Montreal studios: is the 5% movement really about financing?

H

hana.slate

Real estate agent
Established
I’m monitoring Montreal studios listed from C$772,200 to C$1,158,000. The snapshot shows a 5.0% downward movement and roughly 84 days on market.

Discounts seem to vary sharply with condition, and my working theory is that financing costs explain more of the spread than headline demand. Inventory is up, but relatively little of it looks worth buying. Does that interpretation fit what others are seeing in Canada? Please specify the neighbourhood and whether you mean a studio condo or another property type.
 
Financing is a plausible explanation, especially for the size of buyer pool at those asking prices, but 84 days and a 5.0% movement do not isolate the cause. I’d want recent completed sales beside the original and final asking prices. Withdrawn listings matter too: they may indicate sellers rejecting the market rather than buyers disappearing.
 
One thing I should have asked: are these concentrated in Ville-Marie or Griffintown, or are you combining several neighbourhoods? Also, is “studio” consistently a condo studio? Boundary changes and loose listing descriptions could make a small sample look more volatile than it is.
 
I’d put less weight on financing until the price-cut timing is separated out. A reduction after two quiet weeks suggests something different from one made near day 80. Condition can also mean more than finishes; buyers may react differently to work inside the unit than to concerns affecting the wider property.

Split the listings by neighbourhood, condition and first-cut date, then flag withdrawals and relistings. Otherwise older stock can masquerade as new supply.
 
That’s fair. My set is too broad to support a neighbourhood-level conclusion, and I used the advertised “studio” label rather than a standardized property subtype. I’ll separate condo studios by neighbourhood, track first price-cut dates, and add completed sales, withdrawals and relistings. Until then, the 5.0% figure is better treated as movement within this listing set—not a Montreal-wide market call.
 
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