The quarterly statistics produced by the Quebec Federation of Real Estate Boards (QFREB) are a great tool to help us understand trends in our local market. The third quarter stats released last week are of particular interest to West Island residents who may be thinking about upgrading to a more expensive home in the same area.

The latest data shows signs of a cooling market. The average number of days it takes for a home to sell has increased, the number of new and active listings is increasing, and the overall volume of sales is down relative to last year. All three of these indicators should put downward pressure on prices. However, thanks to positive job growth in Greater Montreal and sustained low interest rates, prices have remained stable since last year.

So, is our market in rough shape? No - in fact, we are finding ourselves in a more "balanced" market where buyers and sellers both share negotiating leverage. Generally, a balanced market makes for a pleasant transaction on both sides because neither party feels like he are being taken advantage of, or that he is at the mercy of the market.

Changes in our local market have opened some interesting opportunities - depending on the price range of the property in question. We are seeing that relatively affordable single family homes below $500k remain a seller's market because there are still not enough homes for sale to meet the demand. The market for homes in the $500k to $700k range is "balanced" but appears to be moving toward a buyer's market. Buyers for homes over $700k now enjoy the upper hand, as this is now a buyer's market, meaning there is more supply in the market than there are buyers shopping.

What this means for buyers is that you still have to be quick to move on lower priced properties (particularly under the $400k level). As price levels get higher, buyers are increasingly in the driver's seat. For families looking to upgrade from a moderately priced home to a more expensive one, this is a good time. These buyers have the benefit of a vibrant market for the sale of their current home, while having more selection and more negotiating power in the purchase of their next house. This plays a big role when we sit down to decide on the strategy for how to approach a move - do you buy before selling, make a conditional offer, or employ another tactic?) Each situation is unique, but the market conditions are making it easier and less stressful for families to make the move to their dream house.

For sellers of higher priced homes, this means a more competitive landscape. Homes need to be priced, presented and marketed aggressively. A thorough assessment of the current "competition" needs to be done before listing in order to lure buyers to one property over similar homes also on the market.

Despite the shift in the market, the southern portion of the West Island remains a zone of "blue chip" investments. Properties that are well located and nicely updated still move fast at all price points, so long as they are priced reasonably.

One of the key reasons to use a broker is to have the help of a strategist who knows the state of the local market inside out. If you are thinking about a move, or would like to have more info on our local market, we are always a call or an email away.