JUNE and YEAR TO DATE Warren County Real Estate Market Update
By Beth Waller
(Statistics derived from research from the Metropolitan Regional Information Systems database, the local Realtor Multiple Listing Service on 7/15/17)
Remember when real estate statistics were enough to make homeowners wish they were renters? Well, those days are long gone, and the data I just gathered from the Metropolitan Regional Information Systems (Warren County’s Realtor MLS service) proves it! This year in Warren County, there has already been a 10% increase in homes sold year-to-date and the number of new constructions sold in Warren so far this year (54) has exceeded the number of new homes sold during the entire year of 2016! Although we are nowhere close to Warren’s new construction numbers from 2005 (when 224 new homes sold), this marked improvement indicates that land values should be increasing as more buyers turn to builders in their home search.
Other positive news for the Warren County market includes the fact that foreclosure/real estate owned sales as well as short sales are significantly down. In total for 2016, there were 64 foreclosed listings closed in Warren County. In 2010, that number was 248, and thankfully the numbers have been decreasing since then. There were also only 16 short sales closed in 2016 (short sales are when seller’s lenders must approve the sale because sellers owe more than the houses are worth on the market). In 2012, Warren’s highest year for short sales, there were 62 closed. This year I am shocked yet thrilled to report that there has only been 1 short sale closed in Warren. Last year through July 15th there were 11 short sales reported to have been closed. This is an indication that more homeowners are finding themselves with longed-for equity in their homes. That, combined with fact that the inventory of homes for sale is so low, is creating a fantastic seller’s market.
This year to date ACTIVE 297 (as of 7/15/17):
57 Active new constructions
23 Under contract
377 already SOLD this year to date (that’s a 10% INCREASE from 2016 which reported 339 in the same time period)
We definitely have a shortage of properties for buyers to choose from, which is causing prices to rise based largely on supply and demand factors. For example, there are only a total of 24 homes listed in Warren 200k or less with 3+ bedrooms and 2+ baths. This is prompting bidding wars on many properties. I’m seeing competitive buyers waive home inspections and closing cost assistance requests. I’ve also seen more escalation clauses this year than in my recent memory. Escalation clauses are offered when buyers commit to beating competing offers up to a certain amount.
To date there have been 377 homes sold in Warren compared to last year when, during the same time period, 339 had sold. That’s a sharp contrast to 2012 when 119 had sold in the same period. The total number of residential properties sold in 2016 was 658 in Warren vs. 625 in 2015 (a 5% increase), so we are on track to surpass last year’s numbers by leaps and bounds.
I’d also like to point out that the average days on market for all residential homes sold in 2016 was 86 days, while in 2015 homes averaged 98 days on the market. THIS YEAR TO DATE AVERAGE DOM FOR WARREN’S SOLD HOMES IS: 66 DOM
KW Solutions – Keller Williams Realty
27 Cloud Street, Front Royal VA
Licensed in VA
Posted by Jennifer Avery