Be careful to pay attention to what you read. It was recently reported that Fannie Mae foreclosures were up 12% in the second quarter – loan modifications that are 30 – 59 days late are up 2.19% – deeds in lieu of foreclosure and short sales are up 27% – there is “frailty” in the housing market and on and on.
Well, as the cops say in the movie Hangover – not up in here, that’s right, not up in here! In Prince William County, the average sales prices of properties are up to $255,000 from $229,000 in August of 2010 versus 2009 numbers – this reflects an increase of 12.46%. And the average days on the market are down to 44 from 63 – a decrease of 30%. This is great news but wait, there’s more. In Loudoun County property prices are up to $378,000 from $344,000 from August 2009 to August 2010 – an increase of 8% and the average days on market are down from 65 to 52 – a decrease of 20%. The story of good news continues for Fairfax County as well – average sales prices are up to $417,000 from $381,500 – an increase of 8.6% and the average days on market are down to 52 from 61 – a decrease of 15%. The City of Alexandria and other localities here in the Washington area are experiencing similar results.
The government has release nearly $1,000,000,000 to states for their Neighborhood Stabilization Program. This program was introduced to bring stabilization to neighborhoods that have been affected by foreclosures and abandonment. As a result of this program, Virginia received $6,254,000 (mainly for the Hampton Roads area and Richmond) a relatively low number compared to Florida who received over $208,000,000 and California who received over $149,000,000. Again, this is good news for the Northern Virginia real estate market.
The bottom line is that we will be having more foreclosures coming on the market and short sales will continue to be present in our market place as well. But, the good news is we are seeing that the distressed market is having less of an impact on our market than the rest of the country. Our market is strong compared with the rest of the country – people are still moving here and houses are selling with price increases over last year’s numbers. Know the facts and make it happen! Get it? Got it? Good!
Now, go sell something!