When analyzing six major zip codes in our region – 28403, 28405, 28409, 28411, 28412 and 28451 – all had an average sold price increase of 2.9% to 17.9% over 2nd quarter 2011. Only one zip code had an increase in the list to sales price ratio for 3rd Quarter, while five had a slight decrease from 2nd quarter 2011. Sellers in 28451 got about 97.4% of their asking price while those in 28403 only got 92.9% of their asking price.

All six zip codes had an increase in average list price from 3.8% to 16.3%. Concessions offered to buyers are now offered in 24% to 38% of the transactions in 3rd Quarter 2011. Our median sales price for 4 zip codes reflects an increase from 4.2% to 9.7%.

Our overall average days on the market increased for three zip codes from 146 days to about 185 while 28405 and 28411 had an average decrease of 15 days. Zip code 28412 had an average decrease of 3 days. Just four zip codes had an increase in units over 2nd Quarter 2011.

Evaluating the growth within these six major zip codes, an average of the zip codes shows for the third quarter of 2011:

•  Our average sales price has increased by 6.7% from 2nd Quarter 2011.
•  Of the 688 sellers in 3rd Quarter – 34.3% paid some sort of concession toward the purchase of the house.
•  Our list to sales price ratio for 3rd Quarter is 94.8% an increase from 93.9% for 1st Quarter 2011.
•  The average list price of the sold properties is $256,239 and is up 7.3% from 2nd Quarter 2011.
•  The average number of days a property remained on the market for 3rd Quarter was 152 days, compared to 144 days for 2nd Quarter 2011.
•  The median sold price of $183,625 for 3rd Quarter has increased 4.9% from 2nd Quarter 2011.

Over the last couple of years an analysis of six major zip codes – 28403, 28405, 28409, 28411, 28412 and 28451 was conducted.  The areas of focus are:

•  Selling Price – The price the seller accepts for his or her house.
•  Sellers Concessions – The amount of money a seller of a house contributes toward the buyers purchase.
•  List to Sales Price Ratio – The difference between the list price and the selling price shown as a percentage.
•  Days on Market – The number of days a house remains for sale, from the listing date to the date the property is placed under contract.
•  List Price – The amount of money a home is listed on the market.
•  Median Price – The middle price of all the properties sold in the given time period.

3rd Quarter 2011            28403 Zip Code

•    The average selling price of $198,995 has increased 5.5% from 2nd Quarter 2011 average selling price of $188,703.
•    24% of sellers paid a concession compared to 32% in 2nd quarter 2011. The best of all the zip codes.
•    The average list price of $214,048 for 3rd Quarter has increased 7.4% over 2nd Quarter 2011 average list price of $199,355.
•    The average number of days a property remained on the market for 3rd Quarter was 185 days compared to 152 days for 2nd Quarter 2011.
•    The median sold price of $152,000 for 3rd Quarter has decreased 6.5% from 2nd Quarter 2011.
•    Sold homes in 3rd Quarter received 92.9% of the asking price, a decrease from 94.6% for 2nd Quarter 2011.

3rd Quarter 2011            28405 Zip Code

•    The average selling price of $306,887 has increased 17.9% from 2nd Quarter 2011 average selling price of $260,313. The best of all the zip codes.
•    33% of sellers in 3rd Quarter paid a concession compared to 27% for 2nd Quarter 2011.
•    The average list price of $328,307 for 3rd Quarter has increased 16.3% from 2nd Quarter 2011 average list price of $282,317. The best of all the zip codes.
•    The average number of days a property remained on the market for 3rd Quarter was 153 days compared to 168 days for 2nd Quarter 2011.
•    The median sold price of $181,000 for 3rd Quarter has increased 9.7% from 2nd Quarter 2011. The best of all the zip codes.
•    Sold homes in 3rd Quarter received 93.4% of the asking price, an increase from 92.2% for 2nd Quarter 2011.

3rd Quarter 2011            28409 Zip Code

•    The average selling price of $275,951 has increased 2.9% from 2nd Quarter 2011 average selling price of $268,049.
•    38% of sellers in 3rd Quarter paid a concession compared to 27% in 2nd Quarter 2011.
•    The average list price of $291,370 for 3rd Quarter has increased 3.8% over 2nd Quarter 2011 average list price of $280,576.
•    The average number of days a property remained on the market for 3rd Quarter was 167 days compared to 140 days for 2nd Quarter 2011.
•    The median sold price of $240,260 for 3rd Quarter has increased 4.8% from 2nd Quarter 2011.
•    Sold homes in 3rd Quarter received 94.7% of the asking price, a decrease from 95.5% from the 2nd Quarter 2011.

3rd Quarter 2011            28411 Zip Code

•    The average selling price of $292,563 has increased 4.3% over 2nd Quarter 2011 average selling price of $280,456.
•    38% of sellers in 3rd Quarter paid a concession compared to 38% in 2nd Quarter 2011.
•    The average list price of $310,570 for 3rd Quarter has increased 4.9% over the 2nd Quarter 2011 average list price of $295,959.
•    The average number of days a property remained on the market for 3rd Quarter was 132 days compared to 147 days for 2nd Quarter 2011. The best of all the zip codes.
•    The median sold price of $205,000 for 3rd Quarter has decreased 10.4% from 2nd Quarter 2011.
•    Sold homes in 3rd Quarter received 94.2% of the asking price, a decrease from 94.7% for 2nd Quarter 2011.

3rd Quarter 2011            28412 Zip Code

•    The average selling price of $176,618 has increased 4.2% over 2nd Quarter 2011 average selling price of $169,420.
•    36% of sellers in 3rd Quarter paid a concession compared to 35% in 2nd Quarter 2011.
•    The average list price of $183,000 for 3rd Quarter has increased 4.2% over the 2nd Quarter 2011 average list price of $175,362.
•    The average number of days a property remained on the market for 3rd Quarter was 141 days compared to 144 days for 2nd Quarter 2011.
•    The median sold price of $156,250 for 3rd Quarter has increased 4.2% from 2nd Quarter 2011.
•    Sold homes in 3rd Quarter received 96.5% of the asking price, a decrease from 96.6% for 2nd Quarter 2011.

3rd Quarter 2011            28451 Zip Code

•    The average selling price of $204,052 has increased 4.7% from 2nd Quarter 2011 average selling price of $194,803.
•    33% of sellers in 3rd Quarter paid a concession compared to 36% in 2nd Quarter 2011.
•    The average list price of $209,499 for 3rd Quarter has increased 5.1% over the 2nd Quarter 2011 average list price of $199,419.
•    The average number of days a property remained on the market for 3rd Quarter was 146 days compared to 114 days for 2nd Quarter 2011.
•    The median sold price of $179,000 for 3rd Quarter has increased 8.6% from 2nd Quarter 2011.
•    Sold homes in 2nd Quarter received 97.4% of the asking price, a decrease from 97.6% for 2nd Quarter 2011. The best of all the zip codes.

We continue to see limited growth in our market. Our third quarter shows growth in average sales price and median sales over last quarter. On a national basis, our current annualized pace is at 5.0 million units, several improving factors on a national as well as local basis are:

•    Job creation (though slowly – 103,000 reported nationally as of October 4th)
•    Stock market recovery from 2008
•    Rising rents and larger pool of qualified renters
•    Buyers want distressed properties – buying at deep discounts
•    International buyers cashing in on the weakened dollar
•    Smart money chasing real estate
•    Mortgage rates at historic low levels

All of this makes now the most opportune time to purchase a home. Contact your REALTOR® today!

An analysis of information from the Wilmington Regional Association of REALTORS® Incorporated, for the period January 1, 2005 through September 30, 2011 – data pulled on October 14, 2011. Average sold numbers for specific neighborhoods within each zip code can be higher or lower than these stated averages. It is highly recommend that you consult a REALTOR® to determine how these numbers specifically relate to your neighborhood.

2011 is going to be an exciting year for our local real estate market. During the fourth quarter of 2010, our residential market showed significant signs of improvement over year-end 2009. This is an extraordinary sign that the market is stabilizing which will offer many potential homeowners and REALTORS® reason to continue being optimistic heading into the rest of this year.  

While analyzing the growth within these six major zip codes in our region – 28403, 28405, 28409, 28411, 28412 and 28451, an average of the zip codes shows:

   • Our average sales price had an increase of 3.2% from year-
   end 2009.
   • Of the 2,587 sellers in 2010, 28.4% paid some sort of concession
   toward the purchase of the house.
   • Our list to sales price ratio for 2010 was 94.65%, a slight decrease
   from 95.12% for year-end 2009.
   • The average list price of the sold properties was $260,379,
   up 3.7% from year-end 2009.
   • The average number of days a property remained on the market
   for 2010 was 123 days, compared to 132 days for year-end 2009.
   • The median sold price of $195,000 for 2010 was an
   increase of 2.7% from year-end 2009.

The areas of focus in this analysis were: 

   • Sellers Concessions – The amount of money a seller of a house
   contributes toward the buyers purchase.
   • List Price – The amount of money a home is listed on the market.
   • Selling Price – The price the seller accepts for his or her house.
   • Days on Market – The number of days a house remains for sale,
   from the listing date to the date the property is placed under contract.
   • List to Sales Price Ratio – The difference between the list price
   and the selling price
   shown as a percentage.

Year-End Average Selling Price Chart – 2009 vs. 2010

 
28403 Zip Code

• The average selling price of $210,977 increased .8% from year-end 2009 average selling price of $209,290.
• 22% of sellers in 2010 paid a concession compared to 16% in year-end 2009.
• The average list price of $228,082 for 2010 increased 1.9% over year-end 2009 average list price of $223,749.
• The average number of days a property remained on the market for 2010 was 135 days, compared to 142 days for year-end 2009.
• The median sold price of $166,000 for 2010 decreased 2.0% from year-end 2009.
• Sold homes in 2010 received 92.5% of the asking price, a decrease from 93.5% year-end 2009.

28405 Zip Code

• The average selling price of $276,251 increased 10.5% from year-end 2009 average selling price of $250,111. The best of all the zip codes.
• 28% of sellers in 2010 paid a concession compared to 22% for year-end 2009.
• The average list price of $298,717 for 2010 increased 12.3% from year-end 2009 average list price of $265,960. The best of all the zip codes.
• The average number of days a property remained on the market for 2010 was 136 days, compared to 138 days for year-end 2009.
• The median sold price of $175,000 for 2010 decreased 2.8% from year-end 2009.
• Sold homes in 2010 received 92.4% of the asking price, a decrease from 94.0% for year-end 2009.

28409 Zip Code

• The average selling price of $290,323 decreased .3% over year-end 2009 average selling price of $291,089.
• 19% of sellers in 2010 paid a concession compared to 19% in year-end 2009. The best of all the zip codes.
• The average list price of $310,292 for 2010 decreased .7% over year-end 2009 average list price of $312,455.
• The average number of days a property remained on the market for 2010 was 130 days, compared to 133 days for year-end 2009.
• The median sold price of $237,000 for 2010 increased .9% from year-end 2009.
• Sold homes in 2010 received 93.5% of the asking price, an increase from 93.1% for year-end 2009.

28411 Zip Code

• The average selling price of $295,135 increased 3.4% over year-end 2009 average selling price of $285,407.
• 33% of sellers in 2010 paid a concession compared to 22.0% in year-end 2009.
• The average list price of $310,732 for 2010 increased 1.7% over the year-end 2009 average list price of $305,422.
• The average number of days a property remained on the market for 2010 was 113 days, compared to 126 days for year-end 2009. The best of all the zip codes.
• The median sold price of $223,000 for 2010 increased 3.7% from year-end 2009. The best of all the zip codes.
• Sold homes in 2010 received 94.9% of the asking price, an increase from 93.4% for year-end 2009.

28412 Zip Code

• The average selling price of $192,063 decreased .9% over year-end 2009 average selling price of $193,872.
• 31% of sellers in 2010 paid a concession compared to 27% in year-end 2009.
• The average list price of $201,121 for 2010 decreased .8% over the year-end 2009 average list price of $202,816.
• The average number of days a property remained on the market for 2010 was 116 days, compared to 139 days for year-end 2009.
• The median sold price of $165,000 for 2010 decreased 5.7% from year-end 2009.
• Sold homes in 2010 received 95.50% of the asking price, a decrease from 95.59% for year-end 2009.

28451 Zip Code

• The average selling price of $217,300 decreased .5% over year-end 2009 average selling price of $218,553.
• 32% of sellers in 2010 paid a concession compared to 31% in year-end 2009.
• The average list price of $221,983 for 2010 decreased .3% over the year-end 2009 average list price of $222,802.
• The average number of days a property remained on the market for 2010 was 113 days, compared to 124 days for year-end 2009.
• The median sold price of $190,060 for 2010 increased 3.6% from year-end 2009.
• Sold homes in 2010 received 97.8% of the asking price, an decrease from 98.0% for year-end 2009.  The best of all the zip codes.

Summary

During 2010, we experienced a positive increase in the average sold price compared to 2009 by 3.2%. We also had an increase of 2.4% in the number of homes sold over 2009. 

Three of the zip codes we analyzed had average sold price increases from .8% to 10.5% over year-end 2009 while the other three zip codes had average sold price decreases from .3% to .9%. This is excellent progress for our local market; the three zip codes that had price decreases were all less than 1.0%. One year ago, we were looking at decreases of 9.9% to 24.2% for these different zip codes. Only two zip codes had an increase in the list to sales price ratio for the 2010 while four had a slight decrease from year-end 2009. Three zip codes had an increase in average list price from 1.7% to 12.3% over year end 2009.

Concessions offered to buyers were offered in 19% to 33% of the transactions in 2010. Our median sales price for 2010 ($195,000) reflects a gain of 2.7% from year-end 2009 ($189,900). Our overall average days on market was 123 days, a decrease of 9 days from year-end 2009. Sellers in 28451 got about 97.8% of their asking price while those in 28405 only got 92.4% of their asking price. Four zip codes had an increase in units sold over 2009.

The last two years will be looked at as the years in which our market bottomed out and started to stabilize. 2011 presents us with a housing opportunity that makes it the most affordable in generations. Contact a REALTOR® today to help you take advantage of this once in a lifetime opportunity. Now might be your best chance ever to achieve the American dream of homeownership.

An Analysis of information from the Wilmington Regional Association of REALTORS® Incorporated, for the period Jan. 1, 2005 through December 31, 2010 – data pulled on January 17, 2011.

As a result, Murphy is advising investors to buy now for these three reasons:

• Desperate sellers: Both home owners and lenders are eager to unload a flood of foreclosed and underwater properties. Buyers with the patience to push through these complex deals can save a bundle.

• Little competition. Because most people don’t have what it takes to negotiate their way through short sales and REOs, patient investors are winners.

• Low rates. Mortgage rates are at their lowest level in 40 years. If you believe inflation is inevitable, lock in now.

(Source: MarketWatch, Michael Murphy 08/19/2010)

Gardening is one of the easiest do-it-yourself ways improve your home’s value and appeal. If you can use a shovel, turn on a hose and prune off dead flowers, you already have the basic skills down. Nevertheless, gardening still requires some difficult judgment calls. Here are some general guidelines and tips to prevent you from making novice mistakes.

Be Patient

For many people, the excitement of buying a home coupled with several days of beautiful weather can create a lot of enthusiasm for doing yard work. That’s a great thing; however, you should be very cautious not to go overboard by jumping into major landscape changes like moving trees and shrubs. The tree you move or vines you get rid of could end up blossoming into a gorgeous part of your yard with the right care.

• Advice: Don’t make any major changes for one full year so you can observe it during all four seasons.

Don’t Plant Too Close Together

After purchasing several young trees, shrubs and perennials, you should plant them in a nice pattern. However, if the spacing looks proper now, they’re probably actually way too close together.

In most cases, the immature plantings will grow into each other in a few years and struggle to compete for sun, water and soil nutrients. You’ll then either have to transplant or possibly throw them away.

• Advice:  Follow the spacing requirements on the plant label—even though the results might look ridiculously sparse at first. If you’re still unsure about how much a particular plant will grow, you should consult your local gardening store or experts where you purchased the plant.

Create a Planting Plan

Creating new flower beds without a long-term landscape plan is like building an entire house without considering your needs three years from now. Doing so increases your chances that you’ll have to undo your efforts in the near future.

• Advice:  Sketch out a simple, aerial view drawing of your yard and figuring out the general location of any future construction—additions, decks, outbuildings, pools—so you can plant around those areas.
One resource you should explore to help you with your planting design is your local nursery or home improvement store. Another option is to hire a landscape designer that’s familiar with your area to create a starter plan.

Don’t Neglect the Root Ball

Even the hardiest plants need a little help getting their roots established in their new locations. Simply turning on the sprinkler every day or soaking the plant is not sufficient enough to ensure that they get the adequate amount of nutrients and hydration. You must get the proper amount of water to a plant’s nerve center—the root ball below ground—or your plant’s days are number.

• Advice:  Deep water your plants by placing a hose near the root ball and setting the water to a trickle for about 20 to 30 minutes per plant. During hot, dry spells, you should do this about twice a week for the first 4 to 12 weeks of the plant’s life. Choosing the right irrigation system can also help with this task while saving water.

Be Aware of Sun Conditions

So many people choose plants solely on looks—not the growing conditions they need. These conditions are almost always indicated on a label wrapped around the trunk or a marker pressed into the soil. Putting a sun-loving perennial under a dense tree or something that likes partial shade out in full-day sunshine could cause the plant to die within a week.

• Advice:  Monitor the place you want the plant to go and estimate the amount of sun it gets over the course of a full day during the growing season. On plant labels, this may be display as follows:
                Full Sun – 6 Hours Per Day or More
                Part Sun/Part Shade – 3 to 5 Hours Per Day 
                Shade – Less Than 3 Hours Per Day 
                                
 Learn to Use Your Irrigation System Properly

The luxury of an automatic irrigation system allows you to keep your yard well-hydrated throughout the growing season with little effort. Unfortunately, if not properly set, it can also promote diseases, root rot and a faster death for your plants.

• Advice:  In general, watering for longer intervals—40 to 60 minutes total only two to three times a week – is the widely accepted standard. Check with the company that maintains your irrigation system for local recommendations as this can drastically vary based upon the composition of your soil. This is especially true in coastal areas like Southeastern North Carolina where the soil base is very sandy and porous. This may require a shorter interval, but higher frequency.

Budgeting for Landscaping During Construction Projects

Whether you’re building a house or an addition, be aware of the heavy equipment such as bulldozers or trucks that might park on the lawn. This will damage the grass, trees, and shrubs. The new building design will also probably call for new plantings.

On many occasions, homeowners don’t often include money in their budgets for this work. Then they end up with a beautiful new screened porch with only a few azaleas thrown in around the foundation as an afterthought.

• Advice:  Landscaping should be factored in as 10 to 20 percent of your construction budget. Plan to spend that money as soon as possible after the construction job is complete to ensure the project gets completed.

To learn more ways to boost your home’s value or about other important homeowner topics, contact a REALTOR® today. REALTORS® are highly skilled real estate professionals that can assist you with any aspect of homeownership whether buying, selling or just protecting your investment.

Further analyzing the growth within the five major Wilmington zip codes, our average sales price has decreased 9.6% from 4th quarter 2008, and increased 5.3% from 3rd quarter 2009. When we look at the median sales price, we have a 12.0% decrease over 4th quarter 2008 and a .03% decrease over 3rd quarter.

•  Sellers received 94.3% of the asking price in 4th quarter 2009, compared to 93.6% for 4th quarter 2008.
•  4th quarter 2009 had an increase in the number of sold homes by 34.5% from 4th quarter 2008.

Over the last couple of years, an analysis of five Wilmington zip codes – 28403, 28405, 28409, 28411, and 28412 was conducted.  The areas of focus were: 

•  Sellers Concessions – The amount of money a seller of a house contributes toward the buyers purchase.
•  List Price – The amount of money a home is listed on the market.
•  Selling Price – The price the seller accepts for his or her house.
•  Days on Market – The number of days a house remains for sale, from the listing date to the date the property is placed under contract.
•  List to Sales Price Ratio – The difference between the list price and the selling price shown as a percentage.

2008 4th Quarter Average Selling Price vs. 2009 4th Quarter Average Selling Price

4th Quarter 2009                               28403 Zip Code

•  The average selling price, of $204,758 has decreased 14.7% from 4th quarter 2008 average selling price of $239,948.
•  17.9% of sellers in 4th quarter paid a concession, compared to 11.8% in 4th quarter 2008.
•  The average list price of $221,351 for 4th quarter has decreased 18.1% over 4th quarter 2008 average list price of $270,202.
•  The average number of days a property remained on the market for 4th quarter was 125 days, compared to 119 days for 4th quarter 2008.
•  The median sold price of $166,250 for 4th quarter has decreased 18.1% from 4th quarter 2008.
•  Sold homes in 4th quarter received 92.5% of the asking price, an increase from 88.8% 4th quarter 2008.

4th Quarter 2009                               28405 Zip Code

•  The average selling price, of $235,815 has decreased 24.2% from 4th quarter 2008 average selling price of $311,190.
•  23.6% of sellers in 4th quarter paid a concession, compared to 11.7% for 4th quarter 2008.
•  The average list price of $248,213 for 4th quarter has decreased 25.3% from 4th quarter 2008 average list price of $332,122.
•  The average number of days a property remained on the market for 4th quarter was 130 days, compared to 114 days for 4th quarter 2008.
•  The median sold price of $169,500 for 4th quarter has decreased 15.9% from 4th quarter 2008.
•  Sold homes in 4th quarter received 95.0% of the asking price, a increase from 93.7% for 4th quarter 2008.

4th Quarter 2009                               28409 Zip Code

•  The average selling price, of $274,895 has decreased 16.5% over 4th quarter 2008 average selling price of $329,333.
•  19.8% of sellers in 4th quarter paid a concession, compared to 11.3% in 4th quarter 2008.
•  The average list price of $291,092 for 4th quarter has decreased 17.6% over 4th quarter 2008 average list price of $353,302.
•  The average number of days a property remained on the market for 4th quarter was 136 days, compared to 138 days for 4th quarter 2008.
•  The median sold price of $225,000 for 4th quarter has decreased 12.6% from 4th quarter 2008.
•  Sold homes in 4th quarter received 94.4% of the asking price, a increase from 93.2% for 4th quarter 2008.

4th Quarter 2009                               28411 Zip Code

•  The average selling price, of $295,270 has increased 10.9% over 4th quarter 2008 average selling price of $266,349.
•  23.9% of sellers in 4th quarter paid a concession, compared to 22.0% in 4th quarter 2008.
•  The average list price of $315,548 for 4th quarter has increased 13.9% over the 4th quarter 2008 average list price of $276,923.
•  The average number of days a property remained on the market for 4th quarter was 109 days, compared to 110 days for 4th quarter 2008. 
•  The median sold price of $210,000 for 4th quarter has decreased 8.7% from 4th quarter 2008.
•  Sold homes in 4th quarter received 93.5% of the asking price, a decrease from 96.1% for 4th quarter 2008.

4th Quarter 2009                               28412 Zip Code

•  The average selling price, of $204,192 has decreased 9.9% over 4th quarter 2008 average selling price of $226,648.
•  35.3% of sellers in 4th quarter paid a concession, compared to 31.8% in 4th quarter 2008.
•  The average list price of $211,654 for 4th quarter has decreased 12.2% over the 4th quarter 2008 average list price of $241,127.
•  The average number of days a property remained on the market for 4th quarter was 134 days, compared to 111 days for 4th quarter 2008.
•  The median sold price of $183,000 for 4th quarter has decreased 1.1% from 4th quarter 2008.
•  Sold homes in 4th quarter received 96.4% of the asking price, a increase from 94.0% for 4th quarter 2008.

Summary

Our fourth quarter wrapped up the year with a positive increase in units compared to 4th quarter 2008 by 34.5%. A lot of these sales were driven by the original tax credit that was set to expire on November 30, 2009. By now, we are all aware that it was extended until April 30th, 2010. While we might have sold more homes, our average sold price from fourth quarter 2008 showed a 9.6% decline. Our current inventory of homes is high with over 13 months of supply.

Four zip codes had average sold price decreases from 9.9% to 24.2%, over fourth quarter 2008, while 28411 posted an increase of 10.9% in average sold price. Our list to sales price ratio for the 4th quarter 2009 is 94.38%, a slight increase from 93.61% for 4th quarter 2008. The average list price of the sold properties is $261,884 and is down 10.4% from 4th quarter 2008.
Concessions offered to buyers are now offered in 17.9% to 35.3% of the transactions in 3rd quarter 2009. Our median sales price for 4th quarter ($188,134) reflects a downturn of 12.2% from 4th quarter 2008 ($213,750).  Our overall average days on the market is 125, an increase of 7 days from 4th quarter 2008. Sellers in 28412 got about 96.4% of their asking price while those in 28403 only got 92.5% of their asking price. All five zip codes had an increase in units sold.

Last year will be looked at as the year in which our market bottomed out and started to stabilize. 2010 presents us with a housing opportunity that makes it the most affordable in generations. These are just some of the reasons that now is the time to buy:

1) The First Time Homebuyer Tax Credit has been extended and expanded to include repeat, move-up buyers.
2) We know our home prices are down at least 10% from 2008.
3) Foreclosures and Short Sales make for excellent buying opportunities.
4) Mortgage rates have reached historic lows.
5) We have a large housing inventory.

An Analysis of information from the Wilmington Regional Association of REALTORS® Incorporated, for the period Jan. 1, 2005 through December 31, 2009 – data pulled on January 17, 2010.

The Wilmington, N.C., housing market ended the year on a good note, despite the region’s tough economic times. Home sales rebounded from a slow start when a boost from the first-time home buyer tax credit kicked in. The buyers who took advantage of it accounted for 34% of home sales last year, says Mary Martin, president of the Wilmington Regional Association of Realtors.

Now that the tax credit has been extended and expanded to include repeat home buyers, agents hope it will keep sales moving. But beach property sales are still lagging: Loans are much stricter for vacation-home buyers and investors, Martin says.

HOUSING MARKET: Track the rise, fall and … rebound?

• Sales status. Last year, Wilmington home sales were down 16.2% compared with the previous year. But in the last quarter of the year, sales reversed. In December, sales were up 19.8% from December 2008. The improvement has raised hopes that the market has hit bottom and may be turning around, Martin says.

• Price points. The median price of houses sold was 5.6% less than a year earlier. Home foreclosures are declining. “Prices seem to be stabilizing, which is good,” Martin says.

New homes are being concentrated in the $200,000-to-$250,000 range, because those are selling, Martin says. The price range is not just desired by first-time home buyers: Older empty-nester couples are moving into such smaller homes, too.

• Local economy. The unemployment rate was 10.2% in November, slightly higher than the national rate of 10% at the time.

“We’ve been more hard hit with this downturn than any of the five that I’ve experienced as an economist,” says William Hall, professor of economics at University of North Carolina-Wilmington.

The real estate development industry in particular is suffering.

“That is more than just construction. It includes finance, insurance, real estate leasing, architects and others,” Hall says.

About three years ago, economic analysts estimated that one out of five people in southeastern North Carolina had a job related to real estate development. The numbers are closer to one in 10 now, Hall says.

• Hot ‘hoods. Wilmington is a historic port city. The downtown area has cobblestone streets, boutiques, restaurants and the Cape Fear Riverwalk. Many people love the historic charm, Martin says. And of late, more of them can afford to live downtown because condominiums have been built there.

The new buildings are not modern-looking on the outside, because the city requires them to fit in downtown. The price for a one-bedroom condo ranges from about $160,000 to $180,000, while a two-bedroom starts at about $200,000, Martin says.

(View original copy of article at: http://www.usatoday.com/money/economy/housing/closetohome/2010-02-08-Wilmington-Delaware-real-estate_N.htm)

You meet IRS income and homeownership rules.

You sign a binding contract by April 30, 2010.

You close on a home purchase by June 30, 2010.

There’s happy news for current homeowners: If you intend to sell your home and buy another in 2009 or 2010, you may be eligible for a federal tax credit of up to $6,500. The Extended Homebuyer Tax Credit legislation, passed in November 2009, also shares the wealth with first-time homebuyers—up to $8,000.

Are you eligible?
You’re considered a current homeowner under IRS rules if you’ve used the home being sold or vacated as a principal residence for five consecutive years within the last eight. You’re a first-time homebuyer if you or your spouse haven’t owned a home for the three years before your purchase. 

In both cases, keep in mind that the credit amount you’re eligible for begins to decrease for joint filers if your modified adjusted gross income is $225,000 ($125,000 for individuals); it disappears at $245,000 ($145,000 for individuals).

The ultimate amount of your credit depends on the price of the home and your income.

To claim your benefit:
Close on a new principal residence between Nov. 7, 2009, and April 30, 2010. You can settle as late as June 30, 2010, as long as you have a binding contract by April 30.

Don’t spend more than $800,000 on your new home.

When you submit your tax return, attach a copy of the settlement statement you received at closing. Check with the IRS or your tax adviser to confirm what additional documentation may be needed.

Decide whether to:

  •  Apply the credit to your 2009 tax return, filed on or before April 15, 2010,
  •  File an amended 2009 return; or
  •  Apply the credit on your 2010 return, filed on or before April 15, 2011.

First-timers who purchased a home between Jan. 1, 2009, and Nov. 6, 2009, may also be eligible for the $8,000. Keep in mind that the income limits in this case are tighter than for those who purchased after Nov. 6.

Apply the credit to your 2009 taxes
To claim the credit on your 2009 tax return:

  •  Complete IRS Form 5405 to determine the amount of your available credit.
  •  Apply the credit when you file your 2009 tax return or file an amended return.
  •  Attach documentation of purchase to your return or amended return.

Which properties are eligible?
You can apply the credit to primary residences, including single-family homes, condos, townhomes, and co-ops.

Do I need to repay the tax credit?
No, not if you occupy the purchased home for three years or more. However, if the property is sold during this three-year period, the full amount of the credit will be recouped on the sale.

This article provides general information about tax laws and consequences, but is not intended to be relied upon by readers as tax or legal advice applicable to particular transactions or circumstances. Readers should consult a tax professional for such advice, and are reminded that tax laws may vary by jurisdiction.

(Source: HouseLogic.com)

Analyzing the growth within Wilmington’s five major zip codes, our average sales price has decreased 8.9% over year end 2008 which is a decrease of .07% from last quarter. When we look at the median sales price, we had a 9.9% decrease over year-end 2008 which is a 3.5% decrease over last quarter.

• Sellers received 95.4% of the asking price in 2008, compared to 93.8% for 2nd Quarter 2009.
• 2nd Quarter 2009 had an increase in the number of sold homes by 58.1% from 1st Quarter 2009.

Over the last couple of years, an analysis of five Wilmington zip codes – 28403, 28405, 28409, 28411, and 28412 was conducted. The areas of focus were:  

• Sellers Concessions – The amount of money a seller of a house contributes toward the buyers purchase.
• List Price – The amount of money a home is listed on the market.
• Selling Price – The price the seller accepts for his or her house.
• Days on Market – The number of days a house remains for sale, from the listing date to the date the property is placed under contract.
• List to Sales Price Ratio – The difference between the list price and the selling price shown as a percentage.

2008 Year-End Average Selling Price vs.
2009 2nd Quarter Average Selling Price

2nd Quarter 2009 – 28403 Zip Code

• The average selling price of $228,909 has decreased 6.5% under the 2008 year-end average selling price of $244,932.
• 11.2% of sellers in 2nd quarter paid a concession compared to 16.5% in 2008. 
• The average list price of $245,395 for 1st quarter has decreased 7.1% over the 2008 year-end average list price of $264,105.
• The average number of days a property remained on the market for 2nd quarter was 166 days compared to 112 days for year-end 2008. 
• The median sold price of $182,938 for 2nd quarter has decreased 6.2% from year-end 2008.
• Sold homes in 2nd quarter received 93.2% of the asking price, an increase from 92.4% year-end 2008.

2nd Quarter 2009 – 28405 Zip Code

• The average selling price of $248,234 has decreased 16.2% over the 2008 year-end average selling price of $296,397.
• 31.7% of sellers in 2nd quarter paid a concession compared to 18.5% in 2008.
• The average list price of $264,079 for 2nd quarter has decreased 14.9% from the 2008 year-end average list price of $310,425.
• The average number of days a property remained on the market for 2nd quarter was 121 days compared to 109 days for year-end 2008.
• The median sold price of $186,500 for 2nd quarter has matched exactly $186,500 from year-end 2008.
• Sold homes in 2nd quarter received 94.0% of the asking price, a decrease from 95.5% year-end 2008.

2nd Quarter 2009 – 28409 Zip Code

• The average selling price of $274,570 has decreased 14.1% over the 2008 year-end average selling price of $319,619.
• 26.8% of sellers in 2nd quarter paid a concession compared to 14.1% in 2008. 
• The average list price of $290,652 for 2nd quarter has decreased 13.7% over the 2008 year-end average list price of $336,701. 
• The average number of days a property remained on the market for 2nd quarter was 137 days compared to 121 days for year-end 2008. 
• The median sold price of $229,000 for 2nd quarter has decreased 10.2% from year-end 2008.
• Sold homes in 2nd quarter received 94.4% of the asking price, a decrease from 94.9% year-end 2008.

2nd Quarter 2009 – 28411 Zip Code

• The average selling price of $305,237 has decreased 4.0% over the 2008 year-end average selling price of $317,945.
• 20.6% of sellers in 2nd quarter paid a concession compared to 25.2% in 2008. 
• The average list price of $328,704 for 2nd quarter has decreased .07% over the 2008 year-end average list price of $330,870. 
• The average number of days a property remained on the market for 2nd quarter was 153 days compared to 111 days for year-end 2008. 
• The median sold price of $223,900 for 2nd quarter has decreased 7.9% from year-end 2008.
• Sold homes in 2nd quarter received 92.8% of the asking price, a decrease from 96.0% year-end 2008.

2nd Quarter 2009 – 28412 Zip Code

• The average selling price of $188,404 has decreased 11.2% over the 2008 year-end average selling price of $212,101.
• 30.5% of sellers in 2nd quarter paid a concession compared to 23.7% in 2008. 
• The average list price of $197,500 for 2nd quarter has decreased 10.0% over the 2008 year-end average list price of $219,554. 
• The average number of days a property remained on the market for 2nd quarter was 130 days compared to 113 days for year-end 2008. 
• The median sold price of $169,900 for 2nd quarter has decreased 10.6% from year-end 2008.
• Sold homes in 2nd quarter received 95.3% of the asking price, a decrease from 96.6% year end 2008.

Summary

Our market during the second quarter continues to adjust. Among the positive features to assist homebuyers:

• Mortgage rates have been between 4.5% to 5.5% – some of the lowest rates in 30 years.
• The current inventory of homes is high – from 13 to 15 months supply.
• For First Time homebuyers, the $8,000 tax credit is available until December 1, 2009.

The downside has several factors: 

• Qualified buyers are finding lending standards to be a lot tighter due to the need for higher credit scores and loan program restrictions. 
• Sales are also suffering from the current foreclosures and short sales that are taking place. 
• As these take place, we are finding new issues with appraisals having lower values and taking longer due to new appraisal rules.

Our median sales price for 2nd quarter ($195,000) reflects a small downturn of 9.6% from 2008 ($216,500). In 2nd quarter 2009, we continue to see market corrections and adjustments in average sales price; overall, we decreased 8.9% from year-end 2008. All five zip codes had average sold price decreases from 4.0% to 16.2%, over year end 2008.

All five zip codes had an increase in concessions offered to buyers on the sales price; concessions are now offered in 11.2% to 31.7% of the transactions in 2nd quarter 2009.
Our market has experienced an increase of 58.1% in number of homes sold in 2nd quarter 2009 compared to 1st quarter 2009. All five zip codes experienced a growth in the number of homes sold from last quarter to this quarter which is an increase from 32% to 200% plus. This is typical for the second quarter of the year.

Our list to sales price ratio for the 2nd quarter 2009 is 93.8%, a slight decrease from 95.5% for 2008. Sellers in 28412 got about 95.3% of their asking price while those in 28411 only got 92.8% of their asking price. Zip code 28403 and 28411 had the greatest success in 2nd quarter 2009 over 1st quarter 2009. 28403 had a 10.2% increase in avg. sold price, a 11.3% increase in avg. list price, a 13.4% increase in median sold price, and a 200% increase in sold units – we went from 34 sold homes to 98 sold homes during this quarter. 28411 had a 13.7% increase in avg. sold price, a 14.7% increase in avg. list price, a 6.6% increase in median sold price, and a 48% increase in sold units – we went from 88 sold homes to 131 sold homes during this quarter. 

2009 will be a good market for our area with the inventory of homes available and interest rates being low. Now is the perfect time to buy!

Contact a REALTOR® to discuss your specific area and discover what options are available to you. The expertise and services a REALTOR® can provide will help you take advantage of this once in a lifetime opportunity. Don’t miss out – call a REALTOR® today!

An Analysis of information from the Wilmington Regional Association of REALTORS®, Incorporated, for the period Jan. 1, 2005 through June 30, 2009 – data pulled on July 13, 2009.

To find out how, Click Here to view the latest edition of the ‘Eco Family Guide’  produced by NAR’s Green REsource Council.