Housing market conditions remain stable in Montréal’s CMA

Housing market vulnerability remains low in Montréal’s central metropolitan area, according to Canada Mortgage and Housing Corporation’s (CMHC) first quarter assessment for 2018.

A market becomes vulnerable when prices are overvalued, putting homeowners and mortgage lenders at risk of a housing bubble.

Evidence of overheating in Montréal is low but increasing in the resale market. A tightening relationship between supply and demand has propelled the market in favour of sellers. Meanwhile, the seasonally adjusted sales-to-new listings ratio was 65%, which is still below the problematic threshold.

Market conditions differed somewhat from one segment to another:

  • The single family and duplex segments currently favour sellers.
  • The condominium segment is a balanced market, but is leaning in the direction of a buyers’ market.
  • Sales are expected to continue increasing, while active listings dip.
  • The decrease in active listings-to-sales ratio for single-family homes was evident across the broader geographic sectors.
  • n Montréal Island, the South Shore, and Laval, market conditions currently favour sellers.

Also read: While Montréal heats up, Toronto chills

 

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