Median sale prices rose across the region while inventory declined in the double digits last month in the Hampton Roads region, according to Long & Foster Real Estate’s Market Minute Report.
Newport News City saw the highest sale price increase with 18%, followed by a 13% increase in Hampton City. The number of units sold also increased across the region with the exception of Chesapeake City, which experienced no change. Days on market ranged from 45 in Chesapeake City to 57 in Hampton City, Newport News City and Norfolk City.
“Like many people in the country, we’ve been actively monitoring the developments around the coronavirus,” said Gary Scott, president of Long & Foster Real Estate. “It’s a constantly changing situation and although the long-term impact is not yet known, we do know some short-term opportunities have arisen for buyers and sellers.”
Mortgage interest rates are now at an all-time low – almost 1% lower than they were a year ago, which can increase a consumer’s buying power significantly. “While inventory continues to remain a significant challenge, our sales units and sales volume are up significantly during the first two months of this year, which we attribute to our low interest rate environment,” said Scott.
Scott added that real estate remains a solid investment with proven appreciation over time. “Homes increase in value nearly 5% per year nationwide,” said Scott. “In times of stock market downturns, consumers and investors will often put their money into the purchase of real estate as a safe haven from the volatile swings of the stock market.”