Here are some updated statistics on what is happening in the GTA Market as compared to last year.

Average Days on the Market:

The number of days that homes are on the market are definitely increasing.  This is allowing buyers more time to consider their choices.

Along with this the number of units sold was down 10% from last September.

With the longer time on the market and less units selling there is downwward pressure on prices which are down 4% from last September.

What does this mean for Sellers?  They are going to have to be realistic when pricing their home at or below market value to get the price they want in a short period of time.

What does it mean for Buyers? Sellers may consider offers lower than they would have a year or 2 ago and conditions that they would have rejected not so long ago.

For Buyers entering this market who own a home, list and sell yours first, just so you do not have to bridge finance between two homes.  Owning two homes at the same time is a costly proposition and one you don't want to make in tough economic times.

BEST RATES Monday, October 27, 2008 Term Bank Posted Discount Rates

6 Month 6.35% 6.20%

1 Year 6.35% 4.88%

2 Year 6.55% 5.40%

3 Year 7.04% 5.55%

4 Year 7.04% 5.70%

5 Year 7.20% 5.79%

7 Year 7.65% 6.25%

10 Year 8.30% 6.45%

Variable Rate 5.05%

Rate Are Subject to Change Without Notice. Some Conditions Apply.

First of all my laptop died and I had to buy a new one.  It wasn't really in my budget for the year.  Yikes.

I have a seller who has been on the market since the end of June, we have had very few showing.  The listing is in Burlington, Ontario.  I have convinced my seller to hold out for a couple more weeks, but we are running out of time since they already bought.

Ideas anyone.  I know we priced too high.  I have been told by many that this is the case but I can't get my seller down to my original price suggestion.

Help!

I have a great new condominium listing this week and we have already had 8 showings booked over 2 days.  My client called and asked me if he was supposed to be controlling the schedule since some of them have been overlapping.  I told him this was a great thing and not to worry, if anything this will just drive up the demand.

I also had a meeting this week with a family who wants to buy first before they sell.  I am excited to start working with them.

And it is only Wednesday!

There has been a lot of negative press recently since the Government of Canada eliminated a zero down payment 40 year mortgage.  But I like to have a positive outlook on life and here are some positive spins on some negative news:

1.  Mortgage Rates are still at an all time low.  There was a time in the early 80's when mortgage rates were 18% and higher.  At that rate how could you ever pay down your principle.  Now the 5 year discounted rate is 5.47%.  That is a great deal!

2.  Sales of homes are down from last year.  Well, we had a great 13 year run with the market beating itself over and over again.  Economies are cyclical.  A rise is usually followed by a correction or fall.  These cycle usually happen every 5 or so years.  What are complaining about?  13 years is amazing.  Yes, housing prices are still rising but unemployment is around 6%.  Quite healthy, really.

3.  The banks are losing money from investing in the US Mortgage Market.  There is a silver lining to this as well.  Bank stock prices are on the decline but historically banks have been a very good place to put your money.  Now don't take my word for it since I am not an investment adviser, but I would be calling yours and asking him or her to watch the stocks for you and decide a good time to buy.

4.  If we are in such trouble in the real estate market, why are there 41,230 housing starts in the GTA this year of which 18,390 were apartments and condos (numbers provided by CMHC).  Someone has to be buying these.  And with new homes being built often there is a shortage of skilled trades available like drywallers and bricklayers.  Looks like an opportunity to me.

5.  Gas prices are rising.  Now is the time to explore alternative energy sources.  It has been a long time since I completed my Grade 8 Science Fair Project entitled "Go Solar!"  But once again opportunity knocks.  Here is a whole new area for company growth, which in turn will feul the economy and real estate sales.

I think we are on the cusp of some very important changes and as the old song by Johnny Mercer goes "You've got to accentuate the positive
Eliminate the negative
And latch on to the affirmative
Don't mess with Mister In-Between".

No Mister (Or Mrs.) In-Between thinking here.  Let's take advantage of the opportunities life is presenting us with!

Comments please.

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May 5, 2008 -- With 8,762 houses sold in the Greater Toronto Area, April's resale housing activity was down seven per cent from the record 9,452 transactions from the same timeframe a year ago, Toronto Real Estate Board President Maureen O'Neill announced today.

"The market is showing signs for a healthy 2008 compared to the diminished activity we saw in the first quarter of the year," said Ms. O'Neill. "We continue to experience a supply and demand situation and to-date, it remains a sellers market."

Sales activity however, was markedly different in the 416 and 905 regions. With 3,467 transactions in the City of Toronto, sales were down 10 per cent from a year ago. The 905 region was down five per cent from April 2007 sales, with 5,295 homes changing hands.

April's GTA average price was $398,687, up five per cent from the same period a year ago. In the City of Toronto, the average price was $446,781, up six per cent from last April. In the 905 region the average price increased five per cent compared to a year ago, to $367,196.

Several neighbourhoods experienced strong sales in April.

Scarborough East (E08) saw an eight per cent overall sales increase compared to April 2007, driven by robust detached home sales.

Caledon (W28) experienced a 15 per cent increase compared to the same timeframe a year ago as a result of strong condominium sales.

Condominium sales also drove Willowdale (C07) to a 32 per cent increase from a year ago.

In Thornhill sales increased eight per cent from last April due to strong detached home sales. "The number of listings on the Toronto Real Estate Board's Multiple Listing Service has increased to 24,539, up seven per cent from a year ago, which is good for homebuyers, who will find a greater range of options in the market," said Ms. O'Neill. "With prices continuing to appreciate and increased listing inventory there are favourable factors in today's market for consumers."

Go to complete copy of TREB's Market Watch Report.