The State of the Market – April 2007

A little market fluctuation for the month of April with some improvement in a couple of markets, shifting things from a definite buyers’ market to one that’s a little more balanced.

As I explained last month, the absorption rate for a market is nothing more than supply and demand, but it’s a great tool for REALTORs to be track what’s happening on a macro-level in their market.  Anything over 5 months is typically a buyers’ market, and anything less than 5 months is typically a seller’s market. Graph

Area Active    Sold      Absorption Rate    Buyer/Seller Market 
Blacksburg 216 38 5.68 Months Buyer & Seller
Christiansburg 277 37 7.48 Months Buyer
Montgomery County 59 3 19.67 Months Buyer
Floyd County 83 7 11.9 Months Buyer
Giles County 34 2 17 Months Buyer
Pulaski 122 13 9.38 Months Buyer
Dublin 118 16 7.38 Months Buyer
Radford 84 16 5.25 Months Buyer & Seller

Some real definitive shifts in the market for April, with measurable drops in every market but Montgomery County.  I’ve adjusted the figures for Pulaski and Dublin to be more representative of the market as a whole, but the numbers still dropped.  These numbers are more reflective of what we typically call the spring market … there are still great buys to be had for buyers as rates are consistent.  I still don’t see significant market moves happening here in the New River Valley until 2008, but I am still very bullish on the remainder of 2007.  Feel free to call me and my team at (540) 552-6500 or email me if you’d like more specific data, or to discuss opportunities that might be right for your situation!

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