The Fédération des chambres immobilières du Québec (FCIQ) recently published an article in Market Outlook providing an overview of the real estate market in the higher price ranges.

According to the FCIQ, Quebec’s residential real estate market as a whole has surprised with its strength since last fall, despite the mortgage tightening measures introduced in October that were expected to once again slow down first-time buyers. However, activity among households purchasing a property for the second time or more has clearly more than made up for it.

The Centris® system used by real estate brokers recorded 4,429 sales of single-family homes priced at $500,000 or more in Quebec during the 12-month period from June 2016 to May 2017. This represents a 20% increase compared with the equivalent period one year earlier. Sustained increases in sales were observed in this price range, particularly in the Gatineau (+40%), Sherbrooke (+26%) and Montréal (+22%) regions.

In addition, areas with a significant concentration of recreational properties performed particularly well in this regard. Sales of single-family homes priced at $500,000 or more increased in the areas of Saint-Sauveur (+16%), Mont-Tremblant (+58%), Granby (+65%), Sainte-Adèle (+94%), Magog (24 compared with 17) and Sainte-Agathe-des-Monts (24 compared with 21). Activity in this price range has increased throughout the province over the past year, with the exception of the Quebec City region, where sales declined by 18%.

Across the province, sales of $500,000 or more accounted for 8% of single-family home transactions over the past 12 months, which is equivalent to approximately one home out of twelve. This proportion is, of course, much higher in the Montréal region, where it reaches 15%, or approximately one home out of seven.

This segment recorded 768 transactions, representing only 1.4% of all single-family home sales in the province between June 2016 and May 2017. Nevertheless, this segment experienced strong growth of 26%. This growth was not solely attributable to the Island of Montréal (560 sales, +24%). The FCIQ also highlights significant increases in activity on Montréal’s South Shore (58 sales, +61%), in Mont-Tremblant (21 compared with 13) and throughout the rest of the province (56 sales, +60%).

Consult the full FCIQ Economist’s Report for all the details.

Source: centris.ca