Montreal Condo Market Remains Stable Despite Rising Interest Rates in Q1 2023
Montreal’s real estate market has remained strong over the past year, and the first quarter of 2023 is no exception. Despite rising interest rates, the Montreal condo market has remained stable, with prices holding relatively steady.
Impact of Interest Rates on Montreal Condo Market in Q1 2023
Here is an overview of the impact of rising interest rates on the Montreal condo market in Q1 2023, based on the latest data from APCIQ:
The number of condo sales in the Montreal CMA decreased by 7% in Q1 2023 compared to the same period last year. This decline can be partly attributed to the rise in interest rates, which has made it more difficult for some buyers to qualify for a mortgage.
- Stable Prices
Despite the decline in sales, the median price of condos for sale in Montreal remained relatively stable, increasing by only 1% to reach $307,500. This suggests that while some buyers may have been priced out of the market due to rising interest rates, overall demand for condos remains strong enough to keep prices from dropping significantly.
- Active Markets
Montreal’s most active condo markets during the first quarter of 2023 were the Plateau Mont-Royal, Ville-Marie and Rosemont/La Petite-Patrie. These areas accounted for a combined 38% of all condo sales in the Montreal CMA.
- Good Time to Invest
Overall, while the impact of rising interest rates is being felt in the Montreal condo market, the market remains relatively stable. With a variety of condos for sale in desirable neighborhoods, now may be a good time to consider investing in Montreal real estate.
The nearest metro station to the Plateau Mont-Royal area is Mont-Royal Station, while Ville-Marie is served by various metro stations including Bonaventure, Peel, and McGill. The Rosemont/La Petite-Patrie area is served by Beaubien, Rosemont, and Jean-Talon metro stations.
In conclusion, the Montreal condo market remains resilient despite the impact of rising interest rates. With stable prices and active markets, now may be the perfect time to invest in a Montreal condo.