Let’s see. About mid September, Treasury Secretary Paulson announces the financial markets need 750 billion for a bailout. It takes until October 3rd to enact a pork laden bill for this rescue. The following week the Dow Jones loses 22 % of its value. Boy, the Richmond real estate market must really be in the tank. Think again, Einstein. Despite 6 weeks of financial chaos, October sales for ‘08 were only down 22 % when compared with October ‘07. And considering for all of ‘08, we’ve been running at about a 30 % plus decline versus ‘07, there should be dancing in the streets. With October ‘08 numbers now in, the decline for the year is now at 29 %.

     Sure, there have been 3,000 plus less sales so far this year when compared to ‘07, but Richmond has a vibrant market when compared with other parts of the country. If you look at the numbers below, percentage of sales at the various price ranges are literally unchanged. There are just less sales, not NO sales.

     This is the best move-up market in Richmond that I have ever seen in my 20 plus year real estate career. If you can sell your existing home, there are BARGAINS to be had. Ditto for the real estate investment market. There are true STEALS with cash flows and upside appreciation you won’t believe. And the condition of these foreclosures…. it ain’t like the old days. Opportunities galore with little to no work needed. Call me, let me show you what I mean. And if tax increases are truly on the horizon, then you need to discover the beauty of depreciation.

Here’s the year to date ‘07 & ‘08 comparison.  

October YTD 2008 2007
Price Range  # of Sales % of Ttl Sales # of Sales % of Ttl Sales
0 – 99,999 377 4.84% 450 4.27%
100,000 – 199,999 2148 28.50% 3,001 28.47%
200,000 – 299,999 2576 34.75% 3,591 34.06%
300,000 – 399,999 1194 16.08% 1,748 16.58%
400,000 – 499,999 518 7.15% 796 7.55%
500,000 – 599,999 258 3.39% 368 3.49%
600,000 – 699,999 142 1.96% 225 2.13%
700,000 – 799,999 85 1.17% 132 1.25%
800,000 – 899,999 53 0.77% 83 0.79%
900,000 – 999,999 22 0.29% 51 0.48%
1 Million plus 79 1.10% 97 0.92%
Total Sales/Pct. 7452 100.00% 10542 100.00%