Québec City Market Achieves Second Consecutive Record for Residential Sales in July: QPAREB

 

The Québec Professional Association of Real Estate Brokers (QPAREB) recently released residential real estate market data for July 2023 pertaining to the Québec City Census Metropolitan Area (CMA). This data included statistics derived from the Centris provincial database utilized by real estate brokers.

In July 2023, the Québec City CMA witnessed a total of 650 residential sales, signifying a notable upswing of 19 per cent or 103 transactions in comparison to the corresponding period of 2022. Remarkably, this marks the initial rise in sales after a year-long interval.

“The increase in market activity in Québec City far exceeds that of other major cities in Québec and the province in general,” said Charles Brant, QPAREB market analysis director.

“The strength of the market is not just due to household purchasing power being less sensitive to rising interest rates. Median prices in each property category are, in fact, lower than those of the province. Consequently, these favourable prices are contributing to attracting an ever-growing pool of potential buyers from outside the Capitale-Nationale. More specifically, according to the latest statistics from the Institut de la statistique du Québec, the percentage of recent international immigrants outside the Montréal CMA will reach 20.7 per cent in 2021, including 7.3 per cent in the Québec City CMA. The Capitale-Nationale is therefore the biggest draw outside of Montréal. This trend sharply increased in 2022 and is inevitably reflected in robust activity on the resale market, particularly in the most accessible sectors such as the South Shore of Québec City.”

Image source: QPAREB

Throughout the month of July, the surge in sales within the Québec City Census Metropolitan Area (CMA) can largely be attributed to a significant increase in activity on the South Shore of Québec City. This region experienced a 66 per cent rise with 151 sales. Following this, the Agglomeration of Québec City saw growth of 12 per cent with 427 transactions. Conversely, the Northern Periphery of Québec City witnessed a 5 per cent decrease, resulting in a total of 72 sales.

Transactional activity exhibited growth across all property categories, showcasing variations ranging from 2 per cent to 26 per cent. Notably, the condominium category stood out with 184 sales and a substantial 26 per cent increase. Single-family homes also experienced a noteworthy 18 per cent jump, reaching a total of 421 transactions. Finally, plexes recorded 45 sales, marking a 2 per cent increase when compared to the same period in the previous year.

In July 2023, active listings reached 2,654, marking one of the lowest levels observed during this time of year in the past two decades. This represents a mere 5 per cent increase compared to the previous year. Notably, the increase in active listings was more prominent for single-family homes, which saw an 11 per cent rise. The inventory for condominiums remained stable (0 per cent), while listings for plexes experienced a decline of 10 per cent.

Image source: QPAREB

Average sales times within the Québec City CMA market exceeded 50 days. Among the property types, small income properties displayed the lengthiest average selling times at 66 days—10 days longer than in July 2022. Condominiums and single-family homes followed with respective average sales times of 56 days and 51 days. This marked a decrease of 12 days for condominiums and an increase of 22 days for single-family homes.

In July 2023, the median price for condominiums reached $247,000, reflecting a 5 per cent increase compared to the same period in the previous year. The median price of single-family homes remained stable at $350,000, showing no change (0 per cent). Finally, within the plex category, the median price was $380,000, indicating a slight decline of 1 per cent.

Across the primary metropolitan areas of the Québec City CMA, median prices demonstrated variations between +1 per cent and -4 per cent. In the Northern Periphery, the median price of single-family homes reached $395,000, marking a 1 per cent increase compared to the previous year. The median price of single-family homes for the Agglomeration of Québec City remained stable at $355,000. On the other hand, the median price of single-family homes for the South Shore of Québec City was $320,000, indicating a decline of 4 per cent in comparison to July of the preceding year.

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