Decrease in Home Sales Attributed to Military Downsizing
Posted March 16, 1998 6:00 a.m. EST
FAYETTEVILLE — If you're looking for an inexpensive home to buy, you may want to check out the Fayetteville market. The last several months have seen a huge reduction in existing home sales. While that may be bad news for some, it comes as good news for others.
It's a sight you'll see on almost every block in every Fayetteville neighborhood, homes for sale. While existing homes sales have gone up 10% statewide, they've gone down 19% in Fayetteville.
Carolyn Boose with the Fayetteville Association of Realtors says the downsizing of the military has had a tremendous effect on home sales. That's because no new military personnel are coming in or going out.
Realtors say no major industries have moved into the area to help make up for the military downsizing.
George Newton put his home on the market in November. At the time, he thought it would be a slow due to the holidays. Now, Newton thinks the weather has kept people from taking interest in his home and others.
The glut of existing homes for sale means this area is definitely a buyers market. Especially for first time buyers.
"The interest rate is low-- 7% percent," Boose explains. "It hasn't been that low in many many years, and also with the new tax law, you can be a first time home buyer if you haven't bought a home in the last two years."
Realtors believe the incentives will eventually turn Fayetteville into a sellers market.
Existing Home Sales in Fayetteville did go up last month. Realtors believe that's a trend that will continue into Spring.