Greater Montreal Real Estate: 2026 Forecasts and Opportunities.

Unlike the sharp corrections seen in Toronto or Vancouver, the Greater Montreal real estate market is showing remarkable resilience. As spring 2026 approaches, we anticipate moderate growth, marked by a growing divide between single-family homes and condominiums.

Sustained growth in 2026

The Montreal market closed 2025 with an aggregate price of $640,700, up 4.5% year over year. This momentum is expected to continue: Royal LePage forecasts that the aggregate price in Greater Montreal will rise by 5.0% by the fourth quarter of 2026.

This relative stability—described as a “soft landing” for the broader market (properties under $1 million)—contrasts with the luxury segment, which remains slower, but has shown signs of recovery since the last quarter.

For buyers and investors, it’s crucial to understand that the market is moving at two speeds:

1. Single-family homes: Seller’s marketThe single-family home segment remains highly competitive. The median price jumped 8.1% at the end of 2025 to reach $752,600. A lack of new construction and a high absorption rate continue to push prices upward. Negotiation opportunities are limited, as this segment remains in favor of sellers.
2. Condominiums: Opportunities for buyersThe situation is the opposite for condos. With a more modest price increase of 2.4% (median at $488,900), this market is shifting toward a buyer’s advantage. Inventory has reached record highs, particularly in neighborhoods like Ville-Marie and Griffintown, where the absorption rate (% of inventory absorbed each month) fluctuates between 5% and 10%. This oversupply—especially for smaller units—gives buyers renewed negotiating power.

The impact of interest rates

The Bank of Canada’s decision to hold its key interest rate at 2.25% in December 2025 likely marks the end of the rate-cutting cycle. While this stability hasn’t triggered an immediate buying frenzy, it has reassured consumers that a rate increase is unlikely, allowing them to plan purchases with greater confidence.

In short

Spring 2026 is shaping up to be active. For first-time buyers, condos represent an ideal entry point with more options and flexibility. For those targeting single-family homes, preparation is key in a market where competition remains strong.