How Quebec’s 2022 Budget Could Affect the Residential Real Estate Market?

Quebec’s 2022 budget has allocated a significant amount of funding towards various initiatives aimed at stimulating economic growth, improving the standard of living, and supporting innovation and research. For residential real estate buyers and sellers, these initiatives could have a significant impact on the market. Let’s take a closer look at how some of the budget’s key measures could affect the residential real estate market.

Housing Affordability

The budget includes $3.2 billion to help Quebecers cope with the rising cost of living, which includes measures aimed at improving housing affordability. This includes $634 million to help Quebecers access quality housing and improve the quality of existing housing. The government plans to build around 1,500 new affordable housing units and complete the delivery of 3,300 units announced in the AccèsLogis program. 

Additionally, the budget provides aid to low-income households to help them pay their rent. These measures could help increase the supply of affordable housing in Quebec and make it easier for homebuyers to enter the market.

Economic Growth

The budget also includes measures aimed at stimulating economic growth in Quebec, which could have a positive impact on the residential real estate market. The government has allocated $1.5 billion to support the economic development of the regions and $2.2 billion to increase the productivity of the Quebec economy. This includes support for the new Quebec Strategy for Research and Innovation 2022-2027. Economic growth can lead to an increase in job opportunities and a rise in incomes, which can increase demand for housing.

Recovery of the Economy

Quebec’s economy is recovering faster than expected, with the nominal GDP revised upward to 11.3% and the net operating surplus of companies revised up to 12.4%. This could lead to an increase in consumer confidence and spending, which can boost demand for residential real estate.

Investment in Regions

The budget also includes investments in infrastructure in regions, including roads, airports, and business development. This could lead to increased economic activity in these areas, which could boost demand for housing in these regions.

Innovation and Research

The budget allocates $1.5 billion to support innovation and research in Quebec. This includes support for the new Quebec Strategy for Research and Innovation 2022-2027 and the renewal of the Quebec Life Sciences Strategy. This support could lead to increased innovation and job creation in Quebec, which could increase demand for housing.

Overall, Quebec’s 2022 budget includes measures aimed at improving housing affordability, stimulating economic growth, and supporting innovation and research. These measures could have a positive impact on the residential real estate market by increasing demand for housing and making it easier for homebuyers to enter the market. For residential real estate buyers and sellers, it’s important to keep an eye on these initiatives and how they may affect the market in the coming years.