(Montreal) Sales of residential properties in Greater Montreal fell 10% in June, compared to the same month last year, the Professional Association of Quebec Real Estate Brokers (APCIQ) said Thursday.
A total of 3,627 sales were completed last month, compared to 4,045 transactions in June 2022, the association said, noting that you have to go back to 2015 to see a similar level of sales for that month.
“The spring had started with a note of optimism for buyers, but also for sellers, the Bank of Canada having decided to stop raising its key rate after nine consecutive increases”, observed in a press release the director of the service. of the APCIQ’s market analysis, Charles Brant.
“Combined with some effect of buyers returning to the market, this had translated into a sizeable pick-up in deal activity in May. »
Last month’s interest rate hike by the Bank of Canada, however, sent “a negative signal to market participants,” Brant continued. “Therefore, they can postpone their purchase or sale project. »
All sectors of the metropolitan area were affected by the slowdown. That of Vaudreuil-Soulanges recorded the largest drop with a decline of 28% on an annual basis. Laval followed with a 20% drop, followed by the island of Montreal, with a 10% decrease. The North Shore, Saint-Jean-sur-Richelieu and South Shore sectors saw their sales drop 8%, 7% and 6% respectively.
All property categories also took the hit. Sales of small income properties with two to five units (plexes) fell 16% year-on-year, while those of condominiums fell 11% and those of single-family homes fell 8%.
Median prices also fell from June 2022. Plex prices fell 6% to $726,500, while condominium prices fell 5% to $390,000. The median price for single-family homes hit $550,000, which was down 4% from a year ago.
The number of active listings in Greater Montreal increased by 32% in June compared to the same month last year, but remained very stable compared to that of May. New listings in June are down 19% from June 2022.
The decline in transactional activity has also resulted in an extension of the sales period, observed the APCIQ. All property categories saw their average selling time extended by at least 20 days compared to June 2022. On the plex side, this period went from 44 to 77 days, while it went from 30 to 53 days for condominiums and 25 to 45 days for single family homes.