The median sale price of homes rose in many parts of the Charlottesville region in July, according to the Long & Foster Real Estate Market Minute report. While Buckingham County and Nelson County showcased declines, the rest of the region had price increases ranging from 5% to 13%. Units sold also increased throughout most of the region, including a 50% increase in Buckingham County and a 31% increase in Albemarle County. Inventory fell in most of the region with Nelson County exhibiting the largest decline of 17%, followed by Fluvanna County with an 11% fall. 

Long & Foster Real Estate’s Market Minute report for the Charlottesville region includes the City of Charlottesville and Albemarle, Buckingham, Nelson, Fluvanna and Greene counties.

 

“There are several regions that show some positive numbers with units sold, including Charlottesville,” said Long & Foster Real Estate President Larry “Boomer” Foster. With inventory continuing to contract, it should point towards units sold going down in some places, however increases may be “a reflection of interest rates coming down so dramatically in July and into August.” 

Foster pointed out that though inventory is so low, there is not a significant rise in home prices. This is not home price appreciation as some speculate, but rather the result of the type of inventory that’s selling. “You’re seeing lower-priced, smaller attached homes, condos and vertical living selling more than bigger, higher-priced estate homes,” Foster said, which is why increases in median sale prices are in the low to middle single-digits. 

The current state of the U.S. economy is on a lot of people’s minds, specifically the inverted yield curve. Foster emphasized how an inverted yield curve does not always lead to a recession, as many seem to believe, citing the dot-com boom as an example.  

The current economic climate is very strong in the U.S., with unemployment rates and interest rates being low. If a recession is forthcoming it would not be because of what led to past recessions. The last recession in 2008 was caused by mortgage-backed securities that gave out loans to people who would not be able to pay them back. 

Selling a home is different today than it was in the past. When it comes to buying a home “buyers don’t have the vision or inclination to do work to the home after they get into the home,” Foster said. Most buyers want move-in ready homes and don’t want to have to spend more money or time renovating, so Foster recommends consumers complete minor renovations on their home before selling. It’s important to get a good real estate agent who will tell you what you need to do to get your home ready to be sold, he said. 

To learn more about your local market conditions, visit Long & Foster’s Market Insights. You can also learn more about Long & Foster and find an agent at LongandFoster.com.