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Valley sees increase in home sales in March
By GRACE WYLER
Sales of pre-owned homes in the Mahoning Valley rose in March.
Home sales were up in Trumbull, Columbiana and Mahoning counties last month, the Youngstown Columbiana Association of Realtors reported Monday. The average sales price of a home also increased in all three counties.
The rise in sales was the combined result of low interest, government tax incentives and perceptions that the economy is improving, local Realtors said.
“Typically, there is a little spike in the spring,” said John McCarthy, with Mayo and Associates Realtors in Boardman. “This spring, it seems to be a little more of a spike because of consumer confidence. People are starting to look forward.”
Trumbull County saw the largest increase in home sales last month. In March, 142 homes were sold, up from 113 sold in the same period the year before. The average sales price was $71,412, up from $66,414 a year earlier.
In Columbiana County, 49 homes were sold last month, up from 35 that were sold in March 2009. The average sales price went up to $78,181 in March 2010, from $69,080 a year earlier.
March home sales in Mahoning County stayed relatively flat at 148, up slightly from the 144 sold in March 2009. The average sales price was $84,558 last month, up from $78,319 a year earlier.
The rise in sales can be attributed partially to low interest rates, said Kathy Smith, manager of the Howland office of Howard Hanna Real Estate Services.
“Interest rates are a huge factor — we’re at an all-time low,” Smith said. “You can buy a lot more house for the money right now.” Federal homebuyer tax credits also have boosted home sales, Smith said.
The federal income-tax credit, which expires Friday, gives first-time homebuyers a 10 percent credit of up to $8,000. Previous home owners can get up to $6,500 in tax credit.
But McCarthy and Smith agreed that the end of the tax credit is not likely to stall home sales in the Mahoning Valley.
“Certain price ranges may take a dip, but the indicators show that the market should start climbing and stabilizing,” McCarthy said.
Improvement in the local economy will have a greater effect than the tax credit, he added.
Smith cited the expansion of V&M Star and the addition of a third shift at the Lords- town General Motors complex as factors that will lead to increased home sales.
“I think the tax credit was a factor, but I don’t think it was the only thing driving sales,” Smith said. “The economy comes first; there’s a little more stability in our area. People are more comfortable now.”