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The regional median home price was up again in October, despite shrinking demand heading into the winter season. The median sold price settled at $440,000 this month compared to $425,000 in October of 2022, representing a nearly 4% year-over-year increase. Units sold were down nearly 20%, coming in at 410 this October compared to 506 units sold last year. Total sold dollar volume was down nearly 19%, posting approximately $195.5 million in sales for October of 2023 compared to $240 million in sales last year.
Spotsylvania County was especially notable in October posting its second highest median sold price on record. The month saw prices soar to $470,000 compared to $400,000 in October of last year. This price was eclipsed only by August of this year when median price rose to $472,500.
Days on market, the time it takes from when a listing enters the market until it receives a ratified contract and is removed from active status on the multiple listing service, was static compared to last October, coming in at 26 days. Continued constrained supply is keeping days on market down since there isn’t much out there for active buyers to choose from.
Inventory was also down again in October, finishing out the month with 900 active listings compared to 1,012 last year, an 11% decline. New listings were down nearly 20% from last October with 514 homes coming on the market in 2023 compared to 638 last year. New pending sales were down 10% in October, with 424 pending contracts compared to 470 last year. Inventory continues to be challenged as homeowners experience the “lock-in” effect of having very low existing mortgage rates. In the last 10 years, the average rate of mortgages in the Commonwealth fell from 5.2% to 3.8% as people bought homes or refinanced existing mortgages when rates sank to their lowest in history. As rates have increased over the last year, there is a huge delta between what mortgage rate homeowners have right now and what rate they would get if they moved. This delta locks them into their current properties as they wait for rates to come down before considering a move.
The tide may be turning on increasing mortgage rates as the Mortgage Bankers Association came out with their 2024 projections showing great news for 2024. “The mortgage rate is predicted to be in the low 6% range by the fourth quarter of 2024,” states FAAR Board of Director Sherrie Shaw. “Even better, 2025 rates are projected to be in the mid-5% range, which should really help in getting sellers off the sidelines.” A moderation in mortgage rates will help motivate move-up buyers to list their homes and ease the inventory crunch that has plagued the market for years now.
REALTORS® and Affiliates members did a tremendous job of seeking out cereal this year! Members and friends ended up collecting 18,639 boxes of shelf-stable food for our community.
Affiliate collecting the most boxes
Nationwide Mortgage Bankers – 400 boxes
Most Cereal Per Agent
1st Choice Better Homes and Land – 4,443 boxes
Next Home Stellar Realty – 440 boxes
Runner-ups Most Cereal
Century 21 New Millennium Fredericksburg – 5,137 boxes
Long and Foster Fredericksburg – 5,260 boxes
Thank you also to these cereal collectors!
Century 21 Redwood – Locust Grove/ Fredericksburg
Coldwell Banker Elite Downtown
Cropper Home Sales
Berkshire Hathaway Home Services Pen Fed Realty Stafford
Long and Foster Lake Anna
Coldwell Banker Elite Stafford
Keller Williams Capital Properties Fredericksburg
Holt for Homes
Century 21 Redwood
Next Home Stellar Realty
The weather might be cooling off, but local home prices certainly are not. The region’s median sold price was up nearly 4% in September coming in at $435,000 compared to $420,000 last September. Volume of sales continues its downward trend posting a nearly 17% decline from last year, with approximately $207.4 million in sales this September compared to $249.1 million during the same period last year. High prices and lack of inventory continue to depress demand with units sold down another 21% this September with 552 homes sold last year compared to 435 homes sold this year.
“The Fredericksburg area real estate market remains subject to various external factors, with interest rates being a prominent influence,” states FAAR Board of Director LeAnn Black. “We are seeing a marginal uptick in the number of days properties spend on the market and this presents a favorable window of opportunity for homebuyers. They aren’t merely searching for any home; they are seeking move-in-ready properties and are often willing to pay a premium for such convenience.”
Days on market, the time it takes from when a listing enters the market until it receives a ratified contract and is removed from active status on the multiple listing service, remained similar to last year. Houses were on the market for an average of 25 days this September compared to 23 days last year.
Inventory was also down again in September, finishing out the month with 859 active listings compared to 1,038 last year, a 17% decline. New listings were down a whopping 37% from last year with 491 homes coming on the market in September of 2023 compared to 775 last year. New pending sales were down 26% in September, with 414 pending contracts compared to 557 last year. Mortgage interest rates approaching 8% have would-be sellers holding off, contributing to the already low housing inventory.
“Current homeowners have been benefiting from their prevailing low interest rates, prompting many to remain on the sidelines,” continues Black. “Home sellers could explore an alternative option: the average home equity in Virginia currently stands at approximately $147,000. Home prices in the area continue to rise steadily. By selling their current homes and utilizing their accrued equity to bolster their down payment on a new property, home sellers can potentially mitigate the impact of current interest rates. This strategic move could prove advantageous in navigating the evolving real estate landscape.”
City of Fredericksburg
Kerry Devine, Mayor
City of Fredericksburg, City Council
Kerry is a 20-year resident of the City and will focus on continuing the great things that have been started. She has served on the Council for many years and is a long-time educator in area schools.
Will Mackintosh, At-Large
City of Fredericksburg, City Council
Will is a professor at the University of Mary Washington with a deep knowledge of the City of Fredericksburg. He understands the important role that growth plays in a thriving jurisdiction and FAAR looks forward to working with him on the City Council.
Carrie Gonzalez, At-Large
King George County Board of Supervisors
Carrie has been a member of the King George School Board since 2019 and has learned a lot about the budgeting process. She believes growth is inevitable and that we must plan for it in a way that works for the County and its residents.
Bryan Nicol, District 5
Orange County Board of Supervisors
Bryan has lived in Lake of the Woods since 2006 and has served as an Orange County Planning Commissioner for the past two years. He believes housing is a huge issue and that we need a broad mix of housing to meet the needs of our citizens.
Dr. Deborah Frazier, Salem District
Spotsylvania County Board of Supervisors
Dr. Frazier has been on the Board of Supervisors since 2019 and her main concern is ensuring that County residents have adequate infrastructure. She is currently a middle school principal in the County and wants to see a greater range of housing options so that more of her teachers can afford to live where they teach.
Gerald Childress, Chancellor District
Spotsylvania County Board of Supervisors
Gerald is a native of Spotsylvania County and a former Marine. He was the Chairman of the EDA and currently serves on the Planning Commission. He wants to see greater commercial development to balance the tax burden on homeowners and is supportive of a wide range of housing options in the County.
Howard Rudat, Rock Hill District
Stafford County Board of Supervisors
Howard is retired Army and a small business owner in the County. He believes growth is inevitable and that we must embrace it and plan for it. He believes that downzoning was a mistake, creating more sprawl and denying farmers their value. He is looking forward to working with all stakeholders to try and build more affordable housing and expand our region’s workforce.
Tom Coen, George Washington District
Stafford County Board of Supervisors
Tom is a long-time ally of FAAR, standing strong with us in opposition to downzoning and encouraging a focus on affordable housing. Tom wants to work collaboratively with stakeholders and government officials to solve the issues facing the County.
Stafford County Commissioner of the Revenue
Scott was first elected in the 1990s and has served Stafford County for many years. He is a strong proponent for private property rights and has been an ally to real estate on important issues like the downzoning. Scott is a calm and steady voice within the County and understands the value of real estate to the local economy.
Community Service Committee Volunteer Opportunity
The Community Service Committee has scheduled a volunteer opportunity for 10 volunteers with the Fredericksburg Regional Food Bank for Saturday, October 7th from 8:45 AM to noon to pack food boxes for seniors.
Signing up to Volunteer
Anyone who will be volunteering will need to email firstname.lastname@example.org AND register as a volunteer through fredfood.org. After you create an account and/or are registered through fredfood.org for the October 7th event, you will be added as a “team member” to the volunteer opportunity.
Children 10 and up can volunteer too!
In addition to being open to FAAR members and friends, children 10 years old and up can participate as well, as long as they’re accompanied by a parent/guardian. Please complete the below Youth Consent Form and email it to Dominique Thomas via scan or email.
Thank you and reach out to email@example.com if you have any questions.
Wednesday’s Virginia REALTORS® awards event in Richmond was a night to remember, filled with excitement and celebration. We are thrilled to announce and congratulate our very own Fredericksburg Area Association of REALTORS® (FAAR) members who received well-deserved honors and recognition. Their hard work, dedication, and outstanding contributions to the real estate community have not gone unnoticed.
Clay Murray – 2023 Virginia REALTORS® Good Neighbor Award
Clay Murray was honored with the prestigious 2023 Virginia REALTORS® Good Neighbor Award. This award recognizes individuals who go above and beyond to make a positive impact in their communities. Clay’s commitment to helping others and his dedication to improving the lives of those around him make him a true Good Neighbor. We are incredibly proud of you, Clay!
Sha Williams-Hinnant – 2023 Virginia CRS of the Year
Another shining star of the night was Sha Williams-Hinnant. Sha was named the 2023 Virginia Certified Residential Specialist (CRS) of the Year. This award recognizes excellence and expertise in residential real estate, and Sha has proven time and again that she is at the top of her game. Congratulations, Sha, on this incredible achievement!
Tamar Myers-Moffatt, 2024 Virginia REALTORS® Board of Directors
Drew Fristoe, 2024 Virginia REALTORS® Board of Directors
Tamar Myers-Moffatt and Drew Fristoe have been installed to the 2024 Virginia REALTORS® Board of Directors. This is a testament to their leadership, dedication, and commitment to advancing the real estate industry. We have no doubt that they will continue to serve with excellence.
Congratulations to all our FAAR honorees! Your achievements are a source of inspiration to us all, and we are proud to have you as part of our FAAR family. Thank you for your hard work, passion, and unwavering commitment to the real estate profession. Here’s to a bright future filled with continued success and accomplishments!
The regional median home price was up again in August, with every locality seeing increases. The median sold price settled at $450,000 in August of 2023 compared to $427,000 in August of 2022, representing a nearly 6% year-over-year increase. Units sold were down 25%, coming in at 516 compared to 691 units sold last August. Total sold dollar volume was down over 18%, posting approximately $256.2 million in sales for August of 2023 compared to $313 million in sales last year.
“In the thriving real estate landscape of the Fredericksburg region, a fascinating interplay between factors is shaping the current market conditions,” states FAAR Board of Director Matthew Rathbun. “The realm of rising home prices harmonizing with gradually increasing interest rates has unquestionably left its mark on the real estate landscape. We are observing a small, but notable rise in the months supply of available housing, along with sales prices commanding an average of 103% of the initial asking prices.”
The City of Fredericksburg posted its highest median sales price on record, coming in at $535,000 in August, up 31% from last year. The City is a smaller market so more subject to fluctuations in the housing stock sold, but that number is still notable. The City’s lowest median price in the last ten years came in May of 2015 with a median sold price of just $210,575.
Days on market, the time it takes from when a listing enters the market until it receives a ratified contract and is removed from active status on the multiple listing service, remained static from last year. Houses were on the market for an average of 23 days this August compared to 22 days last year.
Inventory was also down again in August, finishing out the month with 848 active listings compared to 979 last year, a 13% decline. After trending up into the 1,000+ homes on the market for the second half of 2022, the market seems to have settled into a consistent 700-900 homes on the market. This new normal is about 1,000 homes short of pre-2020 levels. New listings were down 16% from last year with 603 homes coming on the market in August of 2023 compared to 722 last year. New pending sales were down 12% in August, with 521 pending contracts compared to 591 last year.
Rathbun continues, “Home sellers are exhibiting a degree of caution in the idea of selling their residences due to the desire to retain historically low interest rates they’ve secured over the past decade. This inclination is, in turn, contributing to the limited inventory of available homes. Prospective homebuyers are navigating a landscape that elicits a sense of exhaustion because of the scarcity of options. While the trend of multiple offers persists for freshly-listed homes, the fervor and urgency seen in buyers over the last three years are undergoing a gradual reduction. As the year unfolds, it’s foreseeable that sales prices will maintain their slight upward trajectory due to the scarcity-driven competition, even as buyer activity tapers off as the year draws to a close. The convergence of an early start to the school season, a constrained housing inventory, and the upward movement of interest rates collectively suggest a notable slowing of the market’s momentum as we transition from the vibrant autumn season into the winter months.”
Your copy of the August Newsletter, the FAARside is here! Crack open a copy for updates on local real estate and so much more!
Inside you will find
- Message from the 2023 FAAR President, Carol Sondrini
- Message from the CEO, Page Browning
- 2024 Leadership candidate bios
- Thank you to RPAC investors
- Information on rollback taxes
- How Real Estate Compensation Works
- RPR how-tos
Right click here or the image and click “Save as” to download
Flip through the directory to see all of FAAR’s affiliate members organized A to Z by company and also by service in the annual directory.
Not only will this guide you to some of the best companies in the local area, but the directory also contains committee contacts, member benefits, upcoming event calendar, how to make additions to your FAAR profile, and more!
Download your copy here or pick up a print copy of the directory at FAAR today!
Looking to search within all FAAR members? Use the member search function at faarmembers.com/member-search to sort by member type, languages spoken, and more
See anything missing or incorrect? Let FAAR know via email at firstname.lastname@example.org
The REALTOR® Cereal Drive is back!
2022 was an amazing year for the annual REALTOR® cereal drive. Help us beat our 2022 numbers and reach the 2023 goal of 20,000 boxes, all of which go to local area food banks! Use the cereal drive as a way to reconnect with your sphere and look for REALTOR®-branded marketing pieces (post-card and flyer) to enhance efforts of collecting cereal from clients and customers.
Let us know if your office plans to participate by emailing Barbara Castillo McGrath with your office and contact information by October 3rd.
Collected cereal can be dropped off at the October 26th Halloween Mixer at Wilderness Run Winery from 5-7 PM or for large pick-ups, the Fredericksburg food van can be scheduled to pick up from your location!
Download this square image to help with your marketing
Download this square image to help with your marketing
*Not attending the mixer? Just drop directly at the food bank and inform Barbara Castillo McGrath of your box count by October 26 at email@example.com.
* Want your cereal to go to a different food bank/pantry? No problem, take it wherever you like and send cereal counts by October 26 to firstname.lastname@example.org.
*Collecting cash instead? That’s great! Bring the donation to the Halloween Mixer or FAAR by October 26th and it will be counted as $1 = 1 Box!
Cereal Drive Office Contest Sign Up 2023
Yes.. I want my office to participate in the annual FAAR Cereal Drive.
The regional median home price was up again in October, despite shrinking demand heading into the winter season. The median sold price settled at $440,000 this month compared to $425,000 in October of 2022, representing a nearly 4% year-over-year increase. Units...
The weather might be cooling off, but local home prices certainly are not. The region’s median sold price was up nearly 4% in September coming in at $435,000 compared to $420,000 last September. Volume of sales continues its downward trend posting a nearly 17%...
Louisa County has spent the last 18 months crafting short-term rental regulations. A working group recently reported a revised version of an ordinance to the Planning Commission. This draft is the least restrictive of all that's come out of these discussions. This...
Wednesday's Virginia REALTORS® awards event in Richmond was a night to remember, filled with excitement and celebration. We are thrilled to announce and congratulate our very own Fredericksburg Area Association of REALTORS® (FAAR) members who received well-deserved...