Luxury home sales over the $2-million price point in Montreal have moderated from year-ago levels, however homebuying activity has gained momentum in recent weeks as weather conditions improved and buyers re-engaged. Demand remained relatively steady throughout the first four months of 2026, with upper-end purchasers increasingly focused on value and lifestyle. In some cases, buyers have broadened their search beyond Montreal’s traditional luxury enclaves in favour of neighbouring communities offering comparable product at more accessible price points.
A total of 95 luxury home sales were reported between January 1 and April 30 of this year, down approximately 12 per cent from the same period in 2025. Established luxury communities including Westmount, Outremont and Hampstead continued to lead in terms of sales activity, particularly for single-family homes. At the same time, growing interest in luxury-adjacent neighbourhoods such as Notre-Dame-de-Grâce suggests that boundaries are beginning to blur, as buyers look to maximize value without sacrificing proximity to the city’s most desirable areas and amenities.
Value continues to drive buyer behaviour
Favourable market conditions have continued to work in buyers’ favour. Increased inventory, greater negotiating flexibility and stable interest rates have provided purchasers with more time and confidence to evaluate their options carefully. Well-priced properties have been attracting interest across all segments of the luxury market, while overpriced homes have generally taken longer to sell as buyers adopt a more measured approach.
That said, competition can still emerge quickly for desirable product. Once interest materializes on a well-positioned property, hesitant buyers often move decisively, resulting in multiple-offer situations in select cases. Sellers, meanwhile, have become increasingly attuned to current market realities, with accurate pricing playing a critical role in determining both activity levels and time on market.
Trade-up buyers have remained most prevalent at the upper end, although some downsizing sellers continued to hesitate, reluctant to move forward under conditions still clearly favouring buyers. In some cases, sellers have been bringing properties to market but showing little willingness to negotiate, prepared to wait patiently for the right purchaser and, occasionally, that strategy has paid off.
Stable conditions expected to persist
Luxury buyers in Montreal have continued to be predominantly local, with occasional corporate transfers contributing to activity. While professionals have continued to relocate to the city on work permits, purchasing real estate in Quebec can be more complex than in other Canadian markets due to provincial regulations and taxation policies surrounding homeownership.
Looking ahead, Montreal’s upper-end housing market is expected to remain relatively stable through the balance of 2026 and into 2027. Activity among younger move-up buyers continues to build gradually, which could help create momentum at higher price points over time. Economic fundamentals in the Montreal region also remain supportive, with employment levels holding relatively firm and major infrastructure and technology investments continuing to underpin population growth and long-term housing demand. While economic uncertainty is still influencing buyer psychology, Montreal’s relative affordability compared to Toronto and Vancouver contributes to the city’s appeal among affluent purchasers.
