CharlAlbemarle market update

The market always slows in December-January-February.

These numbers are … interesting.  Using the MLS as my source, with my standard caveat that the MLS is not all-encompassing …

Inventory for Charlottesville/Albemarle:

Active in January 2005 – 229
Active in January 2006 – 296
% increase – 22.64%
Contingent – 20%
Pending – 24%
Closings – 13%

Active in February 2005 – 273
Active in February 2006 – 372
% increase – 26.61%

—For the entire Market Area* —

Active in January 2005 – 403
Active in January 2006 – 516
% increase – 21.90%
Contingent – 20.21%
Pending – 23.12%
Closings – 32.61%

What’s the difference between Contingent and Pending? Contingent indicates that a contingency remains, typically home inspection, financing, etc. Pending means that all contingencies have been met and both parties are merely waiting to close.

More inventory, less homes going under contract, a sense of equilibrium in the market, a shift to more of a buyers’ market is upon us. I remain confident that the increase in inventory is a sign of a healthier market, for two reasons – first, I think that if enough people say “the market is popping!” then we will witness a self-fulfilling prophecy act itself out. Two, I truly believe what I write (until proven otherwise).
* Market Area is Albemarle, Charlottesville, Fluvanna, Greene, Louisa, Madison, Nelson

One day I’ll get some cool charts like Merv’s (no longer available).