Does The Current Rise In Home Prices Mirror The Last Real Estate Boom?


Does The Current Rise In Home Prices Mirror The Last Real Estate Boom?
By Scott Rogers • May 25, 2021
At first glance, yes, the current increase in median sales prices DEFINITELY mirrors the last run up in prices. Blue Line = Last Time (2003-2006) Orange Line = This Time (2017-2020) But, let's look a bit closer... Last Time... Home values increased rapidly in Harrisonburg and Rockingham County between 2003 and 2006. Within three years, the median sales price jumped from $127,700 to $192,983. This was a 51% increase in home values in a three year period! As an important side note -- the median sales price then flattened out (2006-2008) and next declined 13% between 2008 and 2011. This Time... We're starting to see a home values increasing relatively quickly again. The median sales price increased from $198,250 to $244,900 between 2017 and 2020. This was a 24% increase over three years. So... Yes - median sales prices are currently increasing much faster than normal from any historical perspective and it seems unlikely that they could keep going up like this forever. But - the current increases in median sales price (+24% over three years) are only about half the size of the last time we saw a real estate boom (+51% over three years) so it's not quite as severe of an increase as last time. Certainly, though, many wonder if median sales prices will flatten out (seems possible) or decline (seems less likely) in the coming years. 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 21, 2024 (unless otherwise noted).
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