Here are some important numbers if you are selling or buying a home in Northern Virginia. Prince William, Loudoun and Fairfax counties are included. This also includes Arlington, Alexandria and Manassas.
Keep in mind that a "healthy market" for buyers is a 2-5 month supply of homes. This means that if you take the total number of homes actively for sale, then divide by the number of homes that SOLD in the last 30 days, you get the number of months that it would take to deplete the market, providing that no more homes come on the market. That is unrealistic but that is how we come up with these numbers.
The date of these numbers is 7-19-2010
Active homes for sale 7,412 Total 408 Bank Owned (5.5%) 1,088 Short Sales (14.6%)
Under Contract 7,033 Total 477 Bank Owned (6.7%) 3,448 Short Sales (49%)
Sold in Last 30 Days 2,535 Total 250 Bank Owned (9.8%) 461 Short Sales (18.1%)
Number of Months of Sales to Deplete the Market 2.92 going up slightly....
Another quick note: the average short sale in the last 30 days took an average of 10 months to finalize and close. About 28.9% never did close and went to foreclosure and have not rehit the market yet.
Has the market hit bottom, is the tide beginning to turn? YES !!!! We are seeing multiple contracts again, sellers are paying closing costs, and sales prices are slightly beginning to go up. Interest rates are staying stable (almost at the 1940 levels) and lending continues to lead the way for the first time buyers!!! Foreclosures are not swamping the market as the banks are holding off on foreclosing due to the TARP funds distribution to banks. They have to try to get the homeowners to stay in the home rather than foreclose. The short sales are up but for the most part, it is a long, drawn out process and one that ties up your money and your patience. One that can ultimately end with your contract being withdrawn, the home going to foreclosure and you losing the opportunity you had on other homes.
Before you buy or put your home on the market, please call me so we can discuss how to do so to get the most home for your dollar or the most for your home sale.
Thanks and keep coming back as I will up date this every few days.