Although the 2002 numbers suggested Lawrence residents were ignoring 40-year low mortgage rates a few months ago, with the start of 2003 they seemed to finally be taking advantage of a buyer’s market.

The Douglas County Appraiser’s office recorded 338 sales transactions in January and February of 2003, up 28 percent from the 264 transactions during the same period in 2002.

The 2003 numbers included 374 different properties, up from the 300 parcels transacted in 2002.

At the same time, the average price of a single-family home in Douglas County has increased from $149,000 in 2002 to $154,000 in 2003.

The appraiser’s office did not have 2003 statistics for single-family homes, but Gary Nuzum, president of Coldwell Banker McGrew Real Estate said his company’s numbers had started out better this year than last.

“Rates are unprecedented and activity has been strong,” he said, pointing to 30-year fixed rates at 5 and three-quarters. “It looks like it’s going to be a great year.”

Still, he said, a possible war with Iraq is giving people pause. “We’ll be glad to get this Iraq thing behind us.”

In 2002 the number of single-family homes sold in all of Douglas County dropped by 2.4 percent compared to 2001 totals, with the number of homes sold dropping to 1,834.

That decline ran counter to a national trend, which saw 2002 become the biggest sales year in history, according to statistics from the National Association of Realtors.

Even though his numbers have also slightly increased in 2003, Larry Midyett suggested Lawrence was not yet on par with the rest of the country.

“I think that the price of homes has gone up so drastically in Lawrence that people are hesitant to follow the market,” said Midyett, owner/broker for Miller and Midyett Century 21.

While Nuzum suggested that activity is taking place in all price ranges, Midyett said those in the upper-income brackets were less confident than first-time homebuyers because older, wealthier buyers tended to be more affected by the poor stock market.

“They do not feel as wealthy as they did five years ago,” he said, while “the lower-end market has been pretty steady and pretty good.”

Also changing the ratio of first-time homebuyers to their generally older counterparts is the advent of the 100-percent loan, Nuzum said.

The loan allows homebuyers to avoid down payments and pay only closing costs, and in the past 12 months it has become more competitive, Nuzum said, adding that rates across the board won’t go up fast but neither can they go much lower.

“Anyone who’s in the market should definitely be getting in and getting pre-approved,” he said. “Lawrence has a really bright future over the next couple of decades.”