April brought an increase in the median sale price across most of the Roanoke region, according to Long & Foster Real Estate’s Market Minute Report. Franklin County led the way with a 17% jump in median sale price, while Botetourt County experienced no change.
The number of units sold were up throughout much of the region, with Salem City exhibiting a significant 88% rise compared to April 2020. Homes sold rapidly with days on market ranging from 24 days to 60.
Low interest rates continue to be the driver for this robust housing market. “Although we’ve been talking about the low inventory for years, the rate at which it is declining is starting to slow,” said Gary Scott, president of Long & Foster Real Estate. “It’s been encouraging to see the increase in new listings and healthy appreciation of median sale prices.”
In today’s market, in which sellers have the upper hand, we asked Scott for some guidance on what to do if you want to buy and sell a home concurrently. “It’s one of the least risky times to buy your next home before you sell your current home,” said Scott. If homeowners are able to handle the payments on two homes for six months or so they can buy first and sell later, added Scott.
“A bridge loan is also an option if you want to buy without selling first,” said Scott. “Or you can take out a home equity line of credit on your home before you put it on the market to access the equity to help you make your purchase first.” A bridge loan allows homeowners to borrow money to pay for the down payment on their next home based on the equity in their current home. In this market, whether you’re buying or selling a home, a professional real estate agent can help evaluate your options to decide which to do first and how to optimize both transactions.