Second Quarter 2025 Review of the Residential Real Estate Market

Rising sales, increasing prices, and shorter selling times — what do the latest figures tell us about the current state of the market? And what should we keep an eye on as the year progresses? Here is the second quarter 2025 review of Quebec’s residential real estate market.

Market holding steady amid uncertainty

In the second quarter of 2025, a total of 28,969 single-family homes, condominiums, and plexes (2 to 5 units) were sold — a rise of 11 per cent compared to the same period last year. This increase surpassed the five-year average for a second quarter, indicating an active market despite the uncertain economic climate.

Although below the pandemic surge and despite continuing uncertainty, June sales nevertheless rose 2.3 per cent compared to May. On a seasonally adjusted basis, this brings activity close to levels observed in early 2025.

“Quebec’s residential real estate market appears to be holding up well overall, despite the persistent instability in trade relations with the United States,” notes Charles Brant, QPAREB Market Analysis Director.

“Unfortunately, affordability remains a significant issue in Quebec,” states Hélène Bégin, QPAREB Senior Economist, Quebec Economy and Real Estate Market. She explains, “With prices lower than in many other provinces, the residential real estate market is less vulnerable. When the economic situation deteriorates or if mortgage interest rates rise, the resale market tends to hold on for a certain time before feeling the effects. Moreover, the negative consequences are usually less severe in Quebec than elsewhere in the country.”

Tensions with the United States, however, have had a greater impact on certain areas of Quebec due to their industrial profiles—particularly the Mauricie, Centre-du-Québec, and Saguenay–Lac-Saint-Jean.

Since this spring, unemployment rates in these regions have risen more quickly than the provincial rate. So far, this has not yet translated into a decline in the real estate market.

Sales remain strong in the Census Metropolitan Areas (CMAs) of Drummondville, Trois-Rivières, and Saguenay, where the supply of properties for sale is shrinking and prices continue to climb. This trend also held steady in other CMAs during the second quarter. But this momentum may not last: a slowdown could be felt in the coming months if the job market continues to deteriorate.

Rising prices

Property prices continue their rapid climb across the province. In the second quarter of 2025, the median price of single-family homes reached a record $500,000 — up 11 per cent in one year. In other words, half of all single-family homes sold above this threshold. This situation is largely driven by the limited number of properties available on the market, which is creating intense competition among buyers and fuelling overheating.

On the subject of overbidding

When it comes to overbidding, two conditions must be met:

1. The transaction must be concluded after several promises to purchase have been submitted for the same property within a very short time.
2. The final price must be at least 5 per cent higher than the original asking price.

In other words, it’s not enough for a property to simply sell above the asking price. Negotiations can sometimes result in additional inclusions, such as major appliances, spa or winter carport, which justify a higher price.

Fewer days on market

The number of days between listing a property and its sale dropped once again in the second quarter across Quebec. Pressure remains high for buyers of single-family homes, although it is intensifying as well in the plex (2 to 5 units) and in certain condominium markets.

Results vary depending on the type of property sought, by the neighbourhood, and by municipality. Overbidding is especially prominent in the Quebec City CMA, where nearly half of all properties were sold under such conditions.

Provincial Highlights – Q2 2025

The Quebec residential real estate market gained momentum in the second quarter. More buyers moved forward with purchases, leading to an increase in transactions in several regions of the province.

Sales

Between the second quarter of 2024 and the same quarter in 2025, residential sales in Quebec rose by 11 per cent.

Sales were also up in several CMAs across the province.

Transactional activity in urban centres was particularly robust in six localities, as evidenced by the sharp rise in sales.

Prices, however, declined in eight localities, most notably in Sept-Îles (-32 per cent), Lachute (-12 per cent), and Val-d’Or (-10 per cent).

Active listings

The supply of properties continued to decline in the second quarter of 2025 compared to the same period in 2024. Inventory dropped by 2 per cent to 36,902 listings. This decrease further widens the gap from the historical average typically seen for this time of year.

Median prices

Median property prices continued to rise across Quebec in the 2025 second quarter, effectively offsetting the positive impact of relatively low interest rates that would otherwise have improved housing affordability.

Market conditions

The time required to clear the residential property inventory in Quebec averaged 4.4 months in the second quarter of 2025, giving sellers the upper hand across the province. This is significantly shorter than the historical average of 8 months for this period, based on data from 2000 to 2025.

Selling times

Across Quebec, the number of days needed to sell a property dropped in all three market segments.

Quarterly Highlights for the Regions

Here is a simplified overview of the residential real estate market in Quebec’s major metropolitan areas for the second quarter of 2025.

Montreal CMA

The residential real estate market in the Montreal CMA showed clear signs of strength in the second quarter of 2025. Residential sales reached 14,490 transactions, up 12 per cent from the same period last year. This level of activity is 13 per cent above the historical average. In Greater Montreal, the number of active listings remained relatively stable, growing by just 1 per cent. The number of months required to sell the inventory (all categories combined) edged down to 4.4 months. Voici un portrait simplifié du marché immobilier résidentiel dans les grandes régions métropolitaines du Québec pour le deuxième trimestre de 2025.