IMMEDIATE RELEASE: Wed., Jan. 9 th, 2019
Home Buying Slows for Fourth Quarter, Year-End Receives High Marks, & Lack of Inventory Continues to be a Challenge
Greater Charlottesville Area 2018 Fourth Quarter & Year-End Highlights:
• Home sales decreased 3.2% (841) compared to Q4 2017 (869), while year-end indicated a 5.7% gain.
• The median sales price remained steady at $300,000 compared to Q4 2017, as year-end marked a 4.6% growth.
• The median days on the market in the 4th Quarter was 63, 8-days lower than in Q4 2017, while year-end showed a 13.8% drop (9-days fewer).
• New listings declined 7.4% (764) compared to Q4 2017 (825), as year-end marked a 1.5% increase.
• Pending sales weakened 4.9% (704) compared to Q4 2017 (740), while year-end showed a 3.5% gain.
• Inventory of homes for sale dropped 10.5% (891) compared to Q4 2017 (995).
National Outlook While the 2017 housing market was marked by renewed optimism fueled by stock market strength, higher wages and a competitive environment for home sales, 2018 delivered a more seasoned prudence toward residential real estate. Home buyers, now steeped in several years of rising prices and low inventory, became more selective in their purchase choices as housing affordability achieved a ten-year low.
Albemarle County: Home sales decreased 13.5% (371) compared to Q4 2017 (429), while year-end indicated a 4.2% gain. Median sales price decreased 3.4% ($396,064) compared to Q4 2017, as year-end marked a slight growth (1.1%). The median days on the market in the 4th Quarter was 57, 13-days lower than in Q4 2017, while yearend showed a 12.1% drop (7-days fewer).
City of Charlottesville: Home sales decreased 5.1% (112) compared to Q4 2017 (118), while year-end indicated a 7.0% gain. Median sales price increased 9.9% ($344,500) compared to Q4 2017, as year-end marked a 11.0% growth. The median days on the market in the 4th Quarter was 43, 5-days lower than in Q4 2017, while year-end showed a 13.9% drop (5-days fewer).
Fluvanna County: Home sales decreased 10.2% (106) compared to Q4 2017 (118), while year-end indicated a minimal decline (.2%). Median sales price increased 4.9% ($225,500) compared to Q4 2017, as year-end marked a 4.0% growth. The median days on the market in the 4th Quarter was 62, 2-days lower than in Q4 2017, while year-end showed a 15.7% drop (11-days fewer).
Greene County Home sales increased 25% (80) compared to Q4 2017 (64), while year-end indicated a 13.2% gain. Median sales price increased 6.7% ($253,493) compared to Q4 2017, as year-end marked a slight growth (1.5%). The median days on the market in the 4th Quarter was 40, 18-days lower than in Q4 2017, while yearend showed a 22.7% drop (15-days fewer).
"When comparing the six localities at the end of the year, Greene County saw the largest increase for both new listings (20.4%) and pending sales (29.3%)," said CAAR 2019 President Tele Jenifer. "These figures could indicate that residents recognized an opportunity to use the low inventory to their advantage."
Louisa County Home sales increased 6.0% (89) compared to Q4 2017 (84), while year-end indicated a slight gain (1.8%). Median sales price increased 10.4% ($245,000) compared to Q4 2017, as year-end marked a 7.7% growth. The median days on the market in the 4th Quarter was 62, 9-days lower than in Q4 2017, while year-end showed a 5.8% drop (4-days fewer).
Nelson County Home sales increased 48.2% (83) compared to Q4 2017 (56), while year-end indicated a 23.4% gain. Median sales price increased 10.9% ($239,500) compared to Q4 2017, as year-end remained unchanged at $235,000. The median days on the market in the 4th Quarter was 145, 13-days lower than in Q4 2017, while year-end showed a 21.3% drop (36-days fewer).
"At year-end Nelson County saw the largest gain for closed sales (23.4%)," said CAAR 2019 President-Elect Tom Woolfolk. "One reason for this growth could be the median sales price – it remained unchanged compared to 2017 ($235,000)."
About CAAR The Charlottesville Area Association of REALTORS® (CAAR) represents more than 1,300 real estate professionals in Charlottesville and Albemarle and the surrounding areas of Fluvanna, Greene, Louisa, and Nelson counties. This 2018 Fourth Quarter & Year-End Market Report is produced by the Charlottesville Area Association of REALTORS® using data from the CAAR MLS, pulled Sat., Jan. 5, 2019. For more information on this report or the real estate market, contact a REALTOR® today using MYCAAR.COM. NOTE: The term REALTOR® is a registered collective membership mark that identifies a real estate professional who is a member of the National Association of REALTORS® and subscribes to its strict Code of Ethics.
Shared Information by Association of Exclusive Buyers Agents (NAEBA) and Keeping Current Matters
Are you coming up on retirement age and thinking about where you'd like to live in "your golden years?" More and more baby boomers are entering retirement age, and question whether or not to sell their homes and move. In today's housing market climate, with low available inventory in the starter and trade-up home categories, it makes sense to evaluate your home's ability to adapt to your needs in retirement.
According to the National Association of Exclusive Buyers Agents (NAEBA), listed here are 7 important factors you may want to consider when choosing your retirement home.
"It may be easy enough to purchase your home today but think long-term about your monthly costs. Account for property taxes, insurance, HOA fees, utilities – all the things that will be due whether you have a mortgage on the property."
Would moving to a complex with homeowner association fees be cheaper than having to hire all the contractors you would need to maintain your home, lawn, etc.? Would your taxes go down significantly if you relocated? What is your monthly income going to be like in retirement?
"If you have equity in your current home, you may be able to apply it to the purchase of your next home. Maintaining a healthy amount of home equity gives you a source of emergency funds to tap, via a home equity loan or reverse mortgage."
The equity you have in your current home may be enough to purchase your retirement home with little to no mortgage. Homeowners in the US gained an average of over $14,000 in equity last year.
"As we age, our tolerance for cleaning gutters, raking leaves and shoveling snow can go right out the window. A condominium with low-maintenance needs can be a literal lifesaver, if your health or physical abilities decline."
As we mentioned earlier, would a condo with an HOA fee be worth the added peace of mind of not having to do the maintenance work yourself?
"Elderly homeowners can be targets for scams or break-ins. Living in a home with security features, such as a manned gate house, resident-only access and a security system can bring peace of mind."
As scary as that thought may be, any additional security and an extra set of eyes looking out for you always adds to peace of mind.
"Renting won't do if the dog can't come too! The companionship of pets can provide emotional and physical benefits."
Evaluate all your options when it comes to bringing your 'furever' friend with you to a new home. Will there be necessary additional deposits if you are renting or in a condo? Is the backyard fenced in? How far are you from your favorite veterinarian?
"No one wants to picture themselves in a wheelchair or a walker, but the home layout must be able to accommodate limited mobility."
Sixty is the new 40, right? People are living longer and are more active in retirement, but that doesn't mean that down the road you won't need your home to be more accessible. Installing handrails and making sure your hallways and doorways are wide enough may be a good reason to look for a home that was built to accommodate these needs.
"Is the new home close to the golf course, or to shopping and dining? Do you have amenities within easy walking distance? This can add to home value!"
How close are you to your children and grandchildren? Would relocating to a new area make visits with family easier or more frequent? Beyond being close to your favorite stores and restaurants, there are a lot of factors to consider.
When it comes to your forever home, evaluating your current house for its ability to adapt with you as you age can be the first step to guaranteeing your comfort in retirement. If after considering all these factors you find yourself curious about your options, contact a Montague Miller & Co real estate professional who can evaluate your ability to sell your house in today's market and get you into your dream retirement home!
Shared information by National Association of Exclusive Buyers Agents (NAEBA) and Keeping Current Matters