Resale market activity continues to recover from the lows seen in February and March, Will Dunning reports. May’s 9,411 sales equate to 86,900 seasonally-adjusted. At mid June, sales were 14% lower than a year ago.

Resale price growth remains moderate, with Dunning's estimate of the price trend up by 4.5% year-over-year. The average price of resale real estate was $398,148 in May. Here's what Dunning had to say:

"New homes activity in the GTA is a lot lower than it should be, given continued job creation and favourable interest rates. Consumers may be hesitating, in reaction to negative reports on the economic outlook for Canada (especially Ontario). As individuals assess (and act on) their own circumstances, we should see some improvements in the next few months."

Due to a bump for highrises, new home sales recovered in May from a very weak April. May’s 3,181 actual sales equate to 32,400 after seasonal-adjustment. This number remains far below total 2007 sales of about 45,000.