Activity in the Oakville and Milton resale housing market picked up last month from a dismal January. Residential resales in Oakville increased by a whopping 93% in February compared to January and the Milton residential resale market saw a 53% increase. Consumer confidence is returning as we see signs that real estate is moving towards a more balanced market. Sales are up, prices are stabilizing and the inventory absorption rate is improving.
With mortgage rates and housing prices looking more favourable than they did last year, there is wisdom in buying now. Let first time buyers know, that in addition to taking advantage of a balanced market and low interest rates, there are also numerous incentives available to them. There is the Land Transfer Tax Rebate of up to $2,000; Tax Relief of up to $750; and the Federal Home Buyers Plan, which allows withdrawals of up to $25,000 from their RRSP to purchase or build a home. There is cause to be optimistic about the housing market. We have witnessed an increase in activity in the February residential resales and current March 2009 residential sales activity to-date clearly shows improvement as well. A recent poll by Royal Bank Canada showed that an overwhelming majority of Ontarians still feel confident that buying a home is a smart, worthwhile investment. The current economic environment does not appear to have dampened people's overall confidence in the housing market.