L'ÎLE-DES-SŒURS, QC, Jan. 14, 2016 /CNW Telbec/ - According to the latest forecasts from the Québec Federation of Real Estate Boards (QFREB), the province's residential real estate market will experience another increase in sales in 2016. The number of sales concluded through the real estate brokers' Centris® system is expected to reach 76,000 transactions, 3 per cent more than in 2015. This will represent a second consecutive year of sales increases, after registering a 5 per cent increase in 2015.
"The residential real estate market's upturn in 2015 will continue in 2016, at least during the spring period, which is the most active time of the year for buying a property," said Paul Cardinal, Manager of the QFREB's Market Analysis Department. The demand for homes in 2016 will be supported by low interest rates, a slight increase in net migration, modest job gains and a consumer confidence level in Québec that will maintain its current level. "Historically low interest rates have been reached, and marginal increases are expected by the end of the year," added Mr. Cardinal.
In addition, for a fourth consecutive year, the QFREB expects to see rather timid price increases. The median price of single-family homes in Québec should increase by only 1 per cent in 2016 to reach $233,000. This increase will represent the 19th consecutive year of price growth.
Finally, after five years of increases, the number of for-sale property listings will stabilize, as will average selling times.
Montréal Area: Heading to a Four-year High
The QFREB predicts that residential sales will increase in the Montréal Metropolitan Area in 2016. The QFREB expects there to be 39,000 transactions concluded through a real estate broker this year, a 3 per cent increase compared to 2015. It will also be the most active year for sales since 2012.
The QFREB also anticipates a moderate increase in prices in the Montréal area. The median price of single-family homes will reach $295,000 in 2016, a 2 per cent increase compared to 2015. As for condominiums, the slight excess in supply will limit price increases to only 1 per cent, with a median price reaching $240,000.
"Overall, the markets for single-family homes and plexes will be relatively balanced, meaning neither buyers nor sellers will have a clear advantage in negotiations, while the condominium market will remain a buyer's market," said Paul Cardinal, Manager of the QFREB's Market Analysis Department. "As for condominiums, the surplus in inventory should start to slowly become absorbed in 2016," he added.
About the Greater Montréal Real Estate Board
The Greater Montréal Real Estate Board is a non-profit organization with close to 9,300 members: real estate brokers. Its mission is to actively promote and protect its members' professional and business interests in order for them to successfully meet their business objectives.
About the Québec Federation of Real Estate Boards
The Québec Federation of Real Estate Boards is a non-profit organization composed of Québec's 12 real estate boards and the more than 13,000 real estate brokers who are their members. Its mission is to promote and protect the interests of Québec's real estate industry so that the boards and their members can successfully meet their business objectives.
Centris.ca is Québec's real estate industry website for consumers, grouping all properties for sale by a real estate broker under the same address. Visit Centris.ca to obtain more information and quarterly statistics for the province of Québec.
For more information about the Centris® statistics for each of the province's regions, don't miss the upcoming publication of the QFREB Barometer.
SOURCE Québec Federation of Real Estate Boards
Image with caption: "Québecs Residential Real Estate Market Will Register Another Year of Growth in 2016 (CNW Group/Québec Federation of Real Estate Boards)". Image available at: http://photos.newswire.ca/images/download/20160114_C4582_PHOTO_EN_598037.jpg
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