focus on the most profitable upgrades – Royal Examiner
According to April 2022 Virginia Home Sales Report published by Virginia REALTORS®, the median home sale price statewide was $390,000 in April. That’s $100,000 more than in April 2018, just four years ago. Compared to this time last year, Virginia’s median selling price is up just over 9%, a gain of $32,500.
In Virginia, the steady upward trajectory of home prices has not been hampered by slowing sales or the recent spike in mortgage rates. In April, homes sold for 3.4% above list price, on average. In all price segments, the average ratio of sale prices to list prices was at least 100%.
In total, there were 11,991 home sales in Virginia in April 2022, down 11.6% from a year ago. Sales have declined year-on-year for five straight months. This slowdown reflects the very busy market of 2021, but also indicates that buyers are retreating due to high house prices, high inflation and rising mortgage rates.
In the coming months, Virginia could see a change in the speed of price growth. “As the Federal Reserve continues to target inflation by raising rates, it is likely that mortgage rates will continue to rise over the coming months,” says Virginia REALTORS.® 2022 President Denise Ramey. “In turn, housing demand will cool over the coming year, which will slow price growth. However, rising mortgage rates and house prices will continue to pose a challenge for buyers. »
Regarding the stability of the Virginia real estate market, Virginia REALTORS® Chief Economist Ryan Price said: “While higher mortgage rates and prices will have a dampening effect on housing demand in the months ahead, underlying economic and demographic fundamentals, such as a strong Job growth and low unemployment rates will support a stable housing market here. in the Commonwealth.
The Virginia Home Sales Report is published by Virginia REALTORS®. Click here to see the full April 2022 Virginia Home Sales Report.