Saturday, June 26, 2010

How's the Virginia Real Estate Market going so far this year

This is a reprint of information sent out to the Realtor membership of the Virginia Association of Realtors to pass on to interested parties regarding the status of the Virginia real estate market.

Six Facts about Virginia’s real estate market:
Virginia Neighborhoods are in Better Shape. Statewide year-over-year foreclosures are down 2.4% from last year, and that means more stable prices for homes on the market today.

Market Activity is Up. Year over year, more homes were sold in six of Virginia’s seven regions in the first quarter of 2010. Buyers are seeing the current market as a great opportunity, and sellers (with the right price and representation), are benefiting from low interest rates and a recovering economy.

Virginia Home Values Jumped. The median price of a Virginia home was up 8.9% over the same quarter last year. This means last year’s home buyers have $19,500 more in equity.
More Virginians are at Work. Virginia continues to outperform the nation, with the 14th lowest unemployment rate: 7.4% (the lowest in the Mid-Atlantic). People with jobs can pay the mortgage, which keeps homes out of foreclosure, which helps protect the value of all homes.

We’re Still Building. In quarter one of 2010 construction jumped 23% over the same quarter of 2009. Smart Virginians are taking advantage of competitive pricing and low interest rates and making the dream of home ownership a reality.

Sellers Face a New Reality. Home values have changed. The start of 2010 marked the first time Virginia median home prices dropped year-over-year prior to 2005, reflecting the reality we all know. Homes aren’t selling for what they once were. Also, the federal tax credit expiration means sellers can’t expect peak-market pricing or timing. Today’s prices need to be realistic and listen to their Realtor’s advise: price it right, stage it well, and most importantly, be patient.