June 2009 London and St. Thomas Board Information

June sales jump nearly five per cent

Last month, 946 homes exchanged hands in the jurisdiction of the London and St. Thomas Association of REALTORS® (LSTAR), a 4.5-per-cent increase over June 2008. This includes 767 detached homes (up 6.5 per cent from June 2008) and 179 condos (down 3.2 per cent from June 2008). Year to date, 3,296 detached homes and 756 condos have been sold - down 11 per cent and 20 per cent respectively compared to the same period in 2008.

Sales in St. Thomas are stabilizing - 90 homes exchanged hands in June 2009, a 32.4-per-cent increase over June 2008. The average residential price year-to-date in St. Thomas is $180,079, a two-per-cent decrease over last year. Listings in St. Thomas have remained about the same with 115 in June 2008, compared to 116 during the same period last year.

"We are very pleased to see a 4.5 per cent increase in sales," says Joe Hough, LSTAR President. "2008 was a record-breaking year, so it is just outstanding to see a gain for June 2009 over June 2008. Sales may be down year-to-date, but the numbers we are seeing are still very positive."

Hough says the average residential price is also improving. "Year-to-date for June 2009, the total residential average price is up 1.5% to $211,583, compared with a decline of 1.2% in May, 1.8% in April, 2.7% in March, 2.4% in February and 2.8% in January."

Hough says the federal government incentives announced in the last budget, including the increase in the maximum withdrawal allowed under the Home Buyers' Plan to $25,000, and the First Time Buyer Tax Credit, have helped spring sales.

"Sales activity is now closer to the pre-recession peak than it is to the recent low point reached last January," says Dale Ripplinger, President of The Canadian Real Estate Association (CREA). "Strengthening consumer confidence, low interest rates, and improved affordability are drawing buyers to the housing market across Canada."