A real estate agent in St. John's says cabin sales are increasing on Newfoundland's Avalon Peninsula, with some priced at more than $300,000.

A recent Re/Max report on summer homes said the entry-level price is now $105,000 — up more than 10 per cent since 2008.

Jim Burton, manager of Re/Max Plus Realty Incorporated in St. John's, said during the first three months of this year 21 cottages and oceanfront homes have been sold — three times more than were sold during the same period in 2009.

Burton said Thursday that demand from Newfoundlanders, both locally and abroad, has helped to fuel sales.

"Certainly Newfoundlanders are the ones that are buying and we're seeing some people that are coming in with the offshore oil that are executives living in the city and they're buying these types of properties too," Burton said.

"It's estimated there's some 500,000 Newfoundlanders that live away from Newfoundland and they're always looking back at what's happening at home, and they're being smart and investing back in their province for the day when they return."

Not far from downtown St. John's, city dwellers can purchase a cabin with a view.

For example, a three-bedroom cottage on Middle Gull Pond, outside the city, is listed for $309,000, a listing Burton said was a deal.

"[The Avalon Peninsula] is probably the most affordable place in the country right now to own a cottage," he said.