The number of homes sold varied in the Charlottesville region in May, according to the Long & Foster Market Minute report. Greene County had a huge uptick with a 37% increase while Nelson County increased by 23%. Median sale prices also varied across the area with the City of Charlottesville exhibiting a 19% rise followed by Fluvanna County with a 12% increase. Inventory continued falling with decreases ranging from 6% to 30%. 

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.

“Inventory continues to shrink everywhere, especially in the Charlottesville area,” said Larry “Boomer” Foster, president of Long & Foster Real Estate. He said even though the inventory of available homes continues to decline, in many areas median sale prices are rising or falling by single digits.   

The real estate market is looking healthy though. “There’s a ton of competition and 30-year fixed rates are the lowest they’ve been in two years, so affordability is pretty strong,” Foster said. He noted that we seem to be involved in a later spring real estate season than normal, with the market holding strong and steady where it would have slowed down in the past. Due to the challenges faced in January and February, Foster expects June and July to remain high in terms of pending contracts.  

Addressing the recent resurgence in home flipping, Foster said, “Home flipping is an attractive option for people to make quick money. As long as home prices continue to appreciate it’s going to continue to be a trend.” 

Something that has caused home flipping to increase is the popularity of iBuyers – real estate companies that buy homes directly from the seller. They allow a homeowner to sell their property quickly without the need to make modifications or get it show ready. While this is a model where they can make significant margins, Foster cautions that they normally offer 9% to 20% less than the market value of a home. 

Foster also addressed the rise in mortgage closing scams in which criminals contact homebuyers by email in an effort to have them wire their funds for closing costs and down payment to a fraudulent account. He said when any transaction involves a significant amount of money, consumers need to double-check with their agent or financial institution. “People just need to be aware and reach out to their agent directly if they are unsure about anything involving their transaction or receive email instructions to wire funds,” Foster said. The Consumer Financial Protection Bureau has more information about protecting yourself. 

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.