Despite the near continual flow of bad economic news, 2009 saw real estate in Fredericksburg TX hold its own pretty well, proof that real estate markets are “local”. This means that “national economic trends” “U.S. Housing Statistics”, the “Case/Schiller Index”, etc. are composites of what may be happening in other parts of the country but they do not account for the specifics of actual activity in our little corner of the world.
That said, the following is a recap of the Fredericksburg Texas and Gillespie County Texas real estate market as evidenced by sales and listing data provided by the Gillespie County Board of Realtors Multiple Listing Service for the year ending December 31, 2009 as compared to the same period for 2008 (Scroll down on this page to view charts):
Residential-City - Reversing the trends from YE 2008, the total number of units sold in 2009 increased by 8.2% from 2008 but the total dollars sold decreasedby 1.75% ($30,363,391 in 2008 vs. $29,831,650 in 2009). The average days on market increased from 162 in 2008 to 198 in 2009 (+22.22%) and the average sold price continued to decline from $232,570 in 2007 to $227,394 in 2008 and to $205,736 in 2009. In short, marginally more units were sold but did so at much lower prices over a higher number of days on market.
Residential-County - Continuing the trend from YE 2008, the total number of units sold in 2009 declined by 19.5% from 2008 and the total dollars sold declined by 20% ($34,296,128 in 2007 vs. $21,718,800 in 2009). The average days on market decreased from 201 in 2008 to 198 in 2009 (-1.49%) and the average sold price decreased from $394,208 in 2008 to $310,269 in 2009 (-21.3%). This decreased average is further eviddence that the more affordably priced homes continue to sell.
Lots-City - Reflecting economic trends and the lack of speculative building, 39% few lots were sold in 2009. Interestingly, the average sold price increased from $62,839 in 2008 to $64,883 but (continued the trend from '07 to '08) the average days on market increased by 72% (338 in 2008 to 583 in 2008.
Rural Subdivision Lots/Tracts-Gillespie Only - The total number of acreage lots sales has fallen off by 19.5% (47 sold in 2008 and 32 sold in 2009) as has both the average price of a sold tract (down 3.25% from '08 to '09) and the total value of tract sold (down 37% from 08' to '09). Most notably, the average number of days on market for property in this category has increase by 72% from 2008 to 2009.
Land & Farm-All - Again, continuing the trend from YE 2008, total unit volume decreased by 34.6% from 130 units sold in 2008 to 85 units sold in 2009 and the total dollars sold in this wide-ranging category decreased by 43% (from $61,473,405 in 2008 to $35,040,424 in 2009).
Considering the tremendous upheavals experienced across the spectrum of our financial systems, we held our own fairly well. Note should be taken that the above statistics accurately reflect my ongoing contention that the Fredericksburg Texas real estate market is relatively healthy on the lower end of all ranges.
Were it not for the substantial tax incentives offered to first-time buyers (who, by definition, usually buy at the lower end) we might have had things looking worse than they were.
Provided interest rates remain relatively low and buyers take advantage of the renewed and expanded tax incentives, this trend should continue throughout 2010. Followers of this page will note that the overall market has been in a "correction" since the beginning of 2007 and while prices may still seem high to the uninitiated, we are way off of our peaks of 2006.
* City of Fredericksburg only
* City of Fredericksburg and Gillespie County only
*City of Fredericksburg only (Units sales by price range)
