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Jeremy Hart

Sustainability Week in Blacksburg - October 20-25

10-17-08
Jeremy Hart

Sustainability Week 2008
I mentioned Sustainability Week recently, but there wasn't much information available.

Now, there's a lot more.

Why is this important? Taking care of our environment is more than a fad, it's the right thing to do. We have a legacy to leave - what will it be?

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The State of the Market - September 2008 (Renamed: A Slow And Steady Approach)

10-16-08
Jeremy Hart

August has come and gone, and September has as well. The leaves are changing ... it's one of my favoritest (can I say that? Sure I can) times of the year here in the New River Valley. September has NOT been nice to the stock market, however - there's no secret there, we've passed a bill with economic implications that are really beyond comprehension to try and stabilize it, and oh yea, there's a presidential election going on as well. Wondering how it all effects housing? My best guesses here, here, here and here. As I said last month however:

"a slow, steady and calculated approach to the market is going to be important as we move forward towards 2009."

I believe that, more than ever. If you look at the first half of the year you'll see prices being soft during a time of year that's typically a much stronger market, and then as we've gotten further into the fall that trend has continued. According to figures pulled from the New River Valley MLS, volume across the entire New River Valley (which my absorption rate statistics does not cover in its' entirety) is down about 14% from this time last year, the average sold price is down about 11% from this time last year, but the list to sale ratio is 96.3% (compared to 96.2% last year). That tells me that while prices are down from this time last year, sellers are pushing for lower list prices as well - this is a good strategy. In a market that's soft, don't rely on the price your neighbor got six months ago. Stay ahead of the knife and price it right the first time. One more cautionary tale, and I mentioned it last month ... if you are in an Adjustable Rate Mortgage, and your rate adjusts or expires at anytime in 2009, please contact me immediately. There are serious implications for many homeowners who will find their payments jumping by hundreds of dollars a month, let's find a local lender who can act quickly to help you refinance and keep your payments low.

When it comes to absorption rates, we're looking at how long it would take to sell the existing residential inventory in a particular area, if nothing else came on the market until supply was exhausted. Anything over 5 months is typically a buyers' market, and anything less than 5 months is typically a seller's market.
Graph

Area # of Active Properties # of Sold Properties
Absorption Rate
Buyer/Seller Market
Blacksburg 206
19 10.84 Months Buyer
Christiansburg 272 17
16.00 Months Buyer
Montgomery County 68
8
8.50 Months Buyer
Floyd County 127 2 63.50 Months Buyer
Giles County 60 8 7.50 Months Buyer
Pulaski 101 5 20.20 Months Buyer
Dublin 116 7
16.57 Months Buyer
Radford 79
7 11.29 Months Buyer

A full and complete shift into a buyers' market through September, which again is no surprise, it's part of the cycle. Certainly, news from Wall Street and an election are playing into this, as well as just the typical slow down that happens every year about this time. I was asked on Monday if I was worried about my job. Let me be clear ... NO. People are going to buy and sell during turbulent times. The market will be different, it will be rocky at times, but if I know how to navigate it and put the pieces in place, it all works out in the end. Let me repeat - a slow, steady and calculated approach to the market is going to be important as we move forward towards 2009.

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A Rebuttal From Radford University

10-15-08
Jeremy Hart

Target on Radford University Radford University's been under fire a bit, and Michael Hemphill provided a response in today's Roanoke Times Editorial section.

There are three sides to every story - the truth, the lie, and the in-between - but I still contend that Radford's a university on the move; and that can only be good for the rest of the City.

Bullseye.

Blowing Smoke? Not Hardly ...

10-13-08
Jeremy Hart

Have you heard? There are a few things happening in the financial sector that are probably giving you cause for concern. Truth bet told, they've given a lot of us cause for concern ...
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Just a quick note to let you know that there are home loans currently being funded, just as Mark Weddle and Dennis Duncan said there were. I'm not going to blow smoke and say that there a lot of companies out there that are having trouble providing credit to buyers, and the stock market is absolutely a scary place to be right now. BUT ... the mortgage market is not mirroring Mountain Lake.

In order to make it happen, you'll need three things:

  • good credit. There are differing opinions of what "good" credit is, so let me help connect you with someone who can tell you exactly how you stack up.
  • money to put down (and it DOESN'T have to be 20%).
  • proof of monthly income. Gone are the days of what we called "no doc" loans (thank God).

If these items look familiar, it's because they're all things that lenders have looked for in the past, and that they'll continue to look for in the future. The mortgage market isn't gone ... in fact, we're closing two properties THIS WEEK that were funded by a local lender just within the last two weeks. Let me know if you'd like to review your individual situation. It's not going to be the right time for everyone to buy, but if you can meet the three criteria above it just might be worth your while.

Blowing smoke.