New Home Construction (For Sale or Rent) Is Likely The Only Path Towards A More Balanced Local Housing Market


New Home Construction (For Sale or Rent) Is Likely The Only Path Towards A More Balanced Local Housing Market
By Scott Rogers • July 6, 2022
Over the past two (to five) years the local real estate market has seen... [1] More and more homes selling. [2] Higher and higher sales prices. [3] Higher and higher rental rates. Over the past six months, mortgage interest rates have increased significantly (from around 3% to nearly 6%) and yet... [1] We're still seeing just about the same number of homes selling. [2] Sales prices keep climbing. [3] Rental rates keep climbing. One conclusion that I keep coming back to in recent weeks and months is that... There are more people who want to live in Harrisonburg and Rockingham County than there is housing in which they can live. Generally speaking, when demand for housing exceeds supply, prices go up... that's what we're been seeing over the past few years. So, what's the answer? If there are 134,000 people living in Harrisonburg and Rockingham County, but there are 140,000 or 150,000 who would like to live here... ...the only path towards a more balanced housing market is to have... ...more homes. So, whether it's new homes being built to be sold... or new homes being built to be rented... that will help bring balance to our local housing market. It's certainly not clear how much more housing is needed, in what locations, or of what property types, sizes, or prices... but overall, more housing needs to be created (built) to account for the ever increasing number of people who would like to live in this area. 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).
Comments (0) or Subscribe