Montreal Multifamily Investment Forecast

Rent growth to ease amid rising vacancy. Montreal’s apartment fundamentals held up well last year despite fewer residents moving in. Although vacancy rose for a second consecutive year, rent growth accelerated, driven by a significant increase in in-place rents. Even after those multiple rent hikes, the metro remains one of the most affordability-anchored rental markets in the country, supporting resilient demand from newcomers. Looking ahead, population growth is expected to cool further as Quebec’s new immigration restrictions take effect. In line with national trends, this will keep rental demand growth subdued while completions continue to rise steadily. As a result, vacancy is projected to drift higher again this year, slowing rent increases. Beyond short-term fluctuations, Montreal’s deep renter culture — rooted in a long-standing preference for apartment living and a high share of renter households across all age groups — will continue to underpin market stability. With this tradition, the metro’s multifamily sector will remain a primary source of housing and a durable investment option over the long run.