Get Involved
Events and opportunities you can get involved inFredericksburg-area Real Estate Market Shows No Sign of Slowing Down
The local real estate market shows no signs of slowing down despite the ongoing pandemic, fears of another wave of the virus, continued economic contraction, and cooler weather approaching. Total sold dollar volume was up a whopping 63% from last year, coming in at approximately $291.1 million this October compared to $178.1 million last October. The region’s median price increased for the 19th straight month, soaring more than 13% year-over-year going from $310,000 in October of 2019 to $352,000 in October of this year. Units sold increased a record breaking 42% with 760 homes sold this October compared to 535 last year.
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, fell 50% with houses averaging a mere 20 days on the market in October 2020 compared to 40 days in October 2019.
“With the listing inventory still at an all-time low, the October market resulted in higher sales volume and increased sale prices,” comments FAAR Board of Director and affiliate member Donna Schmidt. “Escalation clauses were insane, with buyers foregoing home inspections and all other contingencies taking us back to the 2004-05 market. However, appraisers and Realtors® have tried to keep things in check and are doing an amazing job keeping up with the times.”
The region’s supply issues continue to frustrate buyers as the market saw another huge drop in active listings compared to last year at the same time. The region closed out October with just 653 homes on the market, a 59% decrease from last year. Realtors® would have said a year ago that supply was the biggest issue facing the market and that was when active listings were over 1,600. New listings provided a glimmer of hope again this month with a more than 13% increase in homes coming on the market over the same time last year. New listings are quickly being absorbed into current demand leading to higher units sold the next month. New pending transactions were strong again this month with a 44% increase, indicating that things are not slowing down.
Evictions now require a 14-day notice and other new laws…
From the Virginia Realtors…
Critical updates to help YOU operate within the law
Governor Northam called a special session of the General Assembly, which began on August 18, 2020. Throughout this session, Virginia REALTORS® worked to maintain the status of “essential” for our members, enabling them to remain open for business. The 2020 Special Session was limited in scope to legislation to assist with the pandemic response and police reform. Because housing is closely related to the pandemic, eviction legislation was a top priority.
Your Virginia REALTORS® Government Relations team worked tirelessly with senators, delegates, and the Governor’s office to strike a balance for our property managers, owners, and their tenants, as we all continue to rebuild our economy. Within that discussion and debate, we successfully shared the plight of small “mom and pop” owners, many of whom own just a couple of rental homes. In addition, we helped secure approximately $62 million of rental relief that is available for owners and tenants if they have been impacted by the COVID-19 pandemic.
Yesterday, the General Assembly concluded the 2020 Special Session. Some of the Governor’s Amendments to the Budget were not adopted which means the Governor has until December 9, 2020 to address the Budget (so the Budget is not yet final). The Budget contains language that controls legal processes for evictions, including language that dovetails with the federal eviction moratorium through December 31, 2020 issued by the Center for Disease Control (“CDC”). Although we do not anticipate the Budget language on evictions to change, it is important for members of Virginia REALTORS® to understand what is coming.
But first, it is important to be aware of one piece of legislation that has an emergency clause was signed into law by the Governor and is therefore effective on November 9, 2020. HB 5064 amends the Virginia Residential Landlord Tenant Act (“VRLTA”) to require a landlord who owns four or less dwelling units to give the tenant a 14-day notice instead of a 5-day notice for nonpayment of rent. For landlords who own five or more dwelling units, the VRLTA now requires a 14-day notice instead of a 5-day notice for nonpayment of rent, with the additional requirement that the tenant shall be offered the opportunity to enter a payment plan for the back-rent owed, with payments spread out over six months. Landlords and property managers should carefully review the provisions of HB 5064 by clicking this link. HB 5064 sunsets on June 30, 2021.
The major changes in landlord-tenant law are contained in the State Budget, which again is not yet effective but will be sometime in December.
Under this new language in the State Budget, Virginia will continue to operate under the CDC’s eviction moratorium until December 31, 2020. In Virginia, no landlord shall terminate a residential tenancy, or take any action to obtain possession of a dwelling unit, for non-payment of rent through December 31, 2020, unless such an eligible tenant refuses to apply for Virginia Rent and Mortgage Relief Program (“RMRP”) assistance and refuses to cooperate with the landlord in applying for rental assistance through the Virginia RMRP. If the tenant refuses to apply for rent relief or refuses to cooperate with the landlord in applying for rent relief, the landlord can proceed with the eviction process within 14 days of receipt of the written notice. However, no eviction is allowed to occur under the CDC eviction moratorium until after December 31, 2020. In addition, landlords must do the following:
If the owner owns LESS THAN 5 residential rental units, the owner or their agents MUST:
- Provide a notice to the tenant, if late on the rent:
- informing the tenant of the total amount due and owed;
- informing the tenant of the web-address of the Virginia Rent and Mortgage Relief Program – https://www.virginiahousing.com/RMRP – and the phone number to call to inquire, 2-1-1;
- informing the tenant that the landlord, owner, or agent SHALL apply on behalf of the tenant to the Virginia Rent and Mortgage Relief Program and that the landlord will cooperate with the tenant, if the tenant is applying; and
- comply with the 14-day notice provisions of HB 5064:
https://lis.virginia.gov/cgi-bin/legp604.exe?202+ful+HB5064ER2+pdf.
If the owner owns 5 OR MORE residential rental units (or more than a 10-percent interest in more than four rental dwelling units, whether individually or through a business entity), the owner or their agent MUST:
- Provide a notice to the tenant, if late on the rent:
- informing the tenant of the total amount due and owed;
- informing the tenant that if the tenant provides to the landlord a signed statement certifying that the tenant has experienced additional expenses or a loss of income due to the declared state of emergency (COVID-19), the tenant may, but is not required to, enter into a payment plan under which the tenant shall be required to pay the total amount due and owed in equal monthly installments over a period of the lesser of six months or the time remaining under the rental agreement. The total amount due and owed cannot include late fees, nor can late fees be assessed during the payment plan period so long as the tenant is making timely payments;
- informing the tenant of the web address of the Virginia Rent and Mortgage Relief Program – https://www.virginiahousing.com/RMRP – and the phone number to call to inquire, 2-1-1;
- informing the tenant that the landlord, owner, or agent SHALL apply on behalf of the tenant to the Virginia Rent and Mortgage Relief Program or that the landlord will cooperate with the tenant, if the tenant is applying; and
- comply with the 14-day provisions and the payment plan requirements of HB 5064:
https://lis.virginia.gov/cgi-bin/legp604.exe?202+ful+HB5064ER2+pdf.
The deadline for landlords to apply for rent relief on behalf of their tenants is November 30, 2020. It is vital that landlords begin the process of setting up a profile with the Rent and Mortgage Relief Program AS SOON AS POSSIBLE. Information on the program, how to create your profile, tenant eligibility, and how to apply for rent relief is available on the Virginia Housing website. The profile approval process can take up to 5 days before applications can begin, so please set up your profiles now. Funds are available for 100% rent relief for tenants who are making 80% AMI 30 days prior to the application. Funds can be proactively applied for through December 2020 so long as there is a lease in place.
In the coming days, we will send more information on how to proceed with your owners and tenants and what changes will go into effect after the federal eviction moratorium expires on December 31, 2020. Until then, we will continue working for you and your clients.
2020 Realtor Cereal Collection Drive Results
REALTORS® and Affiliates did a tremendous job of seeking out cereal this year! YOU CRUSHED the goal of 16,000 boxes and ended up collecting 28,022 boxes of shelf-stable food for our community.
Who won?
Affiliate collecting the most boxes – 4-way tie!
Tim Liddy with Charden – 200 boxes
Donna Schmidt with 2-10 Home Buyers Warranty – 200 boxes
Tony Bolding with Alcova Mortgage – 200 boxes
Katie Williams – First American Home Warranty – 200 boxes
Most Cereal Per Agent
1st Choice Better Homes and Land – 10,118 boxes total
Most Improved
Long and Foster – from 3,361 boxes in 2019 to 7,256 boxes in 2020
Runner-ups Most Cereal
Century 21 New Millennium – from 2,772 boxes in 2019 to 3,699 boxes in 2020
Weichert Realtors – from 527 boxes in 2019 to 3,303 boxes in 2020
United Real Estate Premier – from 806 boxes in 2019 to 1,554 boxes in 2020
Honorable Mention
Hometown Realty – first time participating and collected 325 boxes!
Grand Prize
1st Choice Better Homes and Land – 10,118 boxes!
Thank you also to these cereal collectors!
CTI Real Estate
Berkshire Hathaway Home Services
Century 21 Redwood
Universal Title
Coldwell Banker Elite King George/Colonial Beach
Topside Federal Credit Union
Regarday
Stafford County to consider downzoning on October 29
The Stafford County Board of Supervisors will host a joint public hearing with the Stafford County Planning Commission on Thursday, October 29 at 6:30pm on downzoning. This meeting will be held at Colonial Forge High School, located at 550 Courthouse Road, to allow for physical distancing. The only item on the agenda for the meeting will be Stafford County’s proposal to downzone land in the A-1 category from a minimum lot size of 1 home per 3 acres to 1 home per 10 acres. The Board can adjust that acreage down at that meeting, but cannot increase it and cannot consider any other alternatives to the downzoning. Check out Stafford’s website dedicated to downzoning for more details on the meeting.
The FAAR Board of Directors approved sending a letter to the Board of Supervisors and the Planning Commission in opposition to the proposed downzoning. The Association is concerned about the financial impacts to longtime landowners that have used the increasing value of their land as wealth creation over many years. For many, the security of their retirement is directly tied to the value of their land. In addition, many landowners are looking to family subdivision as the only affordable way to help their children stay in Stafford County and achieve the dream of homeownership in the place that they were raised.
FAAR requested 3 specific items be considered when looking at downzoning:
- Change the proposed minimum lot size from 10 acres to 6 acres
- Exclude A-1 properties that are located in the Urban Services Area from the downzoning as County planners have already identified those regions as capable of handling future growth
- Consider special considerations for family subdivisions such as reducing the required minimum lot size so that it remains viable for properties with lesser acreage
If you or your clients are concerned about what a downzoning could mean for property owners’ ability to do as they see fit with their land, consider attending the public hearing and letting your voice be heard. FAAR has created a special webpage related to downzoning that includes a sample letter of concern that can be emailed directly to each Supervisor. If you are unable or unwilling to attend the meeting in person, emailing your thoughts and concerns to the Stafford Board Members is a great way to convey your message. Once an action like downzoning is taken, it is very unlikely that it would be reversed, impacting both current and future landowners in the County.
Congratulations FAAR members appointed to 2021 NAR committees
Congratulations to these FAAR members
Please join us in congratulating the esteemed FAAR members who have been appointed to NAR committees for 2021. As of publication, 76 Virginia REALTORS® have been selected to serve on NAR committees, and several individuals received multiple appointments.
Congratulations to the following FAAR REALTORS® on being selected for NAR committee positions
Committee Appointments
Suzanne Brady – Consumer Communications Committee
Barbara Castillo – Professional Development Committee
Drew Fristoe – Sustainability Advisory Group
Kim McClellan – Land Use Property Rights and Environment Committee
Christine Singhass – Public Policy Coordinating Committee
Michael Straley – Real Property Valuation Committee
More of the Same in the Fredericksburg-area Real Estate Market
The local real estate market continues to experience high transaction volume, low inventory, and rising prices. As summer faded into early fall, inventory shrunk to just under one month of supply. A healthy, balanced market is generally considered to have a 6-month supply of homes. Total sold dollar volume was up nearly 49% from last year, coming in at approximately $275.9 million this September compared to $185.4 million last September. The region’s median price increased for the 18th straight month, soaring nearly 10% year-over-year going from $305,000 in September of 2019 to $335,000 in September of this year. Units sold also increased significantly, rising nearly 35% with 755 homes sold this September compared to 560 last year.
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, fell over 55% with houses averaging just 22 days on the market in September 2020 compared to 49 days in September 2019.
“The market is challenging right now in that it’s such a seller’s market and we desperately need more listings to help with the inventory shortage,” states FAAR Board Member Carol Sondrini. “Interest rates remain historically low which is encouraging for buyers as they have more purchasing power, but since the market is moving so rapidly, it often takes buyers a few offers on different properties to get a ratified contract.”
The region’s supply issues continue to frustrate buyers as the market saw another huge drop in active listings compared to last year at the same time. The region closed out September with just 609 homes on the market, a whopping 63% decrease from last September. New listings provided a glimmer of hope with an 8% increase in new listings over the same time last year. In September of 2019, 755 homes came onto the market, while 817 new listings came on this September. New pending transactions were strong again this month with a more than 34% increase, indicating that things are not slowing down.
How about a BONUS for your landlords???
Do you represent landlords throughout the region? Do you have some available properties? Then you’ll want to check out this program from our local non-profit partners that will house homeless families AND get your landlords a signing bonus! Read on for more details…
From Micah Ministries, administrator of the Stable Homes Partnership which serves Empowerhouse, Loisann’s Hope House, Micah and the Thurman Brisben Center
Recent CARES Act funding has presented an immediate opportunity for the Fredericksburg region to permanently re-house those experiencing homelessness. With your help, the majority of those currently staying in the community’s emergency shelters could be housed by Christmas. Our goal is to get 95 households housed in the next 90 days.
LANDLORDS: DOUBLE your rent for the first month!
Landlords have an extraordinary opportunity to join homeless services in ending homelessness in the Fredericksburg region! Sign a lease with a household experiencing homelessness between October 1 and Christmas Eve (December 24) and receive a signing bonus in addition to the regular security deposit and the first month’s rent. Your signing bonus will equal one month of rent. It is free and is our way of saying thank you for doing your part to end homelessness in the Fredericksburg region.
Make a house a HOME this Christmas!
Micah congregations have developed a system to collect donated furniture and household items. They will then distribute them to those who need it. Drop off gently used sofas, beds, tables, chairs, dressers and other household essentials at 1212 Lafayette Blvd., Tuesday through Thursday from 9am to 1pm or complete our online donation form to arrange a pick-up.
Want to get involved in the program? Call 540-760-3310 to connect with the Community Housing Locator.
Rental Assistance and the Eviction Moratorium
Eviction Moratorium
What is the current status of evictions in Virginia? Can landlords evict individuals for non-payment of rent or other lease violations?
The answer is yes, but with qualifications. While the statewide eviction moratorium has ended, the Centers for Disease Control and Prevention has instituted a nationwide eviction moratorium for folks unable to pay rent due to financial impacts of the coronavirus pandemic. Any renter who certifies that they meet certain criteria cannot be evicted for failure to pay rent. However, tenants can be evicted for other lease violations and Virginia courts are accepting unlawful detainers.
NAR has issued a brief on the federal eviction moratorium that details the criteria for protection. Check out the document below for full information.
Rent and Mortgage Assistance
Is there funding available to help tenants with rent and homeowners with mortgage payments?
Yes, the state has allotted federal CARES Act money to provide assistance to those who cannot make their rent or mortgage payments due to financial losses from the coronavirus pandemic. The Rappahannock Area United Way is the administrator of those funds in our area and is currently accepting applications for assistance. Please click the button below to be directed to the United Way’s website for information on the program, how it works and who is eligible.
Judge denies motion to dismiss MLS lawsuit
From NAR Legal Counsel, Katie Johnson, regarding the current status of lawsuits pertaining to MLS operation…
As we continue to provide updates on the Moehrl v. NAR lawsuit, I wanted to let you know the judge denied our motion to dismiss and the case will proceed to the next phase of the litigation, discovery.
We are very disappointed in the ruling. However, this is only the first round. As the case moves forward, we intend to demonstrate how the MLS system creates competitive, efficient markets that benefit home buyers and sellers as well as small business brokerages. The MLS fosters cooperation between brokers providing the best and greatest number of options for buyers and sellers. The broker commission structure also ensures greater access for first-time, low-income and many other home buyers who otherwise couldn’t afford a home purchase. We are confident that when the case is ultimately decided, we will prevail.
There have been no changes to the copycat Sitzer v. NAR lawsuit, which is also in discovery. We will continue to keep you informed as the litigation progresses.
Talking Points for Members
- The MLS system and the way commissions are paid create competitive, efficient markets that benefit home buyers, sellers and small business. The MLS system creates a highly efficient residential real estate market that fosters cooperation between brokers to the benefit of consumers. Commission structures (including how the listing broker pays the buyer broker) ensure greater access for a large community of home buyers who might otherwise be priced out of the market, which also would limit options for sellers.
- REALTORS® are champions of homeownership, property rights and the communities they serve. Every REALTOR® adheres to a strict code of ethics based on professionalism, consumer protection and the golden rule. REALTORS® draw on their unmatched knowledge to help buyers and sellers navigate one of the most complicated financial transactions of their lives. And REALTORS® are engaged neighbors committed to building and enhancing the communities they serve.
- Local, expert brokers play a crucial role in helping buyers and sellers achieve their goals. Given the volume of information buyers have to navigate and the complexity of this transaction, buyer brokers serve many essential, highly informed roles ranging from scheduling home tours and inspections to coordinating with lenders and appraisers to coordinating attorney reviews and closing documents. Consumers agree: 78 percent of homebuyers say their broker was an important information source, and almost 90 percent would recommend their broker to a family member or friend.
- These lawsuits are wrong on the facts, wrong on the economics, and wrong on the law. Commissions are negotiable and, in fact, can be negotiated at any point during the transaction. The MLS and associated brokerage system create highly competitive markets with increased transaction volume and superior customer service. Consumers have many choices of different service and fee models among many brokers. Over 100 years, the courts have repeatedly validated this pro-competitive, pro-consumer MLS system, recognizing it increases the efficiency of the market and thus serves the best interests of sellers and buyers alike.
Virginia REALTORS® Announces 2020 Good Neighbor Award Recipients
RICHMOND, Va. (October 1, 2020) – Virginia REALTORS® celebrates its 2020 awardees. The association conducted its annual awards ceremony through its first-ever virtual awards show on September 30, 2020. The ceremony recognized excellence in various areas of real estate, along with notable community contributions. These awardees were selected by a committee of peers as standouts among an association of 35,000 members.
The Virginia REALTORS® Good Neighbor Award recognizes REALTOR® members who make a positive impact on their community and gifts the organization through which they volunteer time and talents. This annual award seeks to highlight, inspire, and perpetuate the individual contributions within the real estate industry toward improving the lives of citizens in Virginia.
Each winner will receive a $500 award, which will go to the to the 501(c)(3) non-profit/charity with which the Virginia REALTOR® Good Neighbor is involved.
The Virginia REALTORS® 2020 Good Neighbor Awardees are:
- Sarah Moorman of the Northern Virginia Association of REALTORS®, volunteering on behalf of Generosity Feeds
- Jim Napier of the Richmond Association of REALTORS®, volunteering on behalf of the Massey Cancer Center at Virginia Commonwealth University
- Chip Taylor of the Fredericksburg Area Association of REALTORS®, volunteering on behalf of Fredericksburg Virginia Main Street
- Patricia “Trish” Snyder of the Massanutten Association of REALTORS®, volunteering on behalf of the Virginia Cooperative Extension, and
- Linda Wolf of the Northern Virginia Association of REALTORS®, volunteering on behalf of Mission M-4, in partnership with the Walter Reed Society.
To see the entire list of this year’s winners, click here.
For headshots of award winners, please contact Robin Spensieri at rspensieri@virginiarealtors.org.
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About Virginia REALTORS®
Virginia REALTORS® (previously known as the Virginia Association of REALTORS®) is one of the largest professional trade associations in Virginia, representing 35,000 REALTORS® engaged in the residential and commercial real estate business. Virginia REALTORS® serves as an advocate for homeownership and homeowners and represents the interests of property owners in the Commonwealth of Virginia. For more information, visit www.virginiarealtors.org or follow Virginia REALTORS® on Facebook, Twitter, and LinkedIn.
Virginia REALTORS® is celebrating its 100-year anniversary in 2020.
NOTE: The term REALTOR® is a registered collective membership mark that identifies a real estate professional who is a member of the National Association of REALTORS® and subscribes to its strict Code of Ethics. Top of Form
Contact: Robin Spensieri, Vice President of Communications & Media Relations
Email: rspensieri@virginiarealtors.org
Telephone: 404.433.6015