The housing market in Virginia :
The housing market in the past five or six months, basically the beginning of 2022, and then you’re going to go over some new factors in play this year. That’s affecting the housing market, which was non-issues last year or even earlier this year. Then you’ll share with you in https://historichomesinvirginia.com/ what you’ve seen on a day-to-day basis being boots into the ground working with buyers and sellers in this current Market if you will share with you your 6 to 12-month outlook, what you believe is going to happen with the housing market moving Forward. Let’s go back to January, and you’ll let us know how the year started in the housing market.
There was a lot of inciting in the air; every buyer, every seller, everybody knew interest rates were going to rise at some point in the website https://historicchomesinvirginia.com/. So right in January, there’s a frenzy to buy homes. Before, they had a hike in interest rates, and on top of that, they had the lowest inventory you’ve personally ever seen in eight years. If you remember, in January, working with your clients who were buyers and they were all looking for homes. If you had no homes to show them, they’d go two or three weeks without even looking at a single home and the homes popping up on the Market.
They’re getting five 10, 15 offers selling for 20, 30, 40, 50 100 000 over the asking price; it was 20 21 all over again. It was extremely challenging for buyers, and you saw some crazy numbers; you remember a house was a little townhouse in ash burn built in the 90s, like 1500 square feet, a three bedroom two bath, no garage, nothing fancy at all. It sold for a hundred thousand dollars over the asking price.
Home values in Virginia :
Suppose you remember seeing the website at https://historicchomesinvirginia.com/. In that case, you know, halfway decent single-family in, so for 250 were seeing for the sales prices they were just crazy way over the top. That’s why they saw a 20 increase in home values in January; craziness definitely could not stay forever; things were going to change. Now they’re starting to see the shift, and some significant factors are happening in 2022 that, as you said earlier, were not factors last year or even in January. The first significant factor is mortgage interest rates have shot up through the roof; as you are filming this, the average 30-year fixed rate in the us is about five and a quarter, and compared to last year, it was under three percent in April of last Year. You’ve seen so many 2.75, 2.85, even as low as 2.65 well rates being under three percent; those days are long gone; in fact, rates are the highest.
They’ve been in in the past 11 or 12 years and going into this year; it was no secret that everybody knew mortgage interest rates were going to rise. But nobody saw us in the fives this early in the year, so does the Rise in interest rates affect your affordability? Check out this graph right here; when you break down the number, it is mind-blowing. So let’s say you’re going to buy a house, and let’s say you want to pay around five hundred dollars a month; well. If you’re shopping for a house in January when rates are about three point two percent, you could buy at that price range, and eight hundred and seven thousand dollar house is correct but let’s say you didn’t pull the trigger.
