SPRINGFIELD (February 11, 2010) According to the Capital Area Association of REALTORS (CAAR) sales of existing-homes (including single-family, townhomes and condominiums) increased during the fourth quarter as did the median home sale price.

There were a record 945 homes sold during the fourth quarter of 2009, reflecting a 36.6 percent increase over the 2008 fourth quarter home sales of 692. For 2009 there were 3,717 home sales in the Capital area reflecting an increase of 6.6 percent over the 3,488 sales recorded in 2008. The Capital area median existing single-family home sale price for the fourth quarter of 2009 was $107,500, reflecting a 13.2 percent increase over the prior year’s fourth quarter price of $95,000. The median price for 2009 was $109,000, reflecting an increase of 4.8 percent over the 2008 price of $104,000. The median is the midpoint in the price range; half the homes sold cost more, half cost less.

CAAR President Linda Nelson, GRI, GREEN, e-PRO, SFR, said she is not at all surprised that Capital area home sales posted an all-time fourth quarter high. “The ideal mix of positive market conditions coupled with government incentives have provided the housing market with a very positive boost as we turn the corner into 2010,” said Nelson.

CAAR also released its year-end 2009 community profile. Fourteen of the seventeen communities profiled registered an increase in unit sales in 2009. While the city of Springfield laid claim to the largest number of home sales with 1,932 home sales in 2009, reflecting a 5.0 percent increase over the prior year, the village of Chatham was the only city in the region that boasted record sales. Chatham’s 300 home sales in 2009 reflect the highest total on record for the village and an 11.0 percent increase over the prior year. The 95 home sales in the Sherman and Williamsville area reflect an increase of 14.0 percent over the prior year while the 90 home sales in the Rochester area during 2009 reflect an increase of 3.0 percent over the prior year.

Elsewhere, in Menard County the Petersburg area’s 86 home sales reflect a 21.0 percent increase over 2008. In Morgan County the Jacksonville area’s 255 home sales reflect a 7.0 percent decrease from 2008 while in Christian County the Taylorville area’s 201 home sales reflect a 7.0 percent increase over 2008.

The city of Springfield's 2009 median sale price of $108,500 for 2009 reflects a 7.8 percent increase over 2008. The Sherman and Williamsville area’s median price of $165,000 reflects a 9.0 percent decrease while the Rochester area’s median price of $168,000 reflects a 1.2 percent decrease. The Chatham area’s 2009 median price of $166,800 reflects a 4.9 percent increase over the prior year.

Elsewhere, in Menard County the Petersburg area 2009 median price of $124,300 reflects a 3.6 percent increase over the median price in 2008. In Morgan County the Jacksonville area median price of $87,500 reflects a 3.8 percent decrease from the prior year while in Christian County the Taylorville median price of $82,000 reflects a 11.6 percent increase over the prior year.

Total dollar volume of CAAR home sales in 2009 was $468.6 million reflecting a 8.2 percent increase over the $433.1 million in 2008.

The Federal Home Loan Mortgage Corp. reported that the national average commitment rate for 30-year, conventional, fixed-rate mortgages was 4.92 percent during the 4Q of 2009, down significantly from the 5.86 average rate during the 4Q of 2009. For 2009 the average rate was 5.04 percent which was nearly a full percent lower than the 6.03 percent the prior year.

“We anticipate a very busy first half of 2010 as individuals take advantage of the extended and expanded tax credit as well as rock bottom mortgage interest rates,” said Nelson.

The Capital Area Association of REALTORS® is the Voice for Real Estate in the Capital Area representing more than 700 members involved in all aspects of the real estate industry. The Capital Area’s Resource for Real Estate Information can be found at www.SeeHouses.com.

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