One of the first questions we receive from sellers is how quickly they should expect their home to sell. Estimating “days on market” is important because it allows the seller to plan their next move, whether it be upgrading, downsizing, or temporarily relocating to a rental.
In a “seller’s market,” it could take as little as a week for a home to sell. In a buyer’s market where the number of active listings outnumber potential buyers, sales can take much longer.
Montreal is currently a seller’s market, across most segments
According to GMREB’s most recent housing statistics (Q1 2018) Montreal’s market currently favours sellers, with prices on the rise and bidding wars increasingly common. That being said, a more detailed picture of the market includes a range of variations based on neighborhoods, price points and property types.
Currently, the top seller’s market is the single family home segment in the West Island, where it would take only 1.7 months to sell all the active inventory according to average selling times.
On the other hand, Downtown Montreal is a buyer’s market in the condominium segment, where the average condo takes 93 days to sell.
What Makes a House Sell Quickly?
Generally, a home’s “active days on market” depends on the following factors:
Pricing a home correctly requires a comparative market analysis, which takes into account size, area, amenities, floor height, and location. In a seller’s market, it is common for sellers to price a home at market value, or slightly under market value, to entice multiple offers and a subsequent bidding war.
2. Property Features
A property’s unique characteristics and features will inform the interest it generates after being listed on the market. Some types of homes or amenities are more widely in-demand- such as homes with garage spaces, condos with a canal view, and townhouses with rooftop terraces.
3. Market Temperature
Local averages are handy to keep in mind alongside specific property features. Montreal’s average time on the market for detached homes on Montreal Island is 66 days. Condos, in comparison, take 84. Low inventory and high demand will decrease time on market, and can vary from month to month.
In a highly desirable borough, a correctly priced home will sell within days.
Supply can also vary based on location – the fewer sellers in a particular neighbourhood, the faster homes will sell.
For example, when it comes to the single family home market:
- In St Henri: There are 3,400 active condos on the market, and the average condo sells within 55 days.
- Meanwhile in Downtown Montreal: There are 7,700 active condos on the market, and the average condo sells within 77 days.