The Charlottesville Area Association of Realtors (CAAR) released our area's 2'nd quarter market report yesterday, July 13, 2010.  Below you'll find the reports conclusions and predictions.

CONCLUSIONS AND PREDICTIONS

"The good news is that while the stimulus package is behind us, the extension of the Federal tax credit for homes that were contracted by April 30th but were unable to close by June 30th has been extended, so those sales should close in the third quarter. It is impossible to quantify how much the stimulus affected both the number of transaction and the price levels, but there is little doubt that it had an impact. The closed data for the 2nd quarter as compared to 2009 is encouraging. However, we have seen a year over year decline in new sales reported to the MLS in May and June, since the end of the stimulus. Be sure and find out what’s going on in your segment of the market if you are buying or selling real estate in the next quarter.

CAAR is also watching the median price of homes for sale to see if the prices continue to stabilize. A reduction in inventory will help take pressure off home prices and indicate that the market is becoming more balanced. Price sensitivity is still the key factor in this market, so if you are looking to put your house on the market, be sure to have a REALTOR® or appraiser prepare a comparative market analysis (CMA) for your property so that you can price it to sell. And, if you are looking to buy, a REALTOR® can help you understand the current marketplace so you can buy what is right for you."

COMPLETE REPORT