Inclement wintry conditions, throughout most of February, affected local sales in Cincinnati according to the Cincinnati Area Board of Realtors.  Sales (closings) fell 17.45% for the month.Cincinnati Single Family and Condo Sales - 2009-10

Additionally, buyers backed off for a few months around the holidays based upon the extension of the home buyer tax credit program.  While closings backed off, pending sales (contracts written) increased 7.8% over February a year ago. 

Year-to-date local sales for 2010 were off 12.96%, but gross dollar volume was up 1.54%.  Over the January-February period, the average sale price is up 16.67% compared to the same period in 2009. Much of this can be attributed to the large number of lender-involved sales in 2009, nearly 44% of all sales.

Reasons for the strength of this year's market include:

  • Ample inventory giving buyers a good selection
  • Optimum mortgage rates, just over 5%
  • Federal Tax credits of $8000 for first-time buyers and $6500 for repeat buyers. (contracts must be completed by April 30 and closed by June 30)

When looking at the entire state of Ohio, there was a 3.5% decline in the number of sales.  The average sale price increased 12.4%.  And the total dollar volume increased 8.5%.  February was the fifth consecutive monthly gain in average price for Ohio.  This indicates that prices are stabilizing, benefiting current homeowners.