GTA  and Durham Region May Resale Housing Sales Higher Than Last Year

The May resale numbers showed an increase of 2% over May of 2008 to 9,589 units sold, the first annual increase since December 2007.

The average resale price also increased to $395,609, which is down less than 1% compared to the same month last year. Home sales have increased strongly relative to new listings which has helped to boost home prices.

It's easier to see where we've been than where we're going. In looking back we definitely saw a "bottom" in December, January and February.

Unemployment remains high, the manufacturing and auto sector are still be pillaged and there will be on going concerns with regard to deficits and interest rates increasing to finance those deficits, both in Canada and the U.S.

But, for the time being...it's a great time to buy a home. Low interest rates, affordable housing, government incentives. If you're thinking of taking advantage of this superior home buying environment, lock in a pre-approval NOW to secure the peace of mind that you're getting the very best interest rate possible.

The graph below shows two interesting trends. Days on market, how long it's taking on average to sell a home, has dropped dramatically from a peak in January indicating increased buyer activity. Sales to Active Listing ratios have steadily trended higher meaning that sales activity has increased faster than the number of new listings coming onto the market.