After a turbulent year, the real estate market in Greater Vancouver seems to have hit its sweet spot.

The Real Estate Board of Greater Vancouver reported August home sales reached 3,441 units across the Lower Mainland, an increase of 119.5 per cent over August 2008.

REBGV president-elect Jake Moldowan told 24 hours the staggering increase is due largely to the abysmal home sales in 2008, and that last month's figures are more in line with historical numbers.

With the market recovering and affordability still high, Moldowan says the region currently has a balanced market.

"It really is a good news story," he said. "You ask whether it's a buyer's market or a seller's market and it's both right now."

Overall, home prices were 1.1 per cent lower last month over August 2008.

Historically low interest rates are a big incentive to many first-time buyers.

Matt Kieltyka reports for Vancouver 24 hours.