Liz Freeman

For the first time since the spring of 2006, sales of existing homes in Pitt County have increased in consecutive months. That's not enough to signal a recovery to a bumpy housing market but does provide a glimmer of hope, local real estate agents said.

Sales of existing homes in the Greenville area were up 6 percent in March after a 31 percent gain in February, according to the North Carolina Association of Realtors — the first consecutive increases since May (37 percent) and June (29 percent) in 2006. But sales are down compared to 2007 — 174 units sold in March are 33 percent off the 2007 total of 254.

"Our market is down from where it was a year ago at this time," David French, president of the Greenville Pitt County Association of Realtors said. "It is beginning to respond. I firmly believe that the fuel situation is going to limit our recovery. But activity's picked up, and it should be picking up this time of the year. I don't think we will come anywhere near the numbers that we had last year probably through the second quarter of the year."

An encouraging sign is the average sales price for single-family homes rose about 6 percent in March to $176,208. Including townhomes and condominiums, the sales price dipped less than 1 percent from $145,063 to $144,407 from March a year ago.

"Townhouse prices are actually up this year," Richard Lane, broker-in-charge at Prudential Prime Properties, said. "Condos have been hit the hardest so far. Condos are down slightly in price and number of closings. ... But townhouses and condominiums, at this stage, are a minor player in the market compared to single-family."

Lane said extensive media coverage on problems in subprime lending and foreclosures have created fear and hesitation among potential home buyers. He said investing is still safe but advises buyers to talk with a lender first and borrow conservatively.

"Everything has been doom and gloom, we're going to hell, it's going out of business, the United States is going to cease to exist and all that stuff," Lane said. "Markets go up and down. There's nothing new here. It's up and down just like it's always been.

"If you try to look at any market on a microscopic level, you're going to get off course. You have to look at it on a long-term, broader perspective. If you do that, then you'll make better sense out of what your investment is going to be.

"I think consumers have been a little bit frightened because of the economic news," Lane added. "The fact of the matter is, if you're borrowing conservatively and safely, there is mortgage money readily available and sellers are very motivated right now to sell their homes, whether it's new construction or existing homes. So if you're a motivated seller and you're a motivated buyer, the marketplace is right to jump in. There are opportunities in this marketplace, just like there are in the stock market and other commodities."

Some builders have felt the squeeze and adjusted to a saturated market by scaling back. Bill Clark of Bill Clark Homes in Greenville said the market will need time to shed an oversupply of available homes.

"We don't sell, we don't build," said Clark, who builds and markets homes in Greenville, Fayetteville, New Bern, Havelock, Raleigh, Wilmington and Myrtle Beach S.C. "Everybody doesn't do that, which is unfortunate. As long as this big supply stays on the market, then the market is going to be, as far as from our point view, a weak market for us. But when you flip that around, it's a great time to buy a house because it's a buyer's market."

Clark said last fall he had begun re-examining all areas of operations, comparing costs in each of the markets he builds.

"This is not going to be corrected overnight," Clark said. "We may have hit bottom. But when you hit bottom, it takes you a long time to start going back up. So I think we're going to coast about the same we're doing right now through '08, and in '09 it's going to get a little better, but the next time we are going to see a good market, in my opinion, is going to be 2010."

By Mike Grizzard
The Daily Reflector

Pitt County officials say they have known for sometime how special the community is, now others have noticed. January 24, 2008, we were honored as one of the nation's 100 best communities for young people. America's Promise Alliance and Capital One, founded by Colin Powell, selected us from more than 300 applicants. Pitt was one of two North Carolina communities to receive this honor along with Charlotte-Mecklenberg. "While we don't have everything we need, the youth is a high priority for us, and we have people who really work well together to maximize the resources to help young people," says Alice Keene, special projects coordinator with Pitt County Community Schools and Recreation.

Wanda Yuhas, executive director of the Pitt County Development Commission, said the designation could benefit Pitt by attracting businesses or helping those in the county lure employees. Yuhas believes that a community that is a good place for young people is a good place for all people.

All applicants are eligible to apply for $300,000 in grants from America's Promise Alliance next month. The alliance works with corporations, nonprofit service organizations, foundations, policymakers, advocacy organizations and faith groups to ensure its "Five Promises" are kept for America's young people. The promises include caring adults, safe places, a healthy start, effective education and opportunities to help others.

"The prosperity of every community and this country depends on how well we care for our children and youth," said Marguerite W. Kondracke, president and CEO of America's Promise Alliance. "Although no place is perfect, when we have communities that make young people a priority and are working to make sure they stay in school and have all the resources necessary to lead healthy, productive lives, we must recognize them and by extension inspire other cities and towns to follow their lead."

Glenn Cutrell, county tax assessor said average increases likely would be between 10% to 12%. He stated we could expect a grand majority of properties to have an increase depending on their location.

Pitt county manager D. Scott Elliott said the county's ad valorem property tax rate which is currently 71 cents per $100 might increase, but it is too early to make that assessment. Cutrell explained that most dramatic changes would likely occur in the county's "hottest neighborhoods" where higher sales prices have driven up value.

Pitt County's last revaluation was in 2004 when the average increase was 30%; this large increase was due to the eight year gap between revaluations.

The County Commisioners voted to change the revaluation cycle to four years in an effort to prevent "sticker shock."

This process of tax revaluation of properties to determine market value is the basis for tax bills that homeowners will receive this year sometime after August.

Market value is determined by several factors with the most significant being the sales comparable properties. Tax officials use a variety of tools including sales questionnaires, the multiple listing service, revenue stamps, cost books and ratio studies.

Since real estate markets are so localized, we are proud to live in thriving Pitt County.

Because North Carolina put stringent requirements on mortgage lenders several years ago, our real estate market is moderately stable. We haven’t seen the appreciation rates soaring like some areas in our state, therefore, we feel very fortunate to live in Greenville, NC. Historically, our single family homes have seen an average of 3% appreciation each year giving us a very healthy real estate market.

The steady and measured growth of East Carolina University, Pitt County Memorial Hospital and local industry has provided us with a bright past and future. The new heart institute, the new family practice center, dental school and continued growth in local industry will require a growing workforce and expanding real estate market.

However, in some cases, potential buyers moving to our area will have delays in selling their existing home in order to buy in Pitt County.