Market insights blog

When it comes to making a decision as to whether to sell your home or buy one, here are a few suggestions.

1)  Stay informed on what is happening in your local market rather than listening to national statistics.  2) Talk to local experts in building, lending, and real estate.  Get opinions from several of them vs. relying on just one. 3) If you have a house to sell, sell your home 1st before writing a contract on another.  This will put you in a much better negotiating position whether you are staying in the Charlottesville area or moving somewhere else.

Recently, Wintergreen Resort received not one but two accolades about their wonderful amenities.  Most know the resort, which is just 45 minutes from Charlottesville, as a wonderful place to ski and hike.  Because of this, it will come as no surprise that Wintergreen was once again named one of the best places to ski on the east coast.  What folks don’t know is Wintergreen is truly a four season vacation spot with golf, tennis, fishing, and hiking joining skiing as favorite activities.  This was confirmed last week when Wintergreen’s summer tennis camp was named one of the Top Ten in the country.  These are just a couple of reasons why folks enjoy the resort on day trips, weekend/vacation getaways, or buying a second/retirement home.  Visit www.wintergreenresort.com to learn more.

Like daffodils and crocus’ are a sign that spring is upon us, so are multiple contract offers an indication that there is an uptick in the real estate market.  Although Central Virginia April solds were down significantly compared to 2007, we have seen an increase in multiple offers on the same property.  It may not mean anything but hopefully it is a sign that sellers are getting more realistic with their pricing and with that happening, buyers are ready to buy.

As parents, we want to make sure our kids get a great education.  I have come across a great web site that provides great info on area schools.  Take a look at www.greatschools.net

Spring has sprung here in Central Virginia.  You can see it in the red buds, forsythia, cherry and pear trees, and the soon to be azalea blossoms.  The real sign came Wednesday night while playing softball at McIntyre Park.  Standing at 3rd base, I looked over ad saw the 1st ride coming in for the upcoming Carnival.  The Carnival made me realize the Dogwood Festival www.charlottesvilledogwoodfestival.org was right around the corner which really says Spring has arrived!  As I thought of this event it made me realize again how fortunate we are here in Charlottesville. Not only is it incredibly beautiful, there is so much to do.  The University of Virginia has events throughout the year but there is so much more.  The Festival of the Book www.vabook.org just ended with more that 20,000 people showing up for over 150 events.  Later this summer Greene County will sponsor a wonderful wine festival www.discovervirginia.net and not to be out done The Virginia Film Festival www.vafilm.org just announced the theme “Aliens”.  Check out these web sites and mark your calendars.  If you are not from around here, come and enjoy any or all of these events.  Be careful! You may find yourself not wanting to leave

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When a purchaser buys a home their are other costs (often called closing costs) that they will incur outside of their down payment, hazard Insurance, taxes, etc.  One can usually guess the closing costs will equal approximately 3% of the sale price of the home.  So, if the purchase price is $300,000 and the purchaser puts 10% down, they would need $30,000 plus about $9,000 in closing costs.  One way to reduce the $9,000 is to ask the attorney who is handling the paperwork to shop for the best rate in title insurance.  The savings could be in the 100’s of dollars.  When shopping for the best rate, make sure you are getting owners and lenders coverage and in most cases you want the title insurance to be enhanced.

The gap between the sellers price and what the buyers are willing to pay is finally shrinking.  It has taken almost 18 months for sellers to realize that the 2004 and 2005 prices are a thing of the past.  The good news is that when a seller gets their price right, there are buyers who are ready to make an offer.  In fact, we have recently seen and heard about homes once again getting multiple offers.  Pricing your home too high and waiting for the right buyer in my opinion, is a bad idea.  The longer it is on the market, the less chance you will even get an offer must less one with which you would be happy.  By you and your Realtor looking at the comps and then pricing it aggressively, you will have a much better chance of receiving an offer that will be acceptable to you.

The Spring home buying season is here in Charlottesville, VA. Before you venture out to view Charlottesville homes for sale, farms and land for sale, why not be prepared to take full advantage of your house hunting time. Take a look at these helpful tips which will make your house hunting trip more productive:

• Before we begin our home search, we will eliminate any Charlottesville properties that do not meet your search criteria. This includes homes that fail to meet your price range parameters, your requested number of minimum/maximum bedrooms and baths and any properties that do not match your Charlottesville property type.
• Wear the appropriate clothing and comfortable shoes while you are out and about previewing homes
• Limit the number of Charlottesville homes you preview during your house hunting trip to 6 or 8 Albemarle County properties per day. Why? Because after the sixth property, all properties begin to blend together and it’s difficult to remember the unique features of each property you have visited.
• Remember each property you view by maintaining a notebook of the Charlottesville properties you’ve seen. I also recommend you take notes on each property to track property features, likes, dislikes and other valuable feedback. To help you remember each home’s features, bring along a video camera or digital camera to document each property.
• Never go house hunting on an empty stomach. I will supply plenty of drinking water especially during warmer weather.
• If you have small children, it might be a good idea to hire a sitter during your initial house hunting trip. Once you have narrowed down which homes deserve a second look, then bring your children along to include them in the experience.
• Be sure to consider the amenities of the neighborhood or area. Remember - you’re not just buying a home, you’re also buying the area and the lifestyle it conveys.

What other Charlottesville house hunting tips would you add to this list?

Happy House Hunting,

Brian Chase

Your Charlottesville Real Estate Resource

P.S. If you would like to know more about financing a Charlottesville home, be sure to read this post at the Charlottesville Real Estate Blog.

We all know that in most situations sellers are having to reduce the price of homes to get their property sold.  However, there is a silver lining.  Assume that a seller has to reduce their $400,000 home by 10% to get it sold and are interested in moving up to a $600,000 home.  Selling their home @ $360,000 on the face of it shows a $40,000 loss.  If you consider the $600,000 has to reduce by that same 10%, in actuality, there is a $20,000 positive difference in the two transactions.  In a strong market, the seller would have sold their home for $400K but they probably would have had to pay $600K for the home they want to purchase.  Â

If you are selling a home in today’s market, you will likely be presented with offers that have contingencies. One contingency typically tacked on by buyers is the one that makes the sale contingent on their selling their own home. There is also a financing contingency, which allows buyers a certain amount of time to get a loan commitment.

While these contingencies are perfectly proper, seller’s agents may suggest strategies for protecting their clients’ best interests. For instance, experienced agents know that sellers may counter with a kick-out clause, which allows them to continue showing the home and consider other offers.

When you list your home for sale, you and your agent must work as partners to ensure it sells as quickly as possible, and for the best price. Accepting the contract with some contingencies is part of the process and your Realtor should help you decide how to respond.

For more information, please call ROY WHEELER REALTY CO. Our reputation for hard work, diligence and unsurpassed service to our clients has stood the test of time throughout the Central Virginia area.