Market Watch – Richmond, VA



Richmond Virginia, otherwise known as The River City, is a beautiful city, rich in tradition and rich in historical significance. Patrick Henry’s famous “give me liberty or give me death” speech was given at St. John’s Church, and during the Civil War it served as the capital for the Confederate States of America.

©Fotolia

 

Richmond’s economy is diverse – law, finance, government, federal, state and local governmental agencies make up the majority of drivers in the region. It’s home to the Federal Reserve Bank of Richmond, Fortune 500 and 1000 companies and others. There is a lot of money moving through Richmond which should come as no surprise since it lies only 108 miles South of Washington, D.C.

As of 2010, total personal income in Richmond was at $8,582,284.00, which put it at number 11 in the state, ranking it at 2.4% in the entire state. Just 10 years earlier, it was ranked at number 9 in the state with a TPI of $5,930,944.00.

Real Estate

Price per square foot, on average, in Richmond grew by 932.7% when compared to the same time last year, putting it at $1,074 per square foot. The median sales price for a home in Richmond from March 12th to May 12th was at $138,750 dollars which is based on 550 home sales. Compared to the same time last year, the median sales price dropped by 4.6% ($6,275) and sales are down by 45.7%.

HouseHunt conducted a market condition survey which came out in April. Their findings indicate that real estate agents are finding reasons for their upbeat attitude towards the real estate market in 2012.

According to their market report, “Central Virginia defies the national economic forecasts in that our job market is good, unemployment down, and the real estate market prices are stabilized; the trend in foreclosures are up statewide but in our area, foreclosures comprise just 6 ½% of the inventory.

The greatest number of sales occuring are between $200,000 to $400,000. The slight price decline allows more people to buy. The pending and sold properties are 48% higher than the 1st quarter and 18% higher than the 2nd quarter of 2007.

Other results include:

Average price compared to last year             down 0 to 5%
Average time on market                                  60 to 90 days
Prices as a percentage of asking                    95 to 100%
Market Trend                                                    increasing
Buyers/Sellers Market                                    more sellers than buyers
Multiple Offers                                                 no
Housing Inventory                                          good supply – some prices
Greatest Activity                                              first time buyers
Reason to Buy/Sell                                         job growth

According to Trulia.com, the average listing price for homes on the market is at $242,305 for the week ending May 30th, reflecting a decrease of 1.6% compared to the week before.

The Fan and The Museum District are both popular Richmond neighborhoods, with prices of $387,812 and $360,129 respectively. Other favorites include Ginter Park, Colonial Place, Church Hill and Three Chopt.