Supply Issues Lower Quebec Home Sales

The province of Quebec had 22,333 residential sales transactions in the third quarter of 2021, a sharp 30 per cent drop compared to the third quarter of 2020 when there was a historic rebound in sales after the market was on pause due to the lockdown, says the Quebec Professional Association of Real Estate Brokers (QPAREB). Single-family home sales were down 36 per cent, condominium sales were down 24 per cent, and plex sales were up three per cent. Among the province's six census metropolitan areas (CMAs), the Saguenay CMA registered the largest decrease in sales falling by 37 per cent, followed by the Quebec City CMA (32 per cent), the Montreal CMA (29 per cent), and the Gatineau CMA (24 per cent). The Trois-Rivières CMA registered the smallest drop in sales, at eight per cent. The downward trend in supply continued for a 23rd consecutive quarter. From July to September, there were an average of 24,939 properties for sale in Quebec, which is a 31 per cent decrease compared to the same period last year. This is the lowest level of active listings on record since 2003, when the size of the residential housing stock was much smaller than it is today. QPAREB says this situation largely explains the sharp slowdown in sales as transactions are limited by the shortage of properties for sale on the resale market.