A less competitive housing market is forcing buyers and sellers in central Virginia to get real about prices. The Charlottesville Area Association of Realtors (CAAR) released its end of year report for 2011 Tuesday.
According to the report, pending home sales were up for the quarter, but down a bit overall for the year. Pending sales in the area rose about 19 percent in the last quarter of 2011 compared from the same time in 2010. However, median sales price for the region is down about a half a percent.
Looking at all of 2011, the number of homes sold was up for Charlottesville and Albemarle, but down for Fluvanna, Louisa, Nelson and Greene Counties.
For the first time in the report, CAAR looked at the number of short sales, or foreclosed homes. Foreclosed property sales were up 10 percent last year. Short sales were up slightly too, but still only represent about 3 percent of the market.
Realtors say it's still too early to track trends.
RE/MAX agent Laney Kaminer guides potential buyers through a Belmont home, and she's pleased with the foot traffic for a Tuesday showing. "There are more people looking," she said.
Kaminer's already seeing interest in the home that just went on the market Monday. She stated, "I think if you really want to sell, things will move."
That shows in the CAAR 2011 year-end market report. Picky buyers are searching for the best prices.
CAAR President Brad Conner said, "I think we have a cautious buyer who wants to know what they're buying is exactly what their needs are."
Home prices went down 3.9 percent across central Virginia in 2011 to a median of $245,000.
"We have a tremendous amount of inventory under $200,000," said Conner. "So, that first-time homebuyer wanting to get into it, there are opportunities all over our market."
Overall, 2,300 homes sold in central Virginia in 2011, which is down 1.5 percent from 2010.
Albemarle and Charlottesville saw an uptick, nearly 3 percent in the county and just over 5 percent in the city. Sales dropped double digits in Fluvanna and Louisa. Nelson and Greene also saw fewer homes with sold signs.
Conner stated, "Now that it contracted, people can start finding more affordable homes in Charlottesville and Albemarle and it's made it harder for those in the outlying region."
Kaminer sees buyers and sellers becoming more realistic in this flat-line market. "I think this year is not going to be a banner year, but I think it's going to get better," she said.
Foreclosures accounted for 14 percent of last year's home sales. Conner expects a strong first quarter this year because pending home sales are up. His best advice: hire a realtor to help you find a home that's priced to match the market.
