Central Ohio Home Sales Jump 11% in December

clipped from www.dispatch.com Fueled by a federal tax credit, home sales in central Ohio closed the year out strong, prompting hope that 2010 will finally bring a housing recovery to the Columbus area. December's 11 percent increase in central Ohio home sales capped four months of steady gains, according to figures released this morning by the Columbus Board of Realtors. The increases were not enough, however, to push 2009's total sales over the previous year's. The 20,235 homes sold in central Ohio in 2009 were the fewest sold since 1997. Throughout the state, home sales declined 3 percent in December, and finished the year 8 percent below 2008. Experts remain hopeful that the market will stabilize this year, helped by a federal tax credit for home buyers that has been extended until June 30. Still, they acknowledged, the housing market remains dependent on a fragile economy.

"You're seeing signs that the market is getting better, but the two considerations hanging like dark clouds are the unemployment rate and the number of homes that continue to go into foreclosure," said Robert Fletcher, the chief executive of the Ohio Association of Realtors.

Home sales throughout the nation plummeted 17 percent from November but nonetheless closed the year out 5 percent above 2008, for the first annual gain since 2005.

"The market is going through a period of swings driven by the tax credit," said Lawrence Yun, chief economist with the National Association of Realtors.

"We'll likely have another surge in the spring as home buyers take advantage of the extended and expanded tax credit. By early summer the overall market should benefit from more balanced inventory, and sales are on track to rise again in 2010. However, the job market remains a concern and could dampen the housing recovery job creation is key to a continued recovery in the second half of the year."