Unless you are a member of Canada's privileged few, one of the initial steps on the road to becoming a mortgage free homeowner is obtaining a mortgage in the first place. And for those finding it increasingly harder to justify the recent returns on their investments, or their monthly rent cheque, now just may be the time to do so.

In the Greater Toronto Area, listings were up by 26% for the first half of September. However, sales for the same area were down by 16% compared to last year at this time. The Toronto Real Estate Board (TREB) further reports that not only were there more houses on the market, but that potential buyers had more time to shop; up to 37 days from just 31 days a year ago. Could this mean the beginning of the end for ‘above list offers' and bidding wars? It seems very likely.

The Canadian Mortgage and Housing Corporation (CMHC) reports that the current gap between listings and sales is expected to continue to widen through the end of 2009. This means that potential home buyers will have significantly more choice in the marketplace and that sellers will have to learn to be patient.

In addition, the increased number of sellers vying for the buyer's nod of approval is also expected to keep prices in check. In fact, TREB reports that September's price for an average home in the GTA was $366,158, up just $1,794 from 2007. This moderate price growth is expected through 2009 when CMHC predicts housing prices will align closely with inflation, putting the price of an average home in the GTA at $404,000. The prediction of pricing stability is good news for those seeking mortgage pre-approval.

For those opting for a smaller mortgage or less expensive housing, the apartment condominium market will be worth watching. As building projects wrap up, the CMHC foresees that some investors may begin to sell off their units. It is argued that in the GTA investors represent anywhere from 21% to 33% of the apartment condo market. A release of this number of properties onto the market is expected to affect the value of condominiums. Though significant reductions are not foreseen, market price adjustments are expected to veer well away from the 10+% increases buyers experienced in 2007.

For those who have determined that they are ready to take advantage of the current relaxed market conditions, it is comforting to know that the more flexible mortgage products developed over the last couple of years have helped to personalize mortgage payment options. Be sure to shop around. A certified mortgage broker has access to products and rates from different lenders. That can be a good place to start.

For those less confident that housing is the right investment option for them, TREB President, Maureen O'Neill reports that the state of the current market shows that, “…consumers still regard real estate as a sound investment”. This is very good news for those already committed to Canadian home ownership.