SPRINGFIELD (March 22, 2010) Unit home sales for single-family homes increased while the median home sale price decreased in the Capital Area during February 2010, according to the Capital Area Association of REALTORS (CAAR).

For the month of February 2010, the median home sale price (for all single-family homes and condominiums) was $97,500, a decrease of 1.3 percent from the February 2009 price of $98,800. “While our median sale price dipped a bit this month there is no real concern given that the general trend is positive,” said REALTOR Linda Nelson, GRI, GREEN, e-PRO, SFR president of the Capital Area Association of REALTORS. The year-to-date median sale price through February of 2010 was 102,000, reflecting an increase of 7.4 percent from the same period in 2009. The median is a typical market price where half the homes sold for more, half sold for less.

According to CAAR, total sales were up 10.1 percent in February 2010 to 218 homes as compared to 198 homes sold in February 2009. “Although February home sales mark the ninth monthly year-over-year increase in a row these numbers are low by historic standards and are reflective of 2002 levels. February home sales were probably somewhat impacted by the particularly cold winter we experienced,” said Nelson. Year-to-date homes sales through February of 2010 totaled 385, reflecting a 6.9 percent increase over the 360 sales in February of 2009.

“With a mere 39 days remaining to take advantage of the up to $8000 tax credit for first-time homebuyers and the up to $6,500 tax credit for long-time homeowners the clock is ticking. REALTORS are extremely busy assisting homeowners in navigating the home selling process and, at the same time, are assisting buyers in the tedious process of negotiating with sellers in an effort to assist them in getting a purchase contract in place by the April 30th deadline.

“It’s never been more important than now to work with a REALTOR, the local market professional, to properly gauge local neighborhood conditions. REALTORS have access to the most up-to-date and comprehensive property listing and sales information making them a buyer’s best resource in finding them a home that is right for them”, said Nelson.

After closing the year out in 2009 with 1,362 active listings, the lowest level in over five years, inventory rose gradually to 1,392 listings at the end of January and up to 1,417 listings at the end of February. With 1,447 listings on the market today inventory continues to remain tight with a 4.6 month supply based on the average monthly sales rate.

According to Nelson, it is worth noting that the home selling process has accelerated. “The typical home was on the market an average of 100 days in February 2010 reflecting a 20 percent decrease from the 120 days during February of 2009. This is a good trend and one that is indicative of the tight inventory conditions that exist. This trend will likely continue, at least in the short term, as homebuyers hurry to meet the April 30th deadline,” said Nelson.

The Federal Home Loan Mortgage Corp. reported that the national average commitment rate for 30-year, conventional, fixed-rate mortgages was 4.99 percent in February 2010, down slightly from the 5.13 average rate during February of 2009.

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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