The State of Montreal’s Real Estate Market
Montreal is a city unlike any other in Canada – or the world. Not only does it have one of the largest French-speaking populations in the world, but it’s also one of the largest cities in Canada. And when it comes to Montreal real estate, you really have every option you could think of: from apartments and condominiums to single-family homes and more. Thanks to this, a wide variety of people call this city home. With its European feel and vibrant culture and cuisine, it’s no wonder that so many people are looking to move here.
But what does the state of the Montreal real estate market look like? Well, as it is one of the fastest-growing and popular cities in the country, it’s not surprising that prices are increasing – and rapidly. In fact, the growth of the average home price is significantly higher than in other parts of the country.
The year-over-year increase for February was at 5.15 percent, which is a historic high. The average annual increase in home prices for the rest of the country was at just 1.87 percent, showing how much faster the Montreal real estate market is expanding.
Economic Growth Equals More Buying Power
Another reason home prices are increasing in Montreal right now has to do with the fact that there have been low unemployment rates and a thriving job market, leading to more disposable income for residents who live and work in Montreal. The Canada Mortgage Housing Corporation said: “The Montreal and Québec areas have shown strong economic growth and particularly vibrant job markets in the last two years. This certainly contributed to the financial stability of households and supported their ability to make their mortgage payments on time (or less than 90 days late).”
As more and more people continue to earn higher salaries, there will likely be a further increase in demand for higher-quality and more expensive properties in the Montreal real estate market.
Lower-Income Workers Being Priced Out
While many living in the city are experiencing high wages and personal economic growth, those without strong job opportunities may find themselves being priced out of the market. This is especially a concern since the implementation of new rules by the federal government limiting individuals’ abilities to get a mortgage.
As the market continues to expand and change, the demographics of the city is likely to continue to change along with it.
If you are looking into buying Montreal real estate, it pays to have some knowledge about the market before you get ready to buy. If you truly want to secure a home you love without going over your budget or breaking the bank, it’s imperative that you turn to a trusted real estate agent in Canada. With an agent’s help, you will be more likely to find the kind of home you need at a price you can afford. While it’s smart to get the help of an agent no matter where you’re looking for a home, it’s even more crucial when you’re searching in Montreal.