FAAR is the Fredericksburg Area Association of Realtors (FAAR) and this update covers not only Fredericksburg but also the Northern Virginia market/Virginia in general.
In case you haven't read the FAAR Economic and Housing Market Update, here are our five key takeaways from the real estate market report, as well as a link to the report itself below.
Some obvious ways that COVID-19 has impacted the real estate market:
- There is an epic housing shortage
- Residential real estate has become the driver of the economy
- Home buyers are re-evaluating their preferences
- Mortgage rates fell to historically low levels
- Home equity has surged
- The seasonality of the housing market has been upended
Our Top Five Takeaways:
- Despite the market crash, the jobs report is curving up from April 2020's dismal figures and back to 2017 levels. This means that we can see even more buyers in the next two years.
- Suburban values, although growing, are sluggish compared to urban/rural areas:
Rural: +20.5% The Average Change Median Home Price By Market Type
- The highest median sold price per county:
1st - Stafford County - $401K
2nd - Spotsylvania County - $348K
3rd- King George -$335K
- The percentage of the most common concessions buyers are making to improve their chances of a successful offer:
Offering over list price/including escalation clause - 89.3%.
Waiving home inspection - 52.6%.
Increasing earnest money deposit - 48.9%.
- What are most buyers looking for in a home?
1st Home office - 67.6% more likely to be looking for
2nd Place: High-speed internet access - 61.3%
3rd Place: Outdoor space/large year - 54.2%