Without the tax credit, this market's sales collapsed. The strongest part of RE sales in this area are in the "under $300k" segment. But these are buyers who need $$$ help for downpayments and closing costs.
- Month over Month: June-July Sales Dropped -69%
- Year over Year: July '09 - July 10 Sales Dropped -63%
Townhouses have become the purchase of choice for many first-time buyers in this area because they're "affordable" (usually around $200k) and everything is bright shiny new. Notice the Nov '09 spike: this came with the threat that the tax cred would expire.
The broader economy is slowing down, and the region's unemployment remains significantly higher than two years ago.
An appropriate response to these sales figures, on the part of sellers, would be
Related Reading: July 2010 Single Family Home Sales in Albemarle County Cliff Dive
The numbers in above graph come from this chart, provided by Nest Realty Group: