September Sales: Modest prices, strong mark-ups

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The Westmount real estate market climbed higher in September this year, if mark-ups over municipal valuation are any indication, though the actual prices were relatively modest by Westmount standards.

Eleven sales were posted by real estate agents as having been agreed to in September, ranging from $1,290,000 to $3,725,000 and averaging $2,327,727 — the lowest average price since May — but with mark-ups ranging from 21 to 72 percent and averaging 45 percent, an average matched only in June when it was 51 percent. Seven of the 11 September sales were over $2 million, the third-highest portion in Westmount’s history (11 out of 15 sales last November and seven out of 10 in June, 2020, were higher). The key point is that the average adjusted price of the “typical” Westmount house (with an average valuation of $1,936,003) is now close to $2,750,000, up 2 percent since August and 15 percent during this calendar year.

The highest price involved a large semi-detached house on Montrose Ave. while the lowest was on Metcalfe Ave. below St. Catherine St. — though the latter sale also represented the highest mark-up. We also got late news of another August sale for a house on Côte St. Antoine Rd. which went for more than twice its municipal valuation, an indication the buyers are less hesitant to pay the high prices demanded for local real estate.

And while the Greater Montreal Reral Estate Board is warning of diminished supply, in fact Westmount’s supply increased by one, to 84 houses for sale, of which 34 are priced between $2 and $3 million. Overall, the asking price range remains the same as it was a month ago, between $1,190,000 and $27,500,000, but the number priced between $5 million and $10 million has increased from 12 to 14 listings.

The third quarter (July through September) of Westmount condominium sales showed 12 agreements, all in apartment buildings, and including one apartment at 1250 Greene Ave. which went for $4,850,000, the highest price for a condo since early in 2014; another at 1 Wood Ave. sold for $4,000,000 in August. From there prices went down to $475,000 for a small Hillside Ave. apartment. The prices divide evenly, six below and six above the $1 million mark. As with one- and two-family residences, mark-ups were quite strong, between 23 and 74 percent with an average just under 39 percent.

So far this year 36 houses have been rented with the help of agents, up from 33 at the same time last year. Only 11 houses remain to be rented according to the current listing sheet, compared to 24 that were on the market in March. Owners are asking between $3,000 and $14,900 per month in rent; so far this year one rental achieved $23,000 per month while another house rented for only $2,600 a month.

Posted by andy Posted in: Monthly Analysis No Comments » September 2021