Triangle third quarter market data good for buyers

The third quarter triangle area market statistics are now available and there is so much to say that I will likely blog on this all week.  The overall market data paints a somber picture for sellers.  Buyers, however, have cause for celebration and hopefully motivation to get out there and cash in.

The number of new listings is down about 20 percent for the past two years.  This might make you think that this equates to a low inventory but that is not the case.  Although less homes are being listed, the average days on market has increased 14% from 2008 to 2009 and a total of 30% increase over the past two years.  This means that there is now over 9 months  inventory.  Homes are taking longer to sell, with 102 average days on market, up from 78 average days on market in 2007.  Two years ago, buyers did not have the luxury of taking their time.  Mulitple offers and the chance of missing out has been replaced by choices for buyers.

Median sales price is down slightly over the past two years which is good news for sellers and buyers.  It indicates a stablility in the triangle market when compared with other cities that experienced the real estate bubble.  Prices are down almost 5% over 2008, negating the increases we saw for average home prices in 2007.  Sellers who have been in their home over the two years saw a very modest loss while 2009 season buyers are seeing a more favorable price structure.

We can still be thankful that we live in an area where the average home price is very affordable at $226,000.   This price is very workable for the average person with an average salary and very affordable for a two income family.  We can also be grateful that our market exemplifies, “what you see is what you get”.  Despite the slow market, sellers are still getting close to their asking price with 96+% of asking price payouts.  This makes shopping for a home a little easier.  Buyers can be comfortable knowing that there probably was not a $500,000 home that sold for $300,000 and they didn’t miss out on the deal of a lifetime.

What this all says about our market is that this is a desirable place to live on many levels.   For any of my readers who want to have the actual data and graphs that comprise this report, please send me a quick email request or give me a call.  If you want to know more, with speicifics for market areas, stay tuned and read on through this week.

First time home buyer tax credit: it is not too late to cash in

There is so much buzz about the expiring tax credit in the news this week.  Every group related to the housing industry is pushing to extend and expand the housing bill.  I am telling my buyers they should not bank on the plan being extended.  Look what happened with the cash for clunkers deal.  Over, right?

One article I read stated that it was too late for most because the normal escrow time is 90 days.  That is nothing but an exaggeration.  Thirty day closings happen all the time and I see 45 to 60 days as my usual from contract to close time.  I have even done less than 30 days.  There are so many eager sellers, vacant properties and rented homes on the market that finding a home that can provide a quick closing will likely not be the problem.  Waiting to see if the tax credit gets renewed is risky.  Getting $8,000 back at tax time is too good to pass up.  Don’t wait hoping you will get more later, take the the sure thing now.

No additional bail out for Wall Street, no more cash for clunkers,…..

Durham Centerfest celebrates 36 years

Durham will have its 36th annual Centerfest this weekend, September 19th & 20th.  The event will give 117 artists from 9 states an opportunity to compete for prize money but more importantly, a chance to have a huge public audience see their works.  Artists will display paintings, photography, pottery, hand crafted jewelry and sculpture.  Stages will be filled with non stop entertainment including live music and dance. 

The triangle is a community that supports the arts in a big way.  This is a great opportunity to enjoy some family friendly entertainment and experience downtown Durham.  Centerfest has a helpful website with information and schedules at http://centerfest.durhamarts.org/index.html.

Public transportation coming to Pittsboro

Ah, Pittsboro; the quintessential bedroom community.  It is a quiet little town with all the charm and rural character and located just 25 miles from Chapel Hill.  With no industry or jobs really to call their own, most residents rely on surrounding communities for employment.  Of course, the area is also a hotbed foragriculture and artists as is often the case when there is lots of land and a small population.  But, Pittsboro is no ordinary sleepy town.  This is a population that is involved in its community; that cares about the issues and elections. 

Now Pittsboro is even better with public transportation routes that will take passenger to Chapel Hill and back, daily.  You can view the schedule and see the details at this link: http://www.townofchapelhill.org/Modules/ShowDocument.aspx?documentid=4349
The trip will cost you $3 each way but that is less than you would pay for parking.

Walkability indicator of location, location, location

Walkability is the new yardstick for buyers when considering the “location” of a property.  According to a recent study, buyers assign a higher value to a home that is within walking distance to conveniences such as grocery stores, post office and restaurants.  The study published for CEOs for Cities in August, found that when considering “new urbanism” or higher density and mixed uses, walkability accounted for buyers paying from 4% to 15% higher purchase price.

The triangle has its own area of walkability that have been strong perfomers in the real estate market.  Meadowmont and Southern Village are quinetessential examples of mixed use, walking communities that have a higher sales price/sf for the area.  North Hills in Raleigh, Cameron Village, inside the beltline (ITB) all have this in common.

From the “green” perspective, walking communities rule.  I grew up in a walking community and as a child, I was not  in a car more than a few times a month.  We walked to school, home for lunch (no packaging, no waste), church, the park, the pool, our friends to play, the store, the movies, the doctor or dentist… and the bus which we took everwhere we couldn’t walk to.  I have been there, done it and it is a good thing.

I recently saw a property near Cameron Village that I thought was a great investment.  I coaxed my husband to join me for a tour.  The home was in a little rough shape and it was on a corner lot with no back yard.  It was located 2 blocks from Cameron Village with a detached garage with an income apartment above.  I couldn’t get my husband to go in.  He hated it and the area.  What happened?  Sold the next day!  I can’t blame my husband though, he didn’t get the walkability thing.  He just saw a dated ranch with a city lot.  It will be my challenge to retrain him and my clients as the real estate trend continues.    I am not saying I am going to try to talk people into buying an urban property.  But, I will be encouraging it and letting them know that they may have to pay a little more for the luxury of walking to conveniences.

If you want to know your walkability score, enter your address at www.walkscore.com.

Solar Decathalon is the new pro bowl for solar technology

Solar enthusiasts may want to clear their calendars and make plans to visit Washington DC for the week of October 9th. On this week, the National Mall will be home to the Solar Decathalon.  The event represents an opportunity to see the cutting edge solar design, green building practices and the use of netzero (totally sustainable) energy application. 

Twenty student teams from universities and colleges all over the world will build homes using building inegrated photovoltaics (BIPV) to compete for a $100,000 prize.  The homes will be open to the public for tour.  For anyone who is considering a solar installation, this is an opportunity to see what the archetects, engineers and researchers have developed recently.  If you want to see who’s competing and root for your alma mater, check out this link from the DOE: http://www.solardecathlon.org/about.cfm