But, a couple of readers emailed me the article, so I feel obligated to comment (and I am grateful for that obligation – thank you for reading)The study (pdf) is less a story of how much more unrepresented sellers sell their homes for than those who choose to hire a Realtor, and more about the effects of a viable alternative to the MLS, which is currently the best way to market a home.We focus on the city of Madison, Wisconsin, where a single web site (fsbomadison.com) has become the dominant for-sale-by-owner platform.A few thoughts:1…. The National Association of Realtors (NAR) argues that Realtors provide valuable help with setting the listing price, preparing the house, checking potential buyers’ qualifications, showing the house, bargaining the terms of the deal, and handling the paperwork.5…. Maybe the best “by owner” site in Charlottesville is c-villebyowner, but their market share remains infinitesimal.In the Charlottesville area real estate market, some neighborhoods are more likely to be successful for those who choose to represent themselves in the sale of their homes – those that are fairly cookie-cutter and high-traffic neighborhoods may be better candidates than those that are not, but why would someone want to limit the number of people to whom they market their most valuable asset? What about the pictures?By the way, the study is outdated.The study found, however, that homes listed with agents sold more quickly — with a 25 percent probability of selling within 60 days versus a 16 percent probability for FSBO-advertised homes.The average days on market in the Charlottesville area, right now, is trending between 74 and 106 days.
Browsing Category Market statistics
Turtle Creek condo market update
I am currently marketing a condo in Turtle Creek*, have been for a couple of months and through a couple of price reductions (the most recent of which was a $10k reduction yesterday)…. I continue to think that Turtle Creek remains a wise purchase, primarily from a quality of life perspective – it is well-located, generally well-run and perhaps most importantly, well-built (and it’s not a condo-conversion).This year, 26 condos have come on the market…. 7 went under contract in that timeframe.In 2005, 9 condos came on the market between 1 January and 1 June and 6 went under contract. In 2004, 11 condos came on the market between 1 January and 1 June and 10 went under contract.Notice a trend?* I generally do not discuss properties I am marketing, but this one fits in line with the greater real estate market in Charlottesville, and the condo market specifically.
Charlottesville MSA real estate still appreciating
Albeit slowly.
Nearly mid-year market data for Charlottesville and Albemarle
Not that she needs it, but she deserves credit for presenting an accurate, non-threatening/non-emotional picture of the current real estate market in the Charlottesville/Albemarle region…. That’s about 600 more than at the same time in the hot market of 2005.Making the picture even darker for sellers: average days on market in April was 120, up from just 66 days in April 2005, when sales were blazing…. Taking the list date out of the equation, 1088 residential properties have gone under contract so far this year (just in Charlottesville/Albemarle)There is more accumulated inventory in the market right now. Properties are selling, but at a slower rate that we are used to.* NB: for the month of May, I went only to the 30th rather than 31st for consistency’s sake.* NB: all residential properties are included, including condos.** big note: In this PDF showing inventory history, “Current Inventory” is apparently defined as Active and Contingent properties.
Albemarle’s growth so far this year
Brian Wheeler’s excellent analysis continues. Two things surprise me – 1) Building permits don’t seem to have dropped off in light of the market shift. 2) This year, far more permits have been issued in the development area versus the rural area – a very good thing. Gratuitous endorsement: Brian is running for re-election to the School Board and has done more for transparency in local government than anyone else I can think of.
Buy now in the Charlottesville market or wait?
I am glad to continue renting if sellers are unwilling to lower their prices to account for the fact that the market has changed and real estate prices are unlikely to appreciate much in the near future (see, for example, the recent New York Times aricle entitled “A Word of Advice During a Housing Slump: Rent”)…. I realize that most sellers are probably not going to accept an offer well below their asking price all at once; rather, they are probably going to reduce their asking prices gradually until someone makes an offer reasonably close to what they are asking…. More on assessments at cvillenews.A brief analysis of homes sold in the MLS between $$500k and $600k since the first of the year comparing their sold price to their asking price and the assessed value found, unfortunately, very little consistentcorrelation.Right now, when searching for buyers, I tend to search prices 15%-25% higher than their “comfortable” price range (not the maximum they are pre-approved for, but comfortable) because often, price is not the greatest determinant when sellers are considering offers.The decision of whether to buy now is one that should be made with (far) more consideration than was necessary in the past five to seven years…. With input from our parents, the state of the market right now, the small time frame that we’ll be here in Charlottesville, etc, we just don’t think it’s the best move for us right now.I feel bad because I know that you put in a lot of time and effort for us and we appreciate it very much.
1st Quarter Market Report released for Charlottesville area
The word of the day is “transitional.”My initial analysis from last week is here. When the final report is released by the Charlottesville Area Association of Realtors later today I will link to it. Update 04-17-2007: Here it is.Make no mistake, there are an awful lot of buyers out there – they are taking their time, educating themselves and buying smart. Nevertheless, many properties that are well-priced are seeing multiple offers.