Charlottesville Real Estate Blog

Charlottesville Boasts 4^th Best Sales Year Ever

In our five county region, just over 1 billion dollars in real estate was sold in 2007. Last year will go down as the 4^th best year for real estate sales in our area. Despite all the negative media, Charlottesville was able to perform. First, we will look at the number of sales in 2007 compares to the last five years.

Number of Sales

There were 3,560 homes sold in 2007, down 835 from 2006. From this data, 2007 has returned to just above the level set in 2003. At the time, 2003 was a banner year in this market; now 2003 is the 5^th best year in our market.

Median Sales Prices

Next, we will look at Median Sales Prices. The median is the middle number in a given sequence of numbers. Simply put, this is the middle of what buyers were willing to pay each year. Overall, the median price rose $6,950 (+2.6%). Albemarle (-3.1%) and Nelson (-4.6%) were down slightly, but all other areas were up for the year. Other area increases were modest – Fluvanna (+3.4%), Greene (+6.7%), and Louisa (+6.5%). Since 2002, the Median Sales Price has risen over time.

Average Home Sale Prices

Finally we will look at the Average Home Sale Prices in our area. Overall the Average Sale Price rose. Albemarle (-3.9%), Louisa (-4.7%) and Nelson (-2.1%) fell slightly, but the other areas were up for 2007. Surprisingly, Charlottesville (+11.8%) rose significantly while Fluvanna (+1.5%) and Greene (+.76%) rose slightly.

Conclusion

Based on the numbers we have looked at today, the average homeowner has had the ability to make a significant amount of money over the last 5 years, even if the 2007 market has struggled a little bit to maintain with 2004, 2005, and 2006. For example, the median price of a home in Albemarle County in 2002 was $226,000 and the average price was also $226,000. Because real estate appreciates, that same home could have been sold for a considerable profit in 2007 with the median price at $310,000 and the average price at $407,441. That's almost a $200,000 dollar increase in average price in 5 years just for owning a home. There is more good news for sellers; homes that were priced correctly in 2007 sold in less than 63 days. For buyers, interest rates are staying low, and based on the numbers we looked at today, are in a great position to increase their standard of living over time by buying a home.