The metro Richmond area real estate market in 2023 demonstrated both resilience and competitiveness, making it one of the most active markets in the state. As we step into 2024, most trends and predictions suggest a dynamic year ahead. Market Overview and Trends in 2023: Throughout 2023, our market was a ALL about the sellers. With high demand and competitive bidding holding steady all year, it was a tough one for buyers, particularly as interest rates ticked up to nearly 8%. A significant portion of sales, (about 55.4%) closed at prices above the listing price, indicating a highly competitive environment​​. The average sale price of homes in Richmond maintained an upward trend as well,  fueled by the influx of young professionals and steady population growth in the area. One of the more difficult hurdles buyers faced was the inventory shortage- while already tight, it was made worse by sellers not moving because going from a 3% (or sub 3%, in many cases) rate to one that's 7 or 8 was just too unappealing. Housing Affordability and Demand: The concern for affordability continued to grow in 2023 due to rising interest rates and low housing inventory. This situation made homeownership more challenging for many potential buyers. Despite these challenges, Richmond's real estate market continued to thrive, with the rental market showing particularly strong growth. Rent prices increased by 22% over the past two years, in fact. The Richmond area is one where generally, it is still less expensive to buy than rent, though, which makes it good for both buyers of primary residences and those buying investment property. 2024 Predictions: Looking forward to 2024, the Richmond Metropolitan Statistical Area (MSA) forecasts a stable outlook,  While some predictions show a slight dip in housing market performance by the end of the year, headed into a major election that seems nearly impossible to predict.  The Virginia housing market as a whole is expected to see an 11.4% increase in home sales compared to the past year, suggesting a rebound from 2023's relative decline. Home prices are also projected to rise modestly, by about 1.2%​​​​. Real Estate Investment in Richmond: Richmond continues to be an attractive option for real estate investors, particularly those interested in the rental market, due to the large student population. The city's status as the state capital and a hub for commerce and education enhances its appeal for investment. The market is expected to yield good returns in the long term, with home prices showing a year-over-year upward trend​​. The Richmond real estate market in 2024 is poised for a year of adaptation and change. While challenges like low inventory and affordability constraints still exist, the market is expected to remain competitive and moving throughout the year. As we head into a spring market with lower mortgage rates, more buyers will surely be out home shopping. It is a great time to think about selling if you've been on the fence (and easier, as a result, to find something to purchase after your sale). If you're thinking of purchasing in 2024, this is the time to start building a game plan and getting your pre approval. As rates dip lower, competition for the homes available will absolutely increase. Make sure you're ready when you find "the one."  For investors and homebuyers alike, understanding these dynamics and staying informed will be crucial for navigating this evolving market. Richmond's steady population growth, thriving job market, and diverse real estate options make it a unique opportunity in the rental and overall housing market, through 2024. Curious about the value of your home, or what you can purchase? Reach out to me today and let's discuss!

So you're thinking about buying a house, or a condo, or a townhouse, or something? How do you decide on what the right type of home to purchase is based on your budget and your lifestyle? First of all, a lot of people, with lower price ranges particularly, often think a condo or a townhouse is going to solve all their problems, because usually, they're a little less expensive, in most cases than a single-family home. Don't forget that one of the things you have to include, and that your lender is going to look at, in your qualifications number, is the homeowners association, the condo association, whatever they want to call it, that community that you're joining is going to have a fee every month. Sometimes it's going to have special assessments, sometimes those fees can go up. But always, you're going to want to make sure that the fee that is there now is going to work with your budget and the payment that you're going to end up with, and that it's going to cover enough to make you feel comfortable spending that money. The main difference between a townhouse and a condo is the type of ownership. Basically, in a condo, you own what's inside the four walls. Often people think of condos as units in a building like apartments. But, sometimes townhome-looking things can be condos as well. But again, you only own what's inside those four walls. As opposed to having any land or garden yard, whatever that is yours. Obviously with a single-family home, unless you're in a maintenance-free community, all of that exterior maintenance is going to be yours with a townhouse or a condo. Often, that fee is going to cover things like the landscaping and the outdoor areas. Usually, if there's a pool or other amenities, tennis courts, that sort of thing, it's going to cover those as well. But often, it will also cover siding, the roof, the exterior items like doors, and things like that. But those are going to be on a schedule. So there are a lot of moving parts. When you start looking at those associations, what they cover, and how they're covered, you might be thinking, well, I'm not going to pay $250 a month because I can buy a house and then I'll just mow my own grass. But, you can usually pretty much assume that you're going to end up somehow spending at least $250 a month on your single-family home unless you are kicking some maintenance items down the road a little piece. So while the money is important, often the lifestyle is even more important. More maintenance-free options, like townhomes and condos, I think are fantastic for a lock-it-and-leave-it mentality. If you travel a lot for work or you travel a lot for pleasure, or you just don't have time to do yard work or it's just not something you want to do. You don't want to have to worry about getting quotes on a new roof. You want somebody else to deal with that. Or maybe you want the amenities that come with a townhome, a maintenance-free community, or a condo. Those are really lifestyle differences instead of just simple financial ones. Make sure that you read those documents well. You do have a three-day right of rescission, if you can't live with the way that they take care of the property, what you're paying for, or if it looks like their finances are shaky. You want to make sure that you're comfortable not only with the amount of money, but also what you're getting for the amount of money you're paying. A condo or townhome may be for you if you want to have a little bit more of a hands-off approach to maintenance. Sometimes it's worth it and sometimes it's not. If you're thinking about buying I'd love to talk through it with you and help you determine what the best deal for you is for both your budget and your lifestyle to make sure that the home that you buy is one that you love to live in. Give me a call send me a message shoot me an email and let's get started.

Do you even need a realtor to set up a search for you if you're just starting your search process? There are so many search portals out there that often when people get started on their search, they start on the internet, they start looking at all of those portals. And we'll say to a realtor, I don't need you to set up a search, I already have access to all this other stuff. So if you're thinking about looking for a home, or you're starting to seriously look for a home, and your agent says, hey, I want to set you up with a search portal, there are a few reasons why you might want to do that. First of all, the timeliness with which that information gets syndicated out to all those other sites, sometimes it can take two days. And in two days, in this market, you may have missed the boat on that home that you could have fallen in love with. Secondly, it's a great little reminder for your agent. If I am looking for five different buyers and I have searches set up, it's going to send me a copy of that too. So I am also able to get that little tap on the shoulder from the multiple listing service, letting me know hey, there is a house that you know, Bob and Mary Smith might love. It's also a great way to communicate with your agent because you can put notes on there. So as we're sometimes learning what you like and what you don't like, if you're putting notes on there that say things like I love this location, but I hate this kitchen, then that helps me if I'm your agent learn a little bit better about what you like. So always don't get too specific in those things, but it really does shorten that learning curve a little bit and help make your home search a little bit more efficient. So if your agent says, "Let me set you up with a search portal", don't just wave it off. Yes, it's one more email. But hopefully it won't take very long before you'll be able to find the home that you love. It'll be easier, shorten that learning curve, and make sure that you're knowing exactly what comes on the market exactly when it comes on the market and not two days later. If you have any questions about the home buying process, the home searching process, I'd love to talk to you more, give me a call, send me an email or shoot me a message and let's chat.

You've got to be kidding, we're still having multiple offer situations. Fortunately, or unfortunately, yes, we are still seeing multiple offer situations all over the place every week, every day, in lots of different price ranges with lots of different homes. So if you're thinking of buying, I wanted to break down just a little bit of what you can. I don't know that I want to say look forward to but maybe expect if you're looking at a home and likely to run into a multiple offer situation. So working with your buyer's agent, you're going to look at all of the homes that have sold in the area that are kind of comparable and get a feel for what homes are selling for. Now, if a home sold a year ago, it's not really going to be a great comp. So don't hang your hat on that and get hung up on what somebody paid six months or a year ago. I can almost guarantee you, the house that you're going to buy is going to end up costing more than the same house sold for six months ago or a year ago. That's just what the market is doing right now. So make sure that you're realistic in what things are costing, what homes are selling for, and what you're willing to pay. If the house is turnkey and doesn't need anything that has a value beyond just the dollar amount of those individual fixes. So if that's what you're looking for a turnkey situation, give that the credit that it's due, and go a little bit higher, knowing that you're going to be able to move in and put your feet up. Rather than have to do a whole bunch of projects in the first month you're living there, the more information you can find out the better. So if you know how many offers, if your agent can find out how many offer their offers, there is anything that you can find out is going to help you. Keep in mind that it's not always about price, you can add a lot of little details to your offer that are going to make it more appealing that might be the closing date, it might be inspection terms, it might be a rent back that the seller wants or needs. Or it may be something totally random, like, you know, they need to have an extra three weeks because they have to clean out the garage. The more things that you give them like that the more appealing your offer is going to be. But often it really does come down to price. So make sure that you are looking at current comparables with your agent and coming up with a price that is good today. If you're thinking about buying, and you're curious about multiple offer situations, how they work, how to navigate them how to get the best deal for you, while also winning the house. Give me a call. I'd love to help we'll walk you through it. And my goal is always to walk you through it a little bit before we get to the day that you find the house that you love. So they have a little bit more information to navigate those waters without just jumping in cold and having to swim. Give me a call. I'd love to talk to you.

Here are a couple of reasons why you may not want to buy a house in 2023 or 2024. The market that we're in is a little weird. And with rates a little higher property values a little higher, and things a little bit tighter in regard to inventory. It is definitely a little harder to get into homeownership now, if you are not already in the game, so to speak. So, the first reason that you may not want to buy a home in 2023, with the higher values and the higher interest rates is, if you are thinking you are not going to be in the home for at least two to five years. You probably want to wait and hold off on buying for a little while, given the interest rate and the cost of homes right now. And all of the fees and costs associated with buying a home your closing costs, etc. You may well not recoup the money that you put in, in that two year period, enough to make any sort of gain when you go to sell, if it is in two years or less. I am almost always going to say that time in the market is better than timing the market. So I talked to a lot of potential buyers, a lot of first-time buyers who are waiting for interest rates to drop. They're hoping that interest rates are going to drop and prices are going to drop. Those things very seldom happen at the same time. My advice to them is if you buy now, at a higher interest rate, you can always refinance later, but odds are if you wait to buy, those prices are going to be higher. So while rates may come down, prices will still continue to go up, because we're still in an inventory shortage. So buying now is going to give you more time in the market for that property to appreciate and your interest rate can always go down. I say that with the caveat that you don't want to buy a house on the market right now if you cannot afford the payment. Please, please, please do not spend every dime of your savings on the down payment for a house and put yourself in a position where you're not able to go out to eat, take a vacation, buy furniture, come up with the money for unexpected expenses like your car breaks down or somebody needs a medical procedure. Things like that are not worth getting in the market if you're not quite ready. So even if you're ready, even if you're thinking about buying a home, talk to an agent that you trust and talk to a mortgage lender to get a good idea of what your payments are going to be what your costs are going to be. And it's okay to wait if you're not ready. Just don't wait too long, or wait too long thinking that that dream home that you can't afford now is going to be affordable in two years unless you know that you're going to get a significant bump in pay. But if you have any questions about buying, I'd love to talk to you. I'd love to help you decide if now is the right time and what might be a reasonable way to get your foot in the door right now. So that dream home may be two years away but you've started the process now give me a call or send me a message I'd love to talk to you.

Who pays for what when you're buying or selling a house: buyer edition. So if you're buying a house, sometimes when you get excited you think about the process, and you're really focused on looking at homes and that whole emotional aspect of it, you don't necessarily think about all of the little things that come along the way, and who pays for them. So when you're buying a home, the first thing once you have found the house that you love, and you're writing the offer, of the first things you're going to do is you're going to write a check to send a wire for the earnest money deposit. Now, that is basically a deposit that is going to be held in escrow. So it doesn't go directly to the seller in the state of Virginia, in the state of Virginia, that is all I can talk about because that is where I am licensed. So in the state of Virginia, it does not go directly to the seller, it gets held by the settlement agent that you're going to use to do your closing, or the real estate company that you are working with to buy your home, that generally needs to be about 1% of the entire purchase price of the home. So if your house is $500,000, you probably want to write about $5,000. As your earnest money deposit, it basically binds the contract again, it gets held in an escrow account until closing. So if you were originally going to have to bring $100,000 to closing, you will then only have to bring $95,000 Because that $5000 gets applied to whatever else you bring to closing for your downpayment, your closing costs. Another thing you're gonna have to pay for as the buyer is any inspections that you have. And we are now still in a crazy tight market, but we are seeing a good number of inspections. And they can range in price from $100 to $1,000, depending on the type of inspection. And what I always tell people is you can have as many inspections as you are willing to pay for. You have to weigh that out and discuss that with your agent, because you may know that you want to have a camera sewer inspection on one house, and on another house, it may not seem as important. So sometimes those numbers and those types of inspections depend on what you're buying, and where and all that good stuff. So remember, the seller is not paying for any inspections except the pest, Wood Destroying Insect, inspection. That is the one that they're paying for and it usually costs them $100 or less. Once you've covered that earnest money deposit and your inspections, your next cost is going to be your appraisal. And if you're going to have a survey. And your appraisal is generally going to be in the 600 to $1,000 range. And that survey, if you want to have one, a lot of lenders don't require them anymore, but they vary widely depending on the property, the type of property, where it is, how difficult it is to survey, and 100 other things. So I can't give you an estimate there. But those generally are going to be things that you're going to have to pay for out of pocket, because should the loan not go through, those people still want to be paid. So they're going to want the money upfront and not rolled into your closing costs that happen on closing day. After you get through those financial hurdles, you're not going to have to pay anything really until you get to the settlement table and then you're going to have all of your lender fees, your attorney fees, your title insurance, your points that you might have with your mortgage, there are a whole bunch of things and I have another video that kind of breaks down the closing costs, so go check that out if you want a little bit more detailed info on what your closing costs entail. But at settlement, you're going to get that earnest money deposit that you paid upfront applied to that number and then you're going to have all of your closing costs and the actual amount that you're paying for your down payment. And then you're done. But those little along-the-way fees sometimes get lost and all the excitement so just make sure that you've budgeted and that you've got the cash, even if you're putting a relatively low down payment, make sure you've got the cash to cover all those other things that you might want to do along the way or that you're going to be required to do. If you have any questions or you want a little bit more detailed information about what things might look like for you in your financial situation with the home that you want to purchase. Give me a call I'd love to chat and help you make your homeownership dreams come true.

Well, you've heard the saying "no news is good news," but really, there's not a whole lot of news, and depending on your perspective, of course, not much is that good. What a bummer that sounds like. I know, I know. But let's unpack it a bit. Despite interest rates sneaking perilously close to 8%, which is a 23 year high, it is STILL a seller's market. While the rates have certainly sidelined some potential buyers, the fact remains that we are still in a nationwide, regional, and local housing shortage. Basic laws of supply and demand are in play in the market, with more buyers than sellers, causing prices to continue to rise even with the increase in rates that would normally slow the price increases. (As it is, prices have increased 4% year over year) The hardest hit buyers in the market are obviously those first time buyers and/or buyers in lower price ranges. There are simply not many homes in the $150,000-$250,000 range to be had right now. In fact, I had a client write an offer (not a bad offer, either) on a home that was listed at $150,000 last week, and the listing agent let me know that they had 63 offers. SIXTY THREE. I knew they'd have a lot, but I was gobsmacked by that number. One reason for the shortage, as I know I've mentioned before, is the fact that nearly 85% of homeowners have rates below 5%, and unless they really need to sell, it's not terribly tempting for them to sell and move into a higher rate mortgage. Now, if you have owned your home a while, have great equity and no mortgage, it's still an absolutely terrific time to sell. While we are still seeing lots of multiple offer situations, we're also seeing homes that need a bit of work or that don't show well, sit on the market a bit longer than they would have even a few months ago. So while it is a good time to sell, I cannot overstate that having a great agent who will help you prep your home to sell, market it well, and commit to following up, is worth its weight in gold. Putting in that extra work will not only get you more money, but actually get your home sold in a reasonable amount of time. In this market, the "half baked" listings, or those priced too aggressively, are the ones that are sitting for longer, getting lower offers with less favorable terms, and having to make price reductions to get it sold. I hear your, "But what if I'm a buyer? Should I just give up?" No! But, if you're buying, I definitely have some tips- Broaden your parameters. Yes, sometimes you need to reduce your expectations. Maybe that chef's kitchen isn't in the cards right now, but you can find a home in your "perfect" neighborhood, with less "done" and more potential. Check into loan programs and grants that may offer you downpayment and closing cost assistance. They're out there! If you're stuck on that higher budget home, look into things like rate buy downs that will lower your rate for the first 3, 2, or 1 years. Run all your numbers, though, and please don't jump into the situation that works now but can be a nightmare later! Remember that especially if it's your first home, it doesn't have to be your "forever" home! Getting your foot (or toe!) in the door of the market is still a lot easier than waiting, when prices will definitely be higher (and rates may be the same or higher). It's much better to buy less house and keep your lifestyle than overcommit and end up house poor. Building equity (for most people, at least) is still better than paying rent! How can I help you meet your real estate goals to get you where you want to be? I'd love to answer any questions you might have about buying or selling, and help give you the tools you need to get there. Let's talk!  

Marry the house date, the rate, marry the house date, the rate. This is something that if you spend any time on social media, and you've even dipped your toe into thinking about real estate, you've probably heard or seen someone say. It's a phrase that I kind of hate because I think it minimizes the whole experience and doesn't really talk about all of the nuances, but let's unpack it a little bit and look at that phrase in terms of the current market, and why it might be worth digging into a little bit. So simple economic principles, say if inventory is low and demand is high prices are going to go up, we have been in a historically low inventory situation in housing in the entire country for a while now. And that will continue for a while longer. So while the high interest rates have sidelined, some of the I'd like to buy a house people, there are still lots of people who actually need to buy a house and it has not sidelined them. So there's still a good amount of demand, and not a lot of inventory on the market, which means prices will likely continue to rise, despite the fact that interest rates are high. So while they are expected to go down in the probably first/second quarter of 2024, they will first of all, maybe never go back to 3%. So if you're waiting for that, like as my father used to say, if you're waiting for that you're backing up. You're not going to get anywhere, because that's very unlikely to happen. But even if they go down, when they go down, those prices are not going to go down at the same time. Because obviously, interest rates go down, those prices are going to go up because all of those I'd like to buy a house people are going to come back into the market. So demand will go up, and inventory is not going to change radically. And those prices are going to continue to escalate. So if you're thinking about buying and you are particularly renting in the meantime, if you can afford it, if you're ready, buying now is probably going to be a better financial decision than paying rent until six months or a year down the road, when maybe rates are lower, but prices will almost definitely be higher. So if you're thinking about buying or you think, you know, hey, maybe I'll buy a house in the spring, I'm going to save up more money, or whatever your thought process is. If you're thinking of buying anytime in the next six months to a year, give me a call, and let's talk, break down the numbers, look at what the projections are for the area and the type of house that you're looking at, and the price range. All of those things go into figuring out these numbers, but I'd love to talk to you. I'd love to help you determine if now is the right time or if it's the good time to wait and help you make those calculations that fit your personal finances and life plan.

So believe it or not, even in this market, pricing is incredibly important. And if you're wondering why your house has been sitting or why a house hasn't gone off the market that you've been seeing over and over in your search, if you're buying, it is price, it is literally always price. When I was a pretty new agent, I remember sitting in the office, and there was an agent who had a listing that hadn't sold very quickly. And this again, was a long time ago when things didn't fly off the market like they do now. And she was asking everybody to take a look at her listing and see if they could tell why it hadn't sold. And even brand new, I said, I think it's the price. I think you need to drop the price. And she was indignant that it was not the price that it wasn't always the price. But, if you really think about it, think about you having a great house in a great location, but the condition of the house is rotten - price. You have a weird house in a great location, in great condition, what's going to move it - price. If you have any combination of those factors, and one is off, those are generally things that you can't change, or you can to some degree condition, yes, you probably don't want to totally renovate a house if it's got an unusual floorplan. So price is going to be a factor. And obviously, location, location location is something we say for a reason. And that's because it can't be changed, but what can be changed, is always the price. So this goes back to having a consultation and walking through with your realtor when you are starting to think about selling so that doesn't mean if you say I want to sell my house in September, that's when I want to sell that's when I want to move. You should be in a perfect world at least calling your agent a couple of months before so that we can come through, walkthrough, and tell you, Hey, you're going to get more bang for your buck if you paint, if you replace the front door, if you do a little landscaping. All of those little things can improve the condition which can maybe maximize an unusual floorplan and make it seem more livable. So if you're curious about what you might need to do to get your home ready for sale, or if you know you're going to want to sell your house in a couple of months I'd love to talk to you just give me a call. Reach out and let's set up a time to chat and I can walk through and give you a to-do list that will help you get more money for your home because it really is always price.

Dreams versus reality. Here are a couple of things that I implore you to please not do if you are thinking about starting to look for a home. In a perfect world, when we start looking for that perfect home for you we are able to find something that fits all of your needs, is going to be able to be your forever home, and is of course going to be totally Pinterest-worthy. The problem is that sometimes the Pinterest dream does not hit the budget reality. And if you're starting to shop for a home, whether it's your first home, your fifth home, or anything in between, our budgets are just a little bit less than what our dream looks like it's going to be. So while I do always encourage buyers that I'm working with to fill out a have-to-have list and an absolutely not list, make sure that those are actually giving you enough opportunity to be open to the possibilities that are actually available in your budget. Because otherwise, trust me it is a very discouraging process. Make sure that when you're talking about, thinking about, and writing down those must-haves they're things that are actually possible within your budget. And sometimes that really means looking at your whole house budget, your whole life budget, and talking to a lender to get that pre-approval number first. But remember, your first home doesn't have to be your forever home, your second home doesn't even have to be your forever home. So, spend more time with the lender and your budgets and looking at the houses that are actually available, rather than spending your time building your dream mansion that may be completely unattainable at this point in your life. Trust me, you can get there, but sometimes it takes a couple of houses to land where you really, really want to be. So when you're writing that list of must-haves and absolutely do not want to make sure it's a little more rooted in reality and a little less rooted in Pinterest. Sometimes it's really hard for those things to match perfectly, but we can usually get pretty close to the things that you need, the things that you want. And a lot of times a little special touch from you will get right back into that Pinterest or Instagram category. If you want a copy of my buyer's guide, or you're thinking about starting to look on your own, give me a call, reach out, or send me a message. I'd love to talk to you and help you get started building that wish list for that home that you might be ready to buy in six weeks, six months, or even a year. I'd love to talk.