Real Estate: Prices on the rise

By Kelly McCarthy

May 20, 2013 Updated May 20, 2013 at 9:18 PM EST

Binghamton, NY (WBNG Binghamton) Home prices in Binghamton are on the rise. They are gaining in value -- and in interest -- among buyers in the area.

Home prices in Binghamton were up 33 percent in March, compared to the same time last year, according to a report by CoreLogic.

The Greater Binghamton Realtors Association said they're seeing the results.

"Sales per month are up," said Thomas Reid, president of the Greater Binghamton Association of Realtors. "That means that the median sales price is up, and that means there is a lot of people out there looking for houses."

The median sales price for homes in March was $120,000, but then dropped 3 percent in April.

The dip causes one realtor to believe prices will stay consistent.

"We have the most stable prices in the country," said John Farrell, of Exit Realty. "We didn't have a crash back in 2006 and 2007 when much of the rest of the country had a big crash, hence we don't have a massive increase in prices either."

The change in price isn't keeping potential buyers from showing interest.

"We're seeing a lot of traffic at our open houses, our phones are ringing constantly," Reid said. "We see everything from the first time home buyer to the person that's retiring and looking to downsize."

Farrell says one third of houses on the market sell within the first two to four weeks, but their price tag isn't the deciding factor.

"The condition is actually the factor that sells the house most frequently," Farrell said. "When buyers go to buy a house they always go for the one in the best condition."

It's still a buyer's market, but the steady rise in price could mean more sellers will get the price they want too.

The low interest rate is to thank for the brisk sales, realtors say.

In 2006 the interest rate for a mortgage was nearly 7 percent, and now it's between 3 and 3.5 percent.

"A lot of people buy by payment rather than price," Reid said. "So with the low interest rates it actually increases their buying power.

CoreLogic is a data and analytics company that tracks sales prices for the same homes over time.

Their data shows national home prices rose by 10 percent in the last year.

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