The Virginian-Pilot
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Home prices in South Hampton Roads fell last month, most likely pushed lower by sales of foreclosures and strong buying activity in the market’s lower price range, according to a report released Friday.
The median price for an existing home in September was $210,000, down 6.7 percent from August and 4.1 percent from a year earlier, according to Real Estate Information Network Inc., the Virginia Beach-based multiple listing service. The median is the point at which half the prices are higher and half are lower.
The listing service also released data showing that 1,082 homes sold last month, up slightly from August but 28 percent higher than a year ago. That's the biggest year-over-year gain this year.
September marks the fourth month of year-over-year sales increases since home sales volume turned positive in June. The strong sales volume likely reflects historically low interest rates and first-time home buyers taking advantage of the $8,000 federal tax credit.
The report also showed that the number of homes on the market last month in Hampton Roads fell slightly. In September, there were 14,029 homes on the market. Meanwhile, the average time on the market for existing homes in Hampton Roads also fell to 82 days last month, compared with 86 days in September 2008.
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Getting better?
According to both stories there were 1082 homes sold and 1066 foreclosure notices filed during the same month.
Supply and Demand
Clearly demand is picking up and reducing supply, putting the market back in balance. Although the FACTS are right here, we will still hear from some saying the world is ending and nobody should buy anything (doninvb).
Good News
The lead is buried on this story Josh. I still appreciate the reporting.
Less homes on the market. Good news.
Less time on the market. Good news.
You need those two factors to continue. If it holds, the bottom locally in the real estate market was last month.
The prices will go up, because the demand is still strong.
How long that lasts or if it continues is the question.
Stock market is up, is that
Stock market is up, is that because of record job cuts and increased productivity of the remaining employees? That is the one thing that is positive. Of course, who knows how honest it is. I have a sneaking suspicion that the banks are counting people delinquent on their loans as new profits (add the unpaid money to the end of the loan, interest earnings goes up, instant profits!) This would explain people behind on their mortgages being told they don't need to bother paying another mortgage payment for 4 years, they just need to keep the house.
You can't continue to have solid new home sales with record job losses. I do know people buying, I wouldn't recommend it but it's their lives. They are in a position to do so. And for every one of them, another rental comes available. Someone's investment stream just declined.
Just looked at renting an office for a new project myself. Couldn't come to terms with the owner. Owns the place outright, but wants a lot of money for it. It sit empty. Realtors send home renters postcards that renting is throwing away money, then ask high price for commercial rental property with odd terms.
So is the gov't going to do
So is the gov't going to do as the Realtor and builder lobby groups want and extend the tax credit? They want it extended to ALL buyers not just "first time home buyers" (which ment you had not owned in 3 years, which means it's a lie). They want investors to be able to get the tax credit. Also they want it bumped to $15,000.
Gov't should just buy everyone in the USA a house. Then 3 more, so they can rent them out and make loads of cash.