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VAR Update on Virginia Real Estate Market
1.
10
there’s no Virginia home From October 2006 through October 2007, the average price of a Virginia home such thing as values are thing has grown 4.3 percent, from $222,800 a national real stable. to $232,487. Yes, there are pockets in Virginia where home prices have estate market. declined – largely due to unsustainable If you read the newspapers, you price growth in those markets during the might get the idea that real estate past two years – but even in those areas, markets are the same everywhere. generally speaking, homes are still worth If conditions are bad in San Diego more now than they were three years or Detroit or Miami, they must ago. Overall, since November be bad everywhere, right? Wrong! 2004, the average price of a Real estate markets are local; when typical Virginia home has appreciated 42 percent, from You should know you’re looking to buy or sell, pay attention first to sales price trends, $163,750 to $232,487 today. about today’s volume and inventory in your For details: VARealtor.com/ target market or region, rather HomeSales Virginia real than to misleading headlines about national sales trends. estate markets Think locally and longer-term, and do your homework. housing demand in Virginia is set to grow. Estimates show the Commonwealth’s population will increase by almost the market favors 500,000 by 2010. These new Virginia’s first-time Virginians will need a place to live. For details: CooperCenter.org/ home buyers. Demographics First-time buyers in Virginia are younger and have higher incomes – they’re typically 25-34 years old and earn a median income of $71,300 annually there are hundreds of reputable mortgage companies ready to lend. A house is a place (22 percent higher than the national average of $58,300). They made up 29 Buyers with good credit and a realistic view of what to make a home, percent of all Virginia homes they can afford should have an easier time obtaining not just a buck. sales in 2006. And there’s mortgage approval. Help is also available for those Most purchasers don’t buy a house to currently plenty of inventory with damaged credit or limited means through the Virginia flip it. They buy it to live in. The value of for first-time buyers to choose Housing Development Authority and other organizations. strong communities, rooted families, from. For details: VARealtor. civic pride, comfortable retirement, com/2006BuyersSellers and a higher quality of life can’t be expressed on a balance sheet. Owning Use a Virginia REALtOR®; now really is the time to buy. a home builds get up to 26 percent Housing inventory levels are the highest in years, and interest rates are low. If you’re wealth in a way that more for your a buyer, this market is for you. But…If you renting can’t. According to the The median home. need to sell first, be patient, and price your home correctly. Right now Virginia homes sell Federal Reserve it’s prime time for selling price after an average 127 days on the market, only five days more Board, the average second homes. of single-family than the 10-year average of 122 (though this number varies renter’s net worth Savvy investors and FSBO homes in Virginia among price ranges and markets). Competitive pricing is is $4,800, while the prospective retirees know was $249,500 compared with important. Experts agree, well-priced homes sell faster. average homeowner’s real estate is important to $313,400 for REALTOR®-assisted net worth is $171,000. their portfolios. About one third of home sales at the end of 2006, a difference Clearly, it pays to own all home sales are second homes or of $63,900. The advantage of developing an a home. vacation properties and Virginia has ongoing relationship with a professional – a plenty of inventory and desirable REALTOR® – speaks for itself. For details: locations for those seeking them. VARealtor.com/2006BuyersSellers © 2008 Virginia Association of REALtORs®
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