14-04-2021 |
Growth in real estate values in the region
These times of pandemic strongly marked the real estate market and in particular that of single-family homes in the regions bordering Montreal. Recent real estate reports are unanimous on the phenomenon of exodus from Montreal to the suburbs and rural areas.
Growing popularity is noted for the MRCs bordering the Montreal CMA and the regional capitals including Saint-Hyacinthe, Sorel-Tracy, Salaberry-de-Valleyfield and Joliette.
Single-family homes remained the most coveted home type this year, despite a surge in demand for suburban condos.
One-third of households who bought in the suburbs in 2020 from Montreal chose to live in a condo compared to two-thirds who opted for single-family homes. [CMHC, 2021]
The growth of the Montreal region was necessarily impacted by this, going from 18 per thousand in 2019 to 2.3 per thousand between July 1, 2020 and July 1, 2019. [Institut de la statistique du Québec, 2021]
Real estate professionals agree that telecommuting has greatly contributed to this movement by becoming widespread and becoming a long-term option for many buyers. The demand for housing should therefore remain strong for single-family homes in the regions in 2021.
Moreover, this increased demand in the regions inevitably gives the advantage to sellers and is reflected in a significant increase in average and median prices, especially for single-family homes. Among other things, the median price of a single-family home in the Lanaudière region thus increased by 12.2% in 2020. In addition, it should be noted that the low inventory at the same time certainly supported this price growth.
Finally, cabins in resorts are also on the rise. A recent study conducted by Caprea in Saint Côme shows significant added value for chalet owners who sold in 2020. [Caprea, 2021]
Source: Caprea, market research department (Saint-Côme sector)
The chalets sold in this sector after March 2020, that is, during the pandemic, have particularly high growth rates, some even reaching up to 20% annual growth.
This so-called growth resulting from the global pandemic is likely to have effects for some time to come.
A development project in mind? Do you want to know more about the potential of the real estate market in your area? Do not hesitate to contact Caprea's market research department, the entire team is available to answer your questions by offering you tailor-made solutions.