SmartHomeOwners

OTTAWA: Home sales fell nearly 20 per cent in September from a record level a year earlier as the economy weakened, the Canadian Real Estate Association said Friday.

The real estate brokerage industry group said there were 19.8 per cent fewer sales last month than the September 2009 record. However, on a more positive note it was the best monthly sales level in four months and reflected similar September sales in 2006, 2007 and 2008.

``Record level sales activity late last year and earlier this year is expected to further stretch year-over-year comparisons in the months ahead,'' the national association said in a release.

In its monthly report, the association said resales hit their highest level since May, suggesting the market is stabilizing after more than a year of abnormal ups and downs in a volatile economy.

CREA says seasonally adjusted sales of residential properties were up three per cent in September from August, the second consecutive monthly increase. Two-thirds of local markets posted monthly increases, led by Winnipeg, Calgary, and Montreal.

The national prices for homes sold in September was little changed from a year ago, at $331,089, but the association noted that local market prices vary.

The number of new property listings coming on the market last month was up less than one per cent from August and remained 15 per cent below this year's peak in April, CREA said.

At current levels of activity, it would take an estimated 6.6 months to sell all the homes on the market at the end of September. That's down from 6.9 months in August and 7.2 months in July.

``Supply and demand are rebalancing, and that's keeping prices steady in many markets,'' said Georges Pahud, CREA's president.