Stability continues to characterize the luxury segment in the Moncton real estate market, despite ongoing economic and political uncertainty in Canada. Luxury sales are up 19 per cent year to date, with 50 properties changing hands over the $500,000 price point compared to 42 during the same period in 2024.
Migration patterns remain healthy in the city, with affordability and quality of life attracting buyers to the province. Retirees and professionals from larger areas such as Toronto and Vancouver are especially active, drawn to Moncton’s low cost of living and reasonable property taxes. Interprovincial migration played an essential role in the upswing in population growth during the pandemic, while immigration to has supported expansion in more recent years. Between July 1, 2021, to July 1, 2024, the Moncton CMA added almost 27,000 people to its population, according to data from Statistics Canada.
Detached homes continue to dominate luxury sales in the Moncton real estate market, while condominium and attached home sales remain limited within the luxury threshold. Demand for top-tier properties is greatest in communities including Dieppe (single-family homes), North End Moncton (larger lot sizes), and Central Moncton (luxury townhomes and infill development). Uber luxe homes remain a small segment of the market with minimal transaction activity. Balanced market conditions currently exist in the top end of the market, with months of inventory of homes over $500,000 stable at 4.6 months. Values at the top end have held steady in recent months.
Lower borrowing rates are expected to stimulate buyer activity in the coming months, with an increase in mid-range activity suggesting that buyers are positioning themselves for future trade-up purchases. Substantial equity gains over the pandemic years have contributed to the uptick in sales at the top end, with some sellers now downsizing or simply cashing out.
US tariffs on Canadian imports, expected to increase construction costs in the future, are forecast to slow new developments and lead to higher prices for Moncton real estate. The luxury market could also be affected as developers adjust pricing to account for increased material costs. Should developers scale back on construction, the supply of existing inventory will likely tighten, creating some upward pressure on values.
Conditions in the Moncton real estate market are expected to remain stable in the short term. Resolution of the trade dispute with the US and an upcoming election should raise consumer confidence levels, prompting increased demand for housing in Moncton by mid-year. Interest rate cuts will continue to bolster demand in the $500,000 to $1 million price points, creating greater activity in the luxury segment.
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