real estate assets are at the forefront. Consequently, Montreal’s central neighbourhoods, which are the most expensive, continue to post the strongest growth in sales, as do other affluent neighbourhoods in more peripheral areas,” Charles Brant, QPAREB’s market analysis director, said.
The supply of properties inched up by just 4% year over year, leaving 17,515 properties listed for sale in the CMA. Brant noted that “market conditions remain very favourable to sellers,” with the increase in supply largely driven by condominiums, which saw a 12% rise in listings.
Prices hit new highs as affordability concerns linger
The median price for a single-family home in the CMA rose by 7% to $633,250, with the Island of Montreal and Vaudreuil-Soulanges each posting 10% gains.
The North Shore and Saint-Jean-sur-Richelieu saw increases of 8% and 7%,respectively. Over the first eight months of 2025, median prices climbed 9% for single-family homes, 8% for plexes, and 6% for condominiums.
Brant attributed the sustained demand to “lower interest rates and the possibility of extending the amortization period to 30 years under certain conditions.” However, he cautioned that “first-time homebuyers are not necessarily benefiting from this, as price increases have ranged between 6% and 9% since the beginning of the year, with single-family homes leading the way.”
Economic headwinds fail to slow market
“This dynamic is, for now, defying the uncertainties weighing on the economic outlook for the country and province. The decline in economic activity in the second quarter of 2025 has already been confirmed nationally by Statistics Canada. Quebec’s real GDP has also been on a downward trend since April, according to data from the Institut de la statistique du Québec,” Brant said.
