Montreal Real Estate - in the light of market conditions in the U.S. housing crisis

City of Montreal in Canada is probably one of the most versatile and unique in Germany. Urban area, mainly French-speaking economic power, cultural and economic center and public transport and freight.

Cities, real estate analysts, obviously the better housing in other cities in Canada in 2000. At that time, vacancy rate was about 3% to 0.7% in Ottawa, and 0.9% in Toronto and Saskatoon as well. In addition, the average monthly rental $ 506 two-room apartment, $ 916 for Toronto, Vancouver and Calgary $ 739 $ 864.

But some observers housing, one of ten people in the Montreal spends more than 80 percent of their income on housing, according to the last census, almost 50 000 families in these unstable conditions.

New immigrants need a lot of real estate

Recent developments in the housing market is very interesting, is higher than the average growth in residential apartment buildings.

Thus, since 2001 the growth was in the number of families had been separated by a 4.0 percent, while many of the start-up it was 39.4 percent. The main reason for this movement, the transition to about 10,000 new apartments coming on the market every year in Montreal in the coming years, these new residents, not for a loan to buy a house, not rent Qu, why the market more dwellings approved to be explained must rent.

Since the adoption of a loan, most of them want in mixed ethnic groups in which to share their cultural traditions and speak more freely able to live. What makes this new market participants to seek more favorable in urban apartment buildings, as seen in the recent market developments.

What factors growth in new residential construction

Boom on the labor market, low inventories of new and existing houses and a low vacancy rate have apartments to rent the main factors that help the wave of construction of the new multi-family properties and unique French-speaking province of Quebec to explain, and its largest metropolitan area in Montreal.

Boom in new construction, because the frequency changes forecasts for Canada Mortgage and Housing Corporation (CMHC). For example, May 2001, after the agency housing starts in Quebec on 24 695 2001 26 200 units 2000.it also begun to build a 26 500 in 2002.

CMHC also add that can not be the real estate market even hotter, and will continue in the real estate boom, despite the recent crisis in the United States. CMHC also notes that in the coming months on the market should see a higher volume of orders, and probably more.

We see that the action and maybe get a little house prices still, but not dramatically. Although a very conservative scenario, CMHC, said that the growth of immigration in Quebec, and still the demand for condominiums at competitive real estate market remains overall .