A new survey by Royal LePage, a major real estate firm, predicts that home prices in the greater Montreal area will increase by 8.5% in the fourth quarter of this year. This forecast is an upward revision after a strong first quarter that outpaced earlier predictions.
Marc Lefrançois, a real estate broker at Royal LePage, explains that the housing market’s momentum comes from several factors. He points to growing buyer confidence, driven in part by expected declines in mortgage interest rates. He also mentions the ongoing demand for housing, fueled by increased immigration.
Lefrançois elaborates on the market dynamics, emphasizing that nearly a million new immigrants came to Canada last year. Those immigrants are contributing to significant population growth. This rapid demographic change, combined with a limited housing supply, has intensified the pressure on the real estate market, a trend that existed even before the pandemic.
Overall, these factors suggest that the demand for housing in Montreal is outpacing supply. That is leading to a significant rise in home prices by the end of the year. If you’re interested in buying or selling property in Montreal, understanding these trends is crucial.
