{"id":510860,"date":"2026-08-27T19:25:06","date_gmt":"2026-08-27T19:25:06","guid":{"rendered":"https:\/\/markandremartel.com\/if-sales-are-going-down-why-are-prices-still-rising\/"},"modified":"2026-08-27T19:32:07","modified_gmt":"2026-08-27T19:32:07","slug":"sales-are-going-down-why-prices-still-rising","status":"publish","type":"post","link":"https:\/\/markandremartel.com\/en\/sales-are-going-down-why-prices-still-rising\/","title":{"rendered":"If sales are going down, why are prices still rising?"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">I recently had the opportunity to appear on CTV News for a Sunday night segment with Matt Grillo. One of the main questions was: <br\/><strong>If sales are going down, why are prices still rising?<\/strong><br\/>And the short answer is: <br\/><strong>A decline in the number of sales does not automatically mean a decline in prices.<\/strong><\/p>\n\n<p class=\"wp-block-paragraph\">What we\u2019re currently seeing is that, as sales activity slows down, inventory begins to accumulate. But the key is not simply looking at sales or inventory on their own. You need to compare the number of sales to the total number of properties available in order to determine whether we\u2019re in a seller\u2019s market, a balanced market, or a buyer\u2019s market.<br\/>For example, in the Greater Montreal Area, sales declined from <strong>3,709 in July 2025 to 3,338 in July 2026<\/strong>. When you compare that level of sales to approximately <strong>19,790 active listings<\/strong>, it represents roughly <strong>5.9 months of inventory<\/strong>, which still falls within seller\u2019s-market territory.     <\/p>\n\n<p class=\"wp-block-paragraph\">As a general rule:<\/p>\n\n<ul class=\"wp-block-list\">\n<li><strong>0 &#8211; 8 months of inventory<\/strong>: Seller\u2019s market, upward pressure on prices<\/li>\n\n\n\n<li><strong>8 &#8211; 10 months<\/strong>: Balanced market, prices tend to remain relatively stable<\/li>\n\n\n\n<li><strong>10+ months<\/strong>: Buyer\u2019s market, downward pressure on prices<\/li>\n<\/ul>\n\n<p class=\"wp-block-paragraph\">So even though the number of transactions has declined, supply is still not high enough relative to demand to create significant downward pressure on prices.<br\/>That said, these figures represent the Greater Montreal Area as a whole, and some market segments are performing much better than others.<\/p>\n\n<p class=\"wp-block-paragraph\">Here\u2019s a breakdown of where things currently stand by property type by region:<\/p>\n\n<figure class=\"wp-block-image size-full\"><img fetchpriority=\"high\" decoding=\"async\" width=\"2500\" height=\"1515\" src=\"https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche.png\" alt=\"Chart showing months of inventory by property type (single family, condominium, plex) for Montreal, Mont&#xE9;r&#xE9;gie and Laval, explaining why sales are going down but prices remain stable\" class=\"wp-image-510854\" srcset=\"https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche.png 2500w, https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche-300x182.png 300w, https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche-1024x621.png 1024w, https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche-768x465.png 768w, https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche-1536x931.png 1536w, https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche-2048x1241.png 2048w, https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche-24x15.png 24w, https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche-36x22.png 36w, https:\/\/markandremartel.com\/wp-content\/uploads\/2026\/08\/Mois-dinventaire-sur-le-marche-48x29.png 48w\" sizes=\"(max-width: 2500px) 100vw, 2500px\" \/><\/figure>\n\n<div style=\"height:49px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/markandremartel.com\/en\/your-broker-for-todays-market\/\" target=\"_blank\" rel=\"noreferrer noopener\">YOUR BROKER FOR TODAY\u2019S MARKET<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>First-time home buyers feel rate changes first <\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[84],"tags":[],"class_list":["post-510860","post","type-post","status-publish","format-standard","hentry","category-real-estate-and-news"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.7 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Sales Are Going Down, So Why Are Prices Still Rising?<\/title>\n<meta name=\"description\" content=\"Sales are going down across Greater Montreal, yet prices keep climbing. 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