More Quebec homebuyers skipping legal warranty despite risks

Quebec’s competitive real estate market is pushing more buyers to take risks — including purchasing homes without a legal warranty.

New data from the Quebec Professional Association of Real Estate Brokers (QPAREB) shows that 43 per cent of all residential sales in Quebec in 2025 were completed without legal warranty, up sharply from just 12 per cent in 2011. That represents 41,517 transactions out of 97,161 total sales last year.

The shift has been steady but dramatic over the past decade.

In Montreal specifically, 5,917 of 17,366 residential transactions in 2025 were completed without legal warranty, representing 34 per cent of all sales on the island.

“What we see on the market is a lot of people taking a risk because they want a house. There’s no more houses, that’s the house they want, and they are ready to take this risk,” said Nathalie Bégin, director of brokerage practices at the Quebec Professional Association of Real Estate Brokers (QPAREB).

What is a legal warranty?

A legal warranty protects buyers against hidden defects — issues that may not surface during a home inspection. With a legal warranty in place, a buyer can require the seller to fix certain problems, potentially saving tens of thousands of dollars.

Disputes between buyers and sellers are more common than many realize, said Bégin.

“It’s not rare that a situation. You sell your house, and three years later, you receive a letter. So it’s a bit scary,” Bégin said.

Lorena Lopez Gonzalez, president of the Quebec Association of Professional Notaries, says that in the past, transactions without legal warranty were typically limited to estate sales or bank-owned properties. That is no longer the case, and she says the absence of warranty does not appear to significantly affect sale prices.

“In the last five years, the number of transactions without warranty, it has been very, very high abnormally high I would say,” she said.

Lopez Gonzalez advises buyers to opt for a legal warranty whenever possible. But for those who choose not to, she says it’s critical to understand the consequences, conduct a thorough inspection and carefully review the seller’s declaration.

“What does this mean, buying without the legal warranty? So understanding that I cannot go against my vendor after if there’s a problem in the property,” she said.

With Quebec’s housing market continuing to favour sellers, industry experts expect the number of homes sold without legal warranty to keep climbing.