The latest issue of my newsletter Charlottesville Virginia Real Estate News is hot off the presses. This issue is packed with informative articles on home buying and selling as well as general real estate facts. Read the newsletter at Charlottesville Virginia Real Estate News.
Central Virginia Real Estate Market Reports – January 2011
This post is a compilation of the Central Virginia real estate market reports for the month of January 2011.
Albemarle County VA Real Estate Market Report – January 2011
New Years Greetings and State of Real Estate
As we begin 2011 I would like to take the opportunity to thank each of you for your friendship and support making 2010 a fabulous year. As we move forward into 2011, I wish all of you the best in the coming New Year. I, for one, am excited about the possibilities, and I hope that you are too.
At this time I am pleased to share with you that I have made a move to Montague Miller & Company. This is not a move “away” but rather a move “toward” new opportunities. I am honored to be a part of one of the oldest and most respected real estate firms in the area. I will continue to help clients buy and sell residential homes, townhomes and condos, and also to purchase foreclosed properties. However importantly, I will have the opportunity to expand my presence in farms and estates, an area of the real estate market that is my “first love”. My years in the horse business not only provided me with specific knowledge to equip me to deal with these special properties but also instilled in me a deep and abiding love of farms and country life. Montague Miller and its affiliation with Leading Real Estate Companies of the World allows me to present a new level of customer service. In addition, if you are planning to remodel or just need to do some general home repairs give me a call so that I can connect you with our concierge who will set you up with the perfect professional for the task.
This is the appropriate time to reflect on the state of the local real estate market. In some ways this year has been more of the same. Interest rates continued to drop for most of the year, bottoming out at historic lows, probably never to be seen again in our lifetimes. As the year drew to a close we have seen those rates begin to rise and it is predicted that they will continue to rise in the coming year. This interest rate rise will offset any value to waiting for prices to drop further before purchasing and prices are predicted to drop further. In fact, the higher rate will make monthly payments higher. As our local market struggles to reset, home values and resulting prices have continued to drop. In certain neighborhoods and price ranges, this drop has been accelerated by the flow of foreclosures and bank owned homes onto the market. The Central Virginia real estate market is lucky in that, unlike many areas, foreclosures are still a relatively small percentage of our overall market, but they have an influence even if only in consumer’s minds.
What was the specific result of these facts on Central Virginia real estate in 2010? For the year as a whole sales are up, though not necessarily dramatically, for almost all of Central Virginia. However, sales of single family detached homes were down in the city of Charlottesville. Unfortunately the increase in sales was accompanied by a decrease in prices. Some of this reflects a decline in home values, but some of the figures are a reflection of the price that the consumer is prepared to pay. We should bear in mind that 2009 sales started out strong, driven by the $8000.00 First Time Home Buyers Tax Credit. It is hard to determine whether the tax credit actually prompted people to buy homes who ordinarily would not have, but I think that we can say that sales that would have been spread throughout the year were compressed into the spring. As a result we saw a greater than normal slow down after the expiration of the $8,000 Tax Credit.
If you would like to see monthly or year end real estate sales figures for Central Virginia broken down by county, visit my blog at http://www.CharlottesvilleRealEstateTalk.com to stay up to date on the local real estate market.
Moving forward, dusting off the crystal ball, what can we expect in 2011? What are the experts saying?
I think it is fair to say that we will see more of the same. It is very likely that we will see a further drop in home values throughout 2011. Many experts are now saying that we will not see a recovery begin until the third quarter of 2012. Interest rates will continue to rise, though not necessarily skyrocket. Foreclosures are continuing to come on the market.
How does this translate on a personal level to you?
If you will need to buy a home this year and will be using a mortgage, it may be a good idea to purchase early in the year before interest rates rise further. Purchasers will need to get back to the traditional mindset of thinking of a house as a home in which to raise their family and grow equity over time, rather than as a short term investment. On a positive note, there is a large inventory of homes from which to choose and there are many great deals. At the same time don’t forget that many homes are already on the market at a discounted price or under assessed value; the homeowner may not be able to accept a “lowball” offer way under list price. Foreclosures will continue to come on the market and present opportunities for the savvy investor or allow purchasers to find a great deal.
If you are thinking of selling a Central Virginia home, it is noteworthy that properly priced homes are selling. Personally, I have received contracts on two of my listings in the first week of 2011. It is absolutely crucial to have your home priced correctly. Home values are determined by the market, not by how much you owe, how much you paid for the home, the assessed value or by what you need to get out of the home. No amount of marketing will sell an overpriced home. In addition, with the large amount of inventory available for buyers to search, your home will need to be in the best possible condition to stand out over all of the comparable homes.
The other issue that many people are struggling with is “should I sell now or should I wait?” My answer to that is “how long are you prepared to wait?” Sellers who decided at the beginning of 2010 to wait until 2011 now have to face the reality that their home values have declined over the past year. If we look at the current predictions, we see that many experts are calling for home prices to continue to fall in 2011. Realistically it could be several years before home prices start up again and by then they will need to rise before they reach our current levels. This decision will depend on your time frame and motivation to sell and move.
In local real estate this is a time of great challenges but also of great opportunities. Please don’t hesitate to call me at 434 960-0161 or email me at [email protected] to discuss any of your real estate concerns or questions. I have included some graphs that you might find of interest.
I hope that the coming year will be the best year ever for you and your families.
Happy New Year!
Talking Charlottesville Real Estate – Home Inspections
This morning I drove out to Louisa County for a home inspection. After yesterday’s rains the countryside was washed clean and gleamed under the early morning sunshine. There are still a few leaves left on the trees for a hint of fall color. I always attend the home inspections for my buyers.
I always advise my clients to have a home inspection. Even when a home looks perfect to our untrained eyes there are usually at least a few items that are apparent to a trained home inspector. My inspector not only pointed out items of concern but he also showed the buyer the many good features in the home. If at all possible it is important for the buyer to be present at the inspection so that the inspector will be able to thoroughly explain all of his findings. Also he shows the buyer the location of important things such as the main water cutoff.
The last thing the inspector did was to set up the radon test. This device will measure the radon levels hourly in the home for 48 hours. Then an average of those figures will tell us if the radon levels are within acceptable levels.
Modern technology is wonderful and thanks to a laptop, digital camera, and a portable printer the buyer left the inspection with a notebook containing the inspection report. She will also receive the report in a pdf file later today. On Friday when we receive the radon report, we will decide what, if any, repairs we will ask the seller to make.
Charlottesville Real Estate Lady At The new England Medal Finals – Part 2
As a Charlottesville Real Estate Lady at the New England Medal Finals, I divided my time between watching horses jump around the course and talking real estate. Since my area of specialty is Virginia horse farms it is easy to combine horses and real estate. One thing about traveling to a horse show in a different state people are still ready to talk horses and real estate and as a result you end up making many new friends.
As you know when you are selling a Charlottesville home curb appeal is of paramount importance. No matter how nice your home is on the inside if the outside does not present an attractive appearance clients will never get in to view all of the special features that your home may possess.
In the stabling area of any large horseshow, you see another form of curb appeal. Most of the horse farms represented at the show have tack stalls and many of these are decorated. At the New England Medal Finals we saw tackroom decorations with an autumn theme.
After seeing New England fall foliage all last week, I am home in Virginia where the leaves are changing as well. The Charlottesville real estate market is ready for fall and this is one of the prettiest times of year to hunt for a Virginia horse farm.
Charlottesville Real Estate Lady Goes To The New England Medal Finals – Day 1
As a Charlottesville real estate lady who specializes in Virginia horse farms and Charlottesville country homes I enjoyed going to the New England Medal Finals.
What do horse people do when they go on vacation? Chances are it is something horsey. And this week I was no exception. I traveled to West Springfield Mass. to watch my daughter Gwynn ride in her first New England Medal Finals. It was a fun trip, meeting horse people from the northeast, watching horses go and hanging out with my daughter.
The first day was like any other set up day: shipping in, setting up stalls, organizing the tack stall and schooling horses. The Springtide Farm group was all pitching in.
Of course no matter where I end up the talk seems to roll around to horses, Charlottesville real estate and Virginia horse farms. In fact standing in the barn area I received a call from a lady who lives in Boston who will be coming to Charlottesville in two weeks to search for the perfect Virginia horse farm. She was surprised when I told her I was standing at the horseshow in Mass.
The Charlottesville Area Year End Market Report – Hot Off The Presses
The Charlottesville Virginia Association of Realtors has just published its 2008 year end market report discussing home sales in the Central Virginia area over the past year. It does not paint a pretty picture. 2008 has been a rough year both for the national and the local real estate market. October and November were especially difficult months due to the worsening ecconomic crisis and the uncertainty regarding the election. December saw an increase in activity which we hope will continue on into the new year. All in all we are glad to see the end of 2008.
Click here to read the market report.
Please contact me if you would like to discuss the local real estate market or see how it affects you individual property.
Will Remodeling Increase My Home’s Value?
Many homeowners have opted to remodel their existing home rather than buy up into a new home. However since they may still be planning to sell in the future it is important to them that their remodel brings a good financial return. In addition some homeowners are viewing the remodel as a means to spruce their home up for sale with the hope of getting a better price and making their older home more desirable in today's market. According to NAR studies many exterior remodeling projects such as new siding or adding a deck bring a higher return than a lot of interrior remodels such as a new kitchen. For more details read what Inman News has to say in their recent article about remodeling returns.
In the Charlottesville real estate market you will see many resale homes on the market that have had upgrades and renovations. While these homes will not always bring a higher price than comparable Charlottesville homes on the market, coupled with a good location, they will usually be the one to sell.
Pam Dent
, e-PRO, SRES, NHD, REALTOR®, Real Estate III, Charlottesville, Virginia at 434 960-0161, [email protected], to list your property for sale or to buy a property in the following areas in Central Virginia: Charlottesville, Albemarle County, Keswick, Glenmore, Ivy, Crozet, Earlysville, Free Union, Cismont, Scottsville, Fluvanna County, Troy, Palmyra, Lake Monticello, Louisa County, Louisa, Mineral, Spring Creek, Orange County, Gordonsville, Orange, Barboursville, Greene County, Ruckersville.
To view all of the Charlottesville, Virginia and Central Virginia Homes for Sale click here and click on the mls search button.
Visit my website Jump into Greener Pastures or read my other blog Charlottesville Real Estate Talk for more information on Charlottesville homes, farms, events and real estate.
Virginia Now in Top Ten States for Foreclosures
According to the July Foreclosure Market Report just released by Realty Trac, the leading online foreclosure market report, Virginia is now among the 10 states with the most foreclosures. The three states with the highest foreclosure rates are Nevada, California, and Florida. The additional states in the top ten are Arizona, Ohio, Gerogia, Michigan, Colorado, Utah and Virginia.
In Virginia the areas with the most foreclosures are Northern Virginia, Prince William County and Fredericksburg. We are lucky that the Charlottesville area, although we are seeing an increase in foreclosure activity, is still seeing much less than many parts of the country.
However some foreclosures are starting to come onto our local market. These can present a valuable market for the savy buyer.
To read the entire article click here.
Contact me if you would like to discuss the possibility of finding a foreclosure or would like information on the Charlottesville real estate market.
Click here if you would like to search all of the homes currently on the market.