The number of homes sold and home sale prices all increased across the Winchester region in August, according to the Long & Foster Real Estate Market Minute Report. Shenandoah County witnessed a staggering 92% increase in homes sold, followed by Warren County with a 60% rise. Winchester City saw home sale prices incline by 22% with Shenandoah County having a 21% increase. Inventory remained low and days on market ranged from 31 days to 61 days.
“This fall market is going to be different from what we’ve seen in the past,” said Larry “Boomer” Foster, president of Long & Foster Real Estate. Since this year has experienced many unprecedented events, Foster believes the fall market will not have its typical slowdown. Mortgage rates and interest rates continue to be historically low and with demand for homes continuing to be incredibly high, the market is anticipated to continue to perform well.
“Consumer sentiment is going up, albeit quite slowly,” Foster mentioned. However, when taking into account the current pandemic and civil unrest, the current levels of consumer sentiment are still higher than expected at around 75. Considering consumer sentiment was 20 points lower at the height of the Great Recession in 2007 and 2008, Foster said that these levels are healthy.
Due to the recent stock market volatility, diversifying one’s real estate portfolio has become an attractive option for people looking for places to invest their money. While the stock market can fluctuate drastically from day to day, real estate is more stable and will provide four different investment advantages: appreciation, depreciation, cash flow and principle reduction.