Residential real estate: COVID-19 has not dampened the market turmoil

Residential real estate: COVID-19 has not dampened the market turmoil

The COVID-19 pandemic appears to have whetted the appetite for buying property over the next five years in the Montreal area where buying and selling intentions are on the rise, according to a study released Tuesday.

Some 30% of households in the Montreal metropolitan area are considering buying a property, reveals the survey commissioned by the Association of Professional Construction and Housing of Quebec (APCHQ), the Solidarity Real Estate Fund FTQ, the Société d’habitation du Québec (SHQ) and the Professional Association of Real Estate Brokers of Quebec (SPCIQ).

This 4-point increase in intentions compared to the last survey in 2018 is explained by two factors: the desire of Montreal tenants to own property and the desire to have a second home for households that already own them.

“We can expect a resale market that will continue to favor sellers over the next few years, as the survey clearly shows that demand will potentially remain strong,” said Charles Brant, director of the Market Analysis Department. of the APCIQ.

The online survey of 5,000 respondents indicates that first buyers represent 48% of future potential buyers, while 15% plan to purchase a second home within five years.

To make their real estate purchase plans a reality, more households are considering leaving the Montreal area, according to the survey.

Thus, 13% of residents of the census metropolitan area (CMA), which merges with the territory of the Montreal Metropolitan Community (CMR), intend to buy outside this territory.

“Teleworking will effectively allow certain households to move away from large centers. But we are far from the exodus ”, qualified Paul Cardinal, director of the Economic Department of the APCHQ.

The pandemic has not prevented the attraction of condominiums, since 20% of respondents seriously consider this prospect, the same rate as in 2018.

“Eight out of ten future buyers consider the presence of a private balcony to be very important, which can certainly be explained by the experience of confinement that Montrealers have just gone through,” observed Normand Bélanger, President and CEO of the Real Estate Fund. of solidarity FTQ.

Across the province, one in four Quebecers plans to purchase a residential property by 2025, a similar result observed in 2018.

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