Quebec City in Winter (Canva)
Quebec’s real estate market continues to stand out and buck national trends.
Unlike much of Canada, Quebec’s housing market saw surprisingly strong activity in 2025 – a boom in many areas. Sales increased in all segments despite economic uncertainty and sharply lower supply.
Amazingly, this was the third best year ever in the province of La Belle, with an average increase in sales of eight percent over the previous year and an increase in prices of about nine percent, according to a recent report from the Quebec Professional Association of Real Estate Brokers (QPAREB).
Favorable financing conditions contributed to the increase, including a decrease in interest rates and mortgage rates and the extension of the maximum repayment term for mortgages. Rising rental costs have also prompted more Quebec renters to buy.
Homes in Quebec – now outperforming those in Ontario and British Columbia – remain significantly cheaper, making them attractive to buyers priced out of softening markets (domestic buyers dominate the Quebec market due to the ban on foreign buyers).
Beautiful, forested and heritage-rich Quebec – Canada’s largest province by area and the only one with a French-speaking majority – has once again proven itself to be a resilient maverick during a national recession.
The pressure on affordability is increasing
The province’s momentum has come at a cost, which has put pressure on prices and “exacerbated the affordability problem,” said Charles Brant, QPAREB’s director of market analysis.
“A growing number of households were reaching the limits of their debt capacity, which slowed the pace of sales,” he said, referring to the final months of last year. The trend could indicate a gradual slowdown in 2026.
The ratio of homes sold in the province is approaching historic lows, underscoring a clear shortage of real estate listings and a market that heavily favors sellers.
Brant predicts that, along with worsening affordability, especially in the province’s southern regions, “continued low inventory of properties across Quebec will also contribute to a plateau in transaction activity in many Quebec markets. These market conditions – which remain highly favorable to sellers – will continue to support prices.”
Like many experts, he expects price growth to be more moderate this year.
The Canadian Real Estate Association echoed that view in a recent forecast, predicting that Quebec home prices will continue to rise at a healthy pace this year, although “significantly lower than the gains recorded in 2025.”
Quebec City is leading the wave
QPAREB’s data from last year and into early 2026 shows that most metropolitan areas in the province have shown continued sales growth, often accompanied by a sharp decline in inventory.
The standout market is Quebec City, which has seen the strongest increase in housing prices ever. The average price of single-family homes there rose an eye-popping 17 percent to $450,000, making it one of Canada’s hottest housing markets.
“Exceptional scarcity translated into particularly sharp price increases,” said Camille Laberge, the association’s senior economist.
In Montreal, the average price has risen to about $635,000 – not as dramatic an increase as in Quebec City or Saguenay, but still notable.
Resort regions such as Mont-Tremblant and the Eastern Townships are also experiencing intense activity, attracting affluent buyers seeking an outdoor lifestyle and investment opportunities. A recent publication from Engel & Völkers also highlighted increased activity in Montreal’s luxury residential segment.
While the county’s slower apartment market has seen some improvement in supply, inventory pressure remains high for single-family homes and “plex” properties. (The abundance of multi-unit housing, such as duplexes and triplexes, is an iconic feature of Quebec housing.)
The provincial real estate association continues to push for increased housing supply in hopes of reducing the imbalance.
Agents are adapting to a new reality
Not long ago, Quebec was considered a province without major fluctuations in the housing market. Local agents are now adapting to a very different reality.
“There is still a real appetite to buy, especially for turnkey, well-located homes and solid income properties,” said Josiane Pepin, vice-president of operations at Remax Bardagi in Montreal.
“Quebec City is currently the most active, with a very tight balance between supply and demand. Greater Montreal is also strong due to its sheer volume and consistent buyer pool, but it is more price sensitive and the higher end takes more time. Gatineau remains robust.”
The provincial real estate association and supervisor have also been busy.
“We are well regulated, but not all information is known to the public,” said Remax broker Nicolas Geoffroy-Brûlé, who oversees offices in Quebec City and Trois-Rivieres. “It is a local challenge to explain the rules to our customers.”
His wish, which will probably not be fulfilled, is a period of stability for organized real estate.
“There are no changes for the time being, so all officers have time to process all the changes imposed by the government in recent years,” he said.
These changes include improved transparency in transactions, stronger consumer protections, stricter rents and apartment reform. The provincial association is also dealing with concerns surrounding the province’s upcoming new regulatory framework regarding updated flood zone maps, which has left some homeowners concerned that their home values could drop.
Slowing population growth – especially in Montreal – could dampen housing demand. On the other hand, major government-backed investment projects, including the proposed high-speed rail line between Toronto, Montreal and Quebec City, could reignite interest.
Whoever lives will see it.
Susan Doran is a Toronto-based freelance writer who has been contributing to REM since its very first issue.
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