Home sales are to increase by 10 per cent to 510,000 transactions for 2010 with the average price increasing to a record $345,000, an increase of 8 per cent.

A Scotiabank economist reported that a strong spring market is anticipated with a slowdown starting midway in 2010.

Confidence in the Canadian Real Estate markets, lower interest rates and jobs stabilizing continue to help buyers think positively regarding home ownership.

Next year Scotiabank is looking for lower prices, lower sales volume and lower housing starts.

These trends will affect Toronto Real Estate sales and prices for 2011, with an added negative new HST and higher mortgage rates.