October sales activity remains strong

Sales kept pace with September with 297 sales compared to 304. The average sales price for a detached 2 storey home was up 4% to 767,000. Twice as many homes sold above a million since last month, with 17 sales. October 2008 had 5 sales over a million. And twice as many homes sold between $500,000 and a million over October 2008 with 118 sales during the month.

44 bungalows sold in October compared to 21 sales in October 2008. Of these, 3 were bungalow lofts and 5 were raised bungalows. The average sale price was $487,000. One of the sales went just over the 2 million dollar mark and if you back that sale out, the average would be $450,000.

The rental market was also up with 71 sales versus September's 63 sales. October 2008 had 58 rental sales.

Longer term mortgage money has gone up slightly. 5 year money is now available at 4.25%. Variable rate money is 2.25%. These are still very attractive rates.

Owners planning to sell next year may want to do so early in the year to avoid paying the increase tax on real estate sales commissions (HST) that is purposed to take effect on July 1, 2010. The harmonized sales tax will be 13% up from the current 5% GST. You can avoid the extra 8% by closing on or before June 30, 2010.