The Montreal real estate market is active in 2025. Home prices are rising, more people are buying and selling, and interest rates are changing. Whether you’re thinking of buying or selling, it’s important to understand how the market works right now.
Let’s take a look at what’s happening and how it affects you.
🏡 Home Prices Are Going Up
Montreal home prices continue to rise across most property types.
- Single-family homes: The median price is now $610,000, up 8% from last year.
- Condos: Median prices have reached $420,000, showing a 5% increase.
- Duplexes and triplexes (plexes): These are now selling for around $830,000, a 10.7% jump.
The overall average home price in the city is now about $625,000, which is 5% higher than in 2024.
📈 More Homes Are Being Sold
Sales activity in Montreal has picked up in early 2025.
- In March alone, nearly 5,000 homes were sold, a 10.9% increase over the same time last year.
- More homes are also being listed. There were almost 7,900 new listings, up 16% year-over-year.
Even with more listings, demand remains high. The sales-to-new-listings ratio is at 63%, meaning homes are selling faster than new ones are coming onto the market. This keeps it a seller’s market in many areas.
💸 How Interest Rates Are Helping Buyers
Interest rates are playing a big role in the current market.
- The lowest available 5-year fixed mortgage rate in Montreal is about 3.84%.
- Over the past 10 months, the Bank of Canada has cut rates by 2.25%, making it easier to borrow.
Lower rates mean monthly mortgage payments are more affordable, which is great news for buyers. That’s one reason sales are going up.
😬 Affordability Is Still a Challenge
Even with better mortgage rates, buying a home in Montreal isn’t easy for everyone.
- To buy a single-family home priced at $750,000, a household needs to earn about $204,000 per year.
- For a condo priced around $507,000, the required income is roughly $143,000.
These numbers show that affordability is still a big issue. Many first-time buyers will need to plan carefully or look at smaller homes or condos in different neighborhoods.
👥 Advice for Buyers and Sellers
If you’re planning to buy:
- Get pre-approved for a mortgage before starting your search.
- Move quickly when you find a home you like—competition is high.
- Work with a local agent who understands the neighborhoods and the current market.
If you’re planning to sell:
- Price your home wisely to attract serious offers.
- Stage your home to make it look its best.
- Use a professional photographer to make your listing stand out online.
✅ Final Thoughts
The Montreal market in 2025 is strong. Prices are rising, sales are up, and lower interest rates are helping buyers. Still, affordability is a real concern. Whether you’re buying or selling, being informed—and working with the right experts—can make a big difference.
Want personalized help with your real estate goals in Montreal? Contact our team today.
