The Central Virginia real estate market has shown some intriguing developments during the first half of 2023. Despite small fluctuations in sales and average selling prices, the overall picture remains similar to last year. Various factors such as rezoning in Charlottesville and changes in Albemarle’s Comprehensive Plan might steer the market in new directions. Here’s a concise breakdown of what has unfolded so far:
Sales and Prices: Year over year, sales are slightly down with 1,098 homes sold from January to June 2023 compared to 1,199 in 2022. The average sold price is marginally down at $600,906, and the median Days on Market (DOM) remain the same at 5.
Interest Rates and Home Appreciation: Interest rates have increased, but homes have continued to appreciate. This poses a question about the opportunity cost of waiting to buy.
Rezoning and Comprehensive Plan: The potential effects of the City of Charlottesville’s rezoning and Albemarle’s Comprehensive Plan may lead to changes in home prices and living conditions.
Market Dynamics for Specific Budgets: In the City & County, there are currently 55 resale single-family homes available with at least 3BR/2BA under $700K. Of the 166 single-family homes sold in the City this year, 40% were cash purchases, affecting the competition for buyers not making cash offers.
Emotional vs. Data-Driven Offers: Homes sold in under a week typically receive offers above the asking price, often based on emotional decisions. In contrast, if a house has been on the market for more than a week, offers are likely to be more data-driven.
The Importance of Individual Consultation: Personal factors like family needs, job security, and lifestyle preferences are vital in determining whether to buy or sell now. Engaging in discussions with real estate professionals and taking advantage of informative sessions like Reddit AMAs can provide crucial insights tailored to individual circumstances.
Feel free to reach out if you have any specific questions or would like further details about these updates. As your local real estate professional, I’m here to guide you through the ever-changing market landscape.
