Braemar Property Value Report: January-February 2020 (NV Homes)
It is time for another Braemar Property Value Report. As the social distancing that has been happening for over a week is beginning to wear on us, I am thankful to have tasks like this to do. These reports have been part of my bi-monthly routine since the middle of 2005. This particular report focuses on property values of single family homes built by NV Homes in Braemar.
There were two NV Homes that sold in the first two months of 2020. The details of those sales are listed below.
Taking these two sales and adding them to the entire past twelve months of NV Home sale data, our six and twelve month data points are updated as seen below.
Looking first at the sold price column, it is good to see the six month average sold price higher than the twelve month average sold price. In a conflicting trend, we see that the six month median sold price is lower than the twelve month median. Hard to say which way values are heading. Our most recent sales have a wide price gap at $561,500 and $651,000. We will have to wait and see where we go next report.
The seller subsidy column shows a definite trend. Both the six month average and six month median sold prices are well below their respective twelve month values. This means that buyers have been foregoing or limiting requests for closing cost help from sellers in the competitive market that buyers are facing.
Days on market shows very stable average marketing times in the six month value compared to the twelve month value. Just under two weeks to get an NV Home under contract in both. Meanwhile, the six month median marketing time is half the already low twelve month marketing time of eight days. NV Homes are selling quickly.
If you placed your Braemar NV Home on the market, priced to current conditions, you could expect it would take no more than two weeks to go under contract. You could also expect to pay minimal amounts of seller subsidy, if any.
Will the pandemic we are facing of COVID-19 affect our Braemar real estate market? Perhaps in the very short term, but likely not as bad as you may think. Fearful buyers and sellers that do not have to relocate may pull back and put off their real estate plans. However, there are plenty of buyers coming to our market with the expansion of Micron in Manassas. Did you know that Micron’s expansion is bringing more jobs to our local area than Amazon’s move to Virginia did to the entire area? Buyer demand will continue to be there for any seller wanting, or needing to capitalize.
One thing that will change is mortgage interest rates. We are seeing them begin to increase. The reason being that mortgage rates are based on the value of ten year treasury bonds. Whenever a Federal government bailout happens, it is money being borrowed against those ten year treasury bonds, raising mortgage interest rates. The good news for the market in general is that mortgage interest rates had been so low anyway, it won’t be so damaging.
The next Braemar Property Value Report will be out in May. By then we will know what affect COVID-19 has had on our market in the months of March and April. Until then, if the need arises for you to sell, give me a call. No matter the market condition, I am here to help you maximize your Braemar home’s value. Since 2005, No One Knows Braemar Better!
Associate Broker-Licensed in VA
Long & Foster Real Estate