For immediate release
Luxury housing sales edge higher as purchasers take advantage
of buying opportunities in Ontario-Atlantic Canada, says RE/MAX
Mississauga, ON (November 3, 2009) -- Luxury homes sales continue to accelerate as economic
recovery takes hold in major markets in Ontario and Atlantic Canada, according to a report released
today by RE/MAX.
The RE/MAX Upper End Report found that momentum is building in St. John's, Saint John, Halifax-
Dartmouth, Ottawa, Kingston, Greater Toronto, Hamilton-Burlington, and London as purchasers
realize that the best buying period in recent history is about to come to a close. Sales are already
on par or ahead of last year's levels in 50 per cent of cities surveyed, while the remaining markets
are set to reach 2008 figures by year-end.
"Twelve months of healthy home buying activity have clearly been crammed into five short
months," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. "It's
hard to believe that the transition in the market began in May. We've seen steady upward
momentum since that time, with solid year-over-year gains posted each and every month."
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% +/-
St. John's $350,000 173 173 0
Saint John $300,000 105 90 -14
Halifax-Dartmouth $400,000 314 306 -2.5
Ottawa $750,000 153 155 1
Kingston $400,000 193 190 -2
Greater Toronto Area $1 million 1,687 1,706 1
• Toronto East $750,000 222 226 2
• Toronto Central $1.5 million 355 358 1
• Toronto West $1 million 158 148 -6
• Thornhill/Richmond Hil l $1 million 83 103 24
• Mississauga $1 million 99 109 10
• Oakville $1 million 148 143 -3
Hamilton-Burlington $500,000 126 86 -32
London $500,000 73 81 11
Source: RE/MAX, Local Real Estate Boards, CREA
Based on January to September Statistics
Market Price Point Sales/08 Sales/09
RE/MAX Upper End Report 2009.....2
Pent-up demand and greater affordability have been the catalyst. Increased selection in all
markets-except Greater Toronto-as well as record low interest rates have also helped fuel moveup
activity from Ontario to Newfoundland.
Leading in terms of sales appreciation is London, Ontario where the number of homes sold, priced
in excess of $500,000, has climbed 11 per cent from January to September 2009, compared to one
year ago. Greater Toronto and Ottawa both reported a one per cent increase in the number of
homes sold in the top end during the same period. Within the GTA, Richmond Hill/Thornhill is
particularly heated, with sales up 24 per cent over 2008 levels, followed by Mississauga- up 10 per
cent. St. John's, Newfoundland is on par with year-ago figures.
Of the six markets reporting a year-over-year decrease in sales, four are off by just a handful of
transactions (10 units or less), including Halifax-Dartmouth (off eight units), Kingston & Area (off
three units), Toronto - West End (off 10 units), and Oakville (off five units). Activity in the
remaining two markets-Saint John and Hamilton-Burlington-is on the upswing, with the gap
between 2008 and 2009 narrowing each month.
"A considerable shift is underway in the upper end," explains Polzler. "The price correction that we
witnessed earlier in the year is over and prices have since firmed up. Conditions are more balanced
across the board or leaning toward seller's territory once again. The one exception is the Greater
Toronto Area -- now largely a seller's market -- with bidding wars making a comeback amid tight
inventory levels. The strength of the luxury segment is evident. This is now a real estate market
with all sectors working in tandem."
Highlights:
Upper end sales started to move upward as positive indicators of economic recovery
began to emerge. The momentum is expected to continue as Canada edges closer to
positive periods of GDP growth in Q4 2009 and in 2010.
Locals are fuelling luxury sales in the majority of markets surveyed. Activity among outof-
province and international purchasers has waned from one year ago, although their
presence in still evident in some markets.
Sixty-one properties in Canada are currently priced over $10 million, with 18 of those
located in Ontario. The priciest Ontario home is nestled in Toronto's prestigious Bridle
Path area, listed at $23 million.
Three hundred properties currently listed for sale are priced over $5 million in Canada.
In Atlantic Canada, there are 22 listings in excess of $2 million-13 in Nova Scotia, five
in New Brunswick and two in Prince Edward Island. The most expensive property in
Atlantic Canada is a $7.75 million estate on a bluff fronting the Atlantic Ocean on PEI's
north coast.
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RE/MAX Upper End Report 2009.....3
RE/MAX is Canada's leading real estate organization with over 17,000 sales associates situated
throughout its more than 677 independently-owned and operated offices across the country. The
RE/MAX franchise network, now in its 36th year, is a global real estate system operating in more
than 70 countries. Over 6,700 independently-owned offices engage nearly 100,000 member sales
associates who lead the industry in professional designations, experience and production while
providing real estate services in residential, commercial, referral, and asset management. For more
information, visit: www.remax.ca.
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For more information:
Christine Martysiewicz Eva Blay/Charlene McAdam
RE/MAX Ontario-Atlantic Canada Point Blank Communications
