Updated: Tue Nov. 03 2009 8:03:40 AM

ctvtoronto.ca

Luxury homes sales have had a strong year so far with about 50 per cent of cities in Ontario and Atlantic Canada reporting improved records from 2008, according to a recent survey by RE/MAX.

The real estate company's upper end report concluded that the last five months have been the strongest for sales, as Canadians begin to crawl out of an economic recession.

"Twelve months of healthy home buying activity have clearly been crammed into five short months," Michael Polzler, executive vice president of RE/MAX Ontario-Atlantic Canada, said in a news release.

"It's hard to believe that the transition in the market began in May," he added. "We've seen steady upward momentum since that time, with solid year-over-year gains posted each and every month."

The report, released Tuesday morning, says that sales are already on par or ahead of last year's total sales in half of the cities surveyed. RE/MAX predicts that the remaining markets will likely meet 2008 figures by the year's end.

Sales have been slowest in the Hamilton-Burlington area, the report shows. But RE/MAX analysts say there is momentum building in the area.

"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," the report says.

Record-low interest rates, demand and lower prices are being credited with giving sales a boost.

The biggest boost in luxury home sales was seen in London, Ont. where sales of homes valued in excess of $500,000 rose by 11 per cent. In comparison, the Greater Toronto Area and Ottawa reported a one per cent increase in luxury homes.

Within the GTA, Richmond Hill and Thornhill showed the most activity with a 28 per cent sales boost from 2008.

"A considerable shift is underway in the upper end," said 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."

He pointed to the GTA as a large seller's market that is seeing a comeback in bidding wars.

The report included other facts about luxury homes in Canada:

• 61 properties in Canada are priced over $10 million - 18 of those are located in Ontario
• The most expensive home in Ontario ($23 million) is located in the Bridle Path area
• 300 properties in Canada are currently on the market priced at more than $5 million
• Atlantic Canada boasts 22 properties on the market priced at more than $2 million
• Nova Scotia has more properties valued at over $2 million than any other province in Atlantic Canada
• The most expensive property in Atlantic Canada is selling for $7.75 million and is located in Prince Edward Island