Housing market rebounding?
The housing market in Henrico and metro Richmond area appears to be headed in the only direction it could go -- up. That was the general consensus of attendees at the Richmond Association for Business Economics’ luncheon last month at the Federal Reserve Bank of Richmond, following a presentation by Richmond Association of Realtors CEO Laura Lafayette.
“What I took away, and what I think [everyone else is] taking away as well is the real estate market has really bottomed out in the Richmond region,” said RABE president Charles Kennington. “And going forward, we’re going to see more good news than bad news.”
The numbers showed that the units sold in Virginia declined every year from 2005-2010, with last year showing the first signs of improvement (slightly more than 11,000 in 2011 compared to about 10,600 in 2010).
Lafayette pointed out that, while the units sold rebounded slightly in 2011, each county saw a significant drop-off in average selling price. Henrico witnessed the biggest decrease, with units selling at an average of $230,823 in 2011 compared to $250,535 in 2010, a decrease of nearly 8 percent.
While her overall comments were encouraging, Lafayette warned that the number of units sold in 2005 (just more than 20,000) was probably more than the Richmond area could maintain, adding that 2007 totals (about 15,800 units) were a more attainable goal.
“We’re just looking for the market to behave normally,” she said, “not take off.”
Henrico did rate better than the other counties in other categories, though, such as active listings (1,275 as of May 20), sold vs. listed percentage (60 percent) and average sales per month (245). Henrico also rated well in average days on market (DOM), with 70 the current average for May 2012.
Lafayette, though, told attendees not to pay attention to DOM because real estate agents “can be creative.” An agent can re-list a house by taking the property off the market for a couple hours and putting it back on. This process gives the property a new Multiple Listing Service (MLS) number and resets the DOM.
Lafayette stressed the significance of the average list price of newly constructed homes compared to that of resold homes (those built since 2006). New homes in Henrico were listed, on average, for $375,926 compared to $348, 937 for resold homes. Other counties saw an even larger difference.
“We need to get resale price closer to new price,” Lafayette said.
The big difference is scaring off potential new-home buyers because of the appearance that their investment almost immediately loses value, she said.
Nationally, the housing market had its best first quarter in five years, and foreclosures are down significantly, she said. In Virginia, the percentage of units sold has been up every month except for March, though Lafayette said she wasn’t concerned about the change (about half a percent).
There is a concern, though, that the good numbers for January and February may cause a softening in May and June, normally the highest selling months, she said.
There is a stubbornness on the part of some “boomers” to not sell their properties now because they’re bitter about the fact that they could have sold them for more years ago, she said.
“People’s 401k has become their 201k,” she joked.
RABE has about eight to 10 regular luncheons each year on topics relevant to the Richmond community, Kennington said.
“Clearly, real estate, having suffered the downturn that it did, is something we think is on the minds of our members and the public at large,” he said.
“When we reached out to Laura, we didn’t know what her message was going to be. So, whether it was good or bad, we just want to see what the facts are to inform our membership.”
Next month, RABE will host Virginia Secretary of Finance Ric Brown, Kennington said.
Hundreds of 'tweens' and their moms will attend the Secret Keeper Girl Crazy Hair Tour at West End Assembly of God on Jan. 22 at 6:30 p.m., a popular Bible-based tour geared toward building and strengthening relationships between mothers and their daughters (typically ages 8 to 12).
The event will feature a full fashion show, oversized balloon sculptures and confetti cannons – all in the name of inner beauty, Biblical modesty and vibrant purity. > Read more.
Citizen Staff Reports 01/15/2015
OutRVA and Say I Do! have collaborated to offer LGBT couples an opportunity to win an all-expenses-paid wedding at Lewis Ginter Botanical Garden’s Robins Tea House on March 7.
In September, Richmond Region Tourism launched OutRVA, a campaign designed to show people Richmond’s strong LGBT community and highlight the area as a travel destination.
The winning couple will say "I do" in a ceremony coordinated by event designer and floral artist Casey Godlove of Strawberry Fields Flowers & Gifts and marriage concierge, Ayana Obika of All About The Journey. The couple will receive wardrobe and styling, a custom wedding cake, florals, an overnight stay at the Linden Row Inn (including a suite on the day of the wedding for preparation), and a post-wedding brunch at the Hilton Garden Inn on Sunday, March 8. > Read more.
Citizen Staff Reports 01/12/2015
CVWMA residential recycling and trash collections will continue as regularly scheduled for the Lee-Jackson (Jan. 16) and Martin Luther King, Jr. Day (Jan. 19) holidays. Residential recycling collections on Friday, Jan. 16 and the week of Jan 19-23 will take place on normal collection day. Residents should place recycling container(s) out for pick-up by 7 a.m. on their regular scheduled collection day. > Read more.
Find out how your favorite dining establishments fared during their most recent inspections by the Virginia Department of Health. > Read more.
It’s off to the theatre – this weekend in Henrico! “Two on Tap” at CACGA brings audiences back in time to an era when couples like Fred & Ginger and Mickey & Judy filled the silver screen. CAT Theatre’s production of “Book of Days” begins tonight and runs through Feb. 7. Fans of the Emmy Award-winning 1970s Saturday morning cartoon “Schoolhouse Rock!” will love the live adaptation at the University of Richmond on Sunday. The Shanghai Quartet will also perform at the University of Richmond. For all our top picks this weekend, click here! > Read more.
The Tuckahoe Area Library, in conjunction with the RVA Environmental Film Festival, will present films of local and planetary interest on Wednesday, Feb. 4, beginning at 5 p.m.
Screenings include short films from the RVA Environmental Film Contest entries at 5 p.m., followed at 5:45 p.m. by Stripers: Quest for the Bite, a film for anglers. The main feature film, Slingshot, will begin at 6:50 p.m.
SlingShot focuses on Segway inventor Dean Kamen and his work to solve the world’s water crisis. SlingShot is about a man whose innovative thinking could create a solution for a crisis affecting billions – access to clean water. Kamen lives in a house with secret passages, a closet full of denim clothes and a helicopter garage. His latest passion: the SlingShot water purification system created to obliterate half of human illness on the planet. > Read more.
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CalendarThe West End Teen Advisory Board will host Globe Trekker Art at 3 p.m. at Tuckahoe Library, 1901 Starling Dr. Explore and experience art from around the globe. Open to… Full text