Competing With Your Neighbors: Median Values VS. The Price For Which You Can Actually Sell Your Home


Competing With Your Neighbors: Median Values VS. The Price For Which You Can Actually Sell Your Home
By Scott Rogers • January 19, 2010
It is wonderful that the median sales price, and thus home values, have not significantly eroded in the Harrisonburg and Rockingham County real estate market. In fact: The median sales price increased 61% over the past nine years, at an average rate of 6.7% per year. Housing values in many other parts of the country have fallen significantly over the past three years, but the median sales price in Harrisonburg and Rockingham County has only declined by 3% over the past three years, at an average rate of 1% per year. Yet, despite the fact that home values are holding rather steady in our market, that doesn't necessarily mean that you'll be able to sell your home for the same amount that you could have sold it in 2006. What is the problem here, you might ask? It's your neighbor! You see, if you bought a townhome in Harrisonburg for $160,000 in 2006, you might think you could sell it for about $155,200 now (3% less) given the statistics above. But......if your neighbor bought their townhouse several years earlier for $130,000.....they may be competing with you by listing their house at only $140,000. They can, you see, sell for less and still make a profit. Likewise, if you bought a home in Rockingham County for $400,000 in 2006,you might think you could sell it for about $388,000 now (3% less)given the statistics above. But......if your neighbor bought theirhome several years earlier for $325,000.....they may be competingwith you by listing their house at only $350,000. They can, you see,sell for less and still make a profit. So....I'm not encouraging you to get upset with your neighbor, or try to get them to increase the asking price on their home --- but you do need to know that competing list prices affect the value of your home (if you're trying to sell it) just as much as recent sales (as reflected in median sales prices). Receive Updates by Email Recent Articles: There Are Plenty Of Types Of Houses That Exist That Just Are Not Available To Purchase Home Sales By Price Range In The City Of Harrisonburg Are You Compromising On Aspects Of Your Next Home That You Can Or Cannot Change Later? How Much Slower Are The Winter Months In Our Local Housing Market? Rockingham County and New Home Sales Drive Surge in Area Housing Market Find The Balance Between Optimistic And Realistic Home Pricing Room Size Is Difficult To Understand Solely From Real Estate Photos How Much Would You Value Not Having To Prepare Your Home For Showings? One Out Of Four Homes Is Taking Longer Than A Month To Sell Consider The Cost Of Your Planned Renovations When Planning Your Offer
Have any questions? Contact Scott Rogers at 540-578-0102 or scott@funkhousergroup.com
Based on information from the Harrisonburg-Rockingham Association of REALTORS® or its MLS, for the period Jan 1, 2000 through Nov 22, 2024 (unless otherwise noted).
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