October home sales down 21%

Home sales in the GTA were down 21% in October compared to last year, according to the Toronto Real Estate Board.

TREB reports 6,681 sales during October 2010, down from the 8,476 sales in October 2009.

Overall 2010 has still seen 1% more sales than 2009, but there has been a dramatic decline in home sales since May causing speculation that Toronto's real estate bubble is about to burst.

The average price of a GTA home in October 2010 was $443,729, up 5% compared to $423,559 in October 2009.

In central Toronto prices were higher, $491,157. In the GTA suburbs prices averaged $410,529.

Even though there is less sales, this doesn't mean the market will collapse automatically. As long as prices continue to go up it means people are still bidding on them.