28 May Average home price to end the year 4.8% lower than 2022, will rise 4.7% in 2024
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Average home price to end the year 4.8% lower than 2022, will rise 4.7% in 2024
According to CREA, the Canadian Real Estate Association, the average home price to end the year lower by 4.8% but to rise again in 2024.
“As the spring market heats up and it looks as though some buyers are coming off the sidelines, it’s important to remember that the intense market conditions of recent years have not gone anywhere, they’ve just been on pause,” said Jill Oudil, CREA’s chair, in a press release.”
Canadians are re-entering a market that’s seen months of falling sales, lower listings and dampened buyer sentiment as eight successive interest rate hikes weighed on the cost of borrowing. March home sales were down 34.4 per cent to 41,636 from the year before. CREA said despite month-over-month sales increases, new listings remain at 20-year lows.
In Montreal, with nicer weather and our main spring real estate season, the market has been waking up. Although nowhere the frenzy of the last few years, it’s important to see signs of life and healthy activity. In other words a more balanced market. Lower inventories still persist in some areas, but this is due to sellers having to deal with current high rates should they wish to repurchase. Rental prices are also up.
Annual change in asking rent by city via Urbanation
“Laval average monthly rent in April rose 27 per cent in April for condo rentals and apartments, while Gatineau average monthly rent increased 15.2 per cent for condo rentals and apartments.”
The association’s prediction revealed Friday amounts to an average price of $670,389 this year and $702,214 next year, when prices are expected to increase by 4.7 per cent. The board also foresees falling 1.1 per cent to 492,674 this year and then rising 13.9 per cent to 561,090 in 2024.
The Latest Montreal Island Market Stats for April 2023 via APCIQ
Royal Lepage Prices & Forcasts
Each quarter, Royal LePage publishes home prices in Canada’s largest urban real estate markets. Use our search feature to read national and key market releases. Home prices for all markets can be found in our national home price chart.
Market Report Summary for April 2023 The average home sold price reached $565,786 in April 2023, for a 7% annual decrease. While Montreal home sales are down 27% year-over-year, active listings are up by 61% year-over-year. Single-family detached median price decreased by 6.9% year-over-year to $540k.
Possibility for value to appreciate over long term top motivation Approximately 11 per cent of Canadians currently invest in residential real estate, with more than half of current investors saying they are likely to purchase an additional residential investment property in the next five years, according to a survey by real estate firm Royal LePage.
Real estate unit sales have hit bottom, RBC report finds — but we likely won’t see a recovery until 2024
There were hints for some time the cyclical bottom would be reached this spring but April pretty much sealed the deal. Early results from real estate boards gave strong indications local markets turned a corner last month. In most cases, activity ramped up significantly (from depressed levels in March) and prices ticked higher.
Read the full RBC Report