{"id":474,"date":"2014-06-01T21:59:40","date_gmt":"2014-06-02T01:59:40","guid":{"rendered":"http:\/\/www.lizakaufman.com\/?p=474"},"modified":"2014-06-01T21:59:40","modified_gmt":"2014-06-02T01:59:40","slug":"the-quebec-real-estate-market-post-election","status":"publish","type":"post","link":"https:\/\/kaufmangroup.ca\/en\/2014\/06\/01\/the-quebec-real-estate-market-post-election\/","title":{"rendered":"The Quebec real-estate market, post-election"},"content":{"rendered":"

Megan Martin<\/em> Special to The Gazette<\/em>
\nThere\u2019s no question that elections have an impact on real estate markets all over the world, and Quebec is no exception. The months leading up to the recent provincial election provided a perfect example of how political instability can stall activity in real estate. Cautious investors and somewhat frustrated sellers notwithstanding, however, the market is slowly starting to improve. \u201cThe looming spectre of separation before the last election was a significant deterrent for both foreign and local buyers and it was apparent that our real estate market was affected,\u201d said Liza Kaufman, founding partner of Sotheby\u2019s International Realty Qu\u00e9bec LK, based in Westmount. \u201cInvestors hate uncertainty. They choose to invest in bricks and mortar because it is secure, but when you add political volatility to the mix they become very conservative.\u201d People love that they can see and feel what they own, Kaufman explained.
\n\u201cThey feel safe investing in real estate because, over time, it always goes up \u2014 unlike stocks. But an unpredictable political landscape changes that; it completely stalls the market.\u201d In addition to new investors holding off, many people opted to sell their homes and rent properties while waiting out the election results and any subsequent consequences. Kaufman said this was particularly true for middle-aged to more senior homeowners, who are often at a point in their lives where they\u2019re looking to settle down long-term, and don\u2019t want to deal with the stress related to political instability. Thankfully, in the weeks following April\u2019s election results, which saw a Liberal majority government take over from the previous Parti Qu\u00e9b\u00e9cois minority government, the market has started to rebound as the public regains its confidence in the steadiness of the province. While the current level of activity is busier than it was preelection, real-estate sales are still not as numerous as they were last year. \u201cThe fact that it\u2019s a majority government is definitely better than a minority,\u201d Kaufman said. \u201cBut vendors shouldn\u2019t expect things to return to pre-election levels immediately.\u201d In the current recovery climate, both vendors and investors need to adjust their expectations. \u201cWe\u2019re finding that since the election, the houses that have sold are the ones whose vendors have been realistic in their asking and selling price,\u201d she said. \u201cPrices have adjusted due to buyers\u2019 confidence being shaken by the threats of political insecurity.\u201d
\nMany of the potential real estate transactions that haven\u2019t closed since the election have entailed several offers, but they haven\u2019t worked out because the vendors have reverted back to their original expectations, and the reality is that the market has changed, she continued. \u201cProperties are moving, but only when vendors are realistic about the selling price,\u201d Kaufman said, adding that she expects the market to continue improving during the remainder of 2014, assuming other factors don\u2019t interfere with that progress. \u201cNo one has a crystal ball, but I think the situation will keep getting better and activity will pick up more and more. That\u2019s assuming, of course, that the Quebec economy remains stable.\u201d For anyone looking to buy a residential property, Kaufman offers the reminder that buying a home entails buying a lifestyle, not just a building. \u201cBuyers purchase for many reasons, but most of them are very basic. People need a home to suit their situation, so whether that\u2019s upgrading for more space, finding a convenient home close to work and schools, or downsizing, people will still buy property because it affords them the lifestyles that they want.\u201d That said, buyers should be prepared to pay for value because this isn\u2019t a desperate market. \u201cBut at the same time, vendors need to understand the reality of the market today and adjust their prices accordingly,\u201d Kaufman said. \u201cWhen people have realistic expectations, both buyers and sellers can prosper and be happy with the final result of a transaction.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Megan Martin Special to The Gazette There\u2019s no question that elections have an impact on real estate markets all over the world, and Quebec is no exception. The months leading up to the recent provincial election provided a perfect example of how political instability can stall activity in real estate. Cautious investors and somewhat frustrated […]<\/p>\n","protected":false},"author":4,"featured_media":476,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[10],"tags":[],"class_list":["post-474","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"acf":[],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t