What’s Happening?
If you’ve been wondering what’s happening in the Richmond real estate market, the August numbers give us a pretty good picture.
Home prices are still moving up, but homes are taking a little longer to sell. We’re also seeing more homes come on the market while the number of closed sales has slowed.
So, is the market slowing down? A little. But that doesn’t mean home values are falling.
August by the Numbers
Average Sales Price: $486,000
Up 4.9% from last year
Median Sales Price: $415,000
Up 3.8% from last year
New Listings: 2,116
Up 3.0% from last year
Closed Sales: 1,560
Down 11.4% from last year
Average List-to-Sales Price: 100%
Unchanged from last year
Average Days on Market: 31 Days
Up 19% from last year
Months of Inventory: 2.5 Months
Up 4% from last year
What Does This Mean for Homeowners?
Is it a buyer’s market or a seller’s market? The biggest takeaway for me is that we’re moving toward a more normal real estate market.
Prices are still higher than they were a year ago, but buyers have a little more time to make decisions. Homes are averaging 31 days on the market, and there are more properties available for buyers to consider.
At the same time, homes are still selling for an average of 100% of their asking price.
That tells us something important: buyers are still willing to pay for the right house when it’s priced correctly.
We’re just not in a market where sellers can assume that every house will sell immediately, regardless of price or condition.
Thinking About Selling?
If you’re considering selling your home, preparation matters.
When the market was moving incredibly fast, sellers could sometimes get away with things they can’t necessarily get away with today. Buyers have more choices, and they’re paying attention to condition, maintenance and price.
That doesn’t mean you need to remodel your entire house before putting it on the market.
In fact, after helping people buy and sell homes in Richmond for many years, I’ve found that some of the smaller things can make a surprisingly big difference.
Fresh paint where it’s needed, clean landscaping, repairing obvious maintenance items, decluttering and making sure the home looks cared for can go a long way.
And getting the price right from the beginning is important.
Remember: Real Estate is Local
There’s one other thing to keep in mind when looking at these numbers.
This report covers a large area of Central Virginia, including the City of Richmond, Hopewell, Petersburg, Henrico, Chesterfield, Hanover, Goochland, Powhatan, Amelia, New Kent, King William and Louisa.
That’s a big and diverse real estate market.
What’s happening in Short Pump may be completely different from what’s happening in Midlothian, Mechanicsville, Goochland or the City of Richmond. It can even vary significantly from one neighborhood to the next.
So while these numbers are a great way to see the overall direction of the Richmond market, they don’t necessarily tell you exactly what’s happening with your home.
Mark’s Quick Home Tip
Here’s something simple you can do this weekend.
Walk across the street and look back at your house.
Try to look at it like you’ve never seen it before.
How does the landscaping look? Does the front door need paint? Are the shrubs overgrown? Is there mildew on the siding or sidewalk? Are the gutters crooked or overflowing? Does the front porch look inviting?
We get used to looking at our own homes and eventually stop noticing some of these little things.
A buyer won’t.
Prior to listing our house recently, we did exactly this. We had a side driveway and rarely saw the front of our home except the front porch, when we retrieved an Amazon package. When we looked at our home from across the street, we knew we definitely needed to freshen up the exterior. Read more on our blog post Ready to Sell posted this month for an inside look at what we did to achieve the curb appeal that grabbed buyer’s attention.
The good news is that improving a home’s first impression doesn’t necessarily require a lot of money. Sometimes a pressure washer, a few bags of mulch, some pruning and a little paint are all it takes.
Want to Know What’s Happening in Your Neighborhood?
If you’re thinking about selling, buying, or you’re simply curious about what your home might be worth in today’s market, we’d be happy to take a closer look.
Rather than relying on the averages for all of Central Virginia, we can look specifically at what’s selling in your neighborhood and your price range and help you understand what those numbers actually mean for you.
Mark Adams
Mark Adams & Associates | eXp Realty
804-237-8585
office@markadamsteam.com
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