Braemar Property Value Report: September-October 2022 (NV Homes)
In this short week before the Thanksgiving holiday arrives, I am proud to bring you another Braemar Property Value Report. Being at the top ecelon of Braemar real estate agents gives me tremendous satisfaction. There are a any number of cut and paste market reports that pertain to Bristow. However, no strictly computer generated report will never be able to put a market report together for Braemar due to how convoluted the developer made this community when it came to recording our various legal subdivisions. Here are a few of our legal subdivisions that you may not even realize make up Braemar: Rivenburg, Albrite Property, Ducharme and Saybrooke (not to be confused with the neighborhood of Saybrooke that is legally registered as Villlages at Saybrooke and The Villages at Bristol.) Those are the “legally registered” subdivisions that make up our neighborhood, in addition to those properly registered as Braeamar. Taking the time to put this reports together myself gives you the most accurate information about what’s happening in our neighborhood and keeps me on top of our market trends.
Today’s report focuses on the houses built by NV Homes in our neighborhood. Brookfield Homes was the developer of Braemar and built the majority of homes here. However, when it comes to single family homes, they did sell some lots to NVR, which includes NV Homes and Ryan Homes. These two companies within the umbrella of NVR brought two very different feeling home styles and trim levels to Braemar. That is why I still report these two builders in separate reports.
During the months of September and October, there was only one NV home that sold. Details of that sale are listed below.
Taking a quick look at this sale, we see that it sold for less than its original list price, gave seller subsidy (closing cost help to the buyer) and took just under one month to go under contract. The market has been experiencing a shift due to rising mortgage interest rates. Buyers are no longer acting in a frenzy, though demand still is outpacing supply, which technically makes it a seller’s market. However, the shift in buyer behavior is noticeable and feels as though we are moving out of a seller’s market. We are not. Conditions are stabilizing.
When this sale from September and October is combined with all the NV home sales dating back to November 2021, the updated six and twelve month value points tracked in this report are updated as seen below.
Looking first at the sold price column, it is good to see the six month average sold price above the twelve month average sold price. This report, compared to last report, there was even a larger gap between the two, in favor of the six month average. This is an indicator that values are still trending up. However, our six and twelve month median sold prices reporting the same $790,000, is actually a lower six month median value than we saw last report. And if you look to last report, you will notice the sales that closed in August started the trend of sellers closing below original list price. Is that something to be concerned about? Not necessarily. Some sellers are still pricing optimistically.
Seller subsidy is definitely moving in a buyer favored direction and it is no surprise. Both the six and twelve month average values are higher than they were last report, with the six month average above the twelve. This means more closing cost help has been given in the last six months. However, the six and twelve month median seller subsidy values are still at zero. This means that more than half of sellers in both time frames didn’t have to give any. With the more than doubling of mortgage interest rates this year, buyers had their affordability squeezed at two ends. Many buyers requested seller subsidy to help with interest rate buy down. Still if a home has created enough buyer enthusiasm, there is a shot that buyers would dive in and offer without requesting any closing cost help, for fear another buyer would swoop in with better terms. Again, our market still doesn’t have enough homes to meet demand.
Days on market shows an increase in both average values since last report, with the six month average being nearly two weeks. The six and twelve month median marketing times are still just over a week at eight days. This means more than half of sellers in both time frames sold in eight days or less. As I am watching more and more houses taking two weeks or more to sell, I suspect days on market will continue to increase in these six and twelve month measurements next report.
If you placed your NV home on the market, priced to current conditions in Braemar, you could reasonably expect to be under contract in two to three weeks. Sellers are no longer seeing multiple offers, but dealing with one buyer at a time. Seeing seller subsidy requests should no longer be a shock, but is avoidable if buyers are excited about your home. That starts with having a well prepared property that is properly priced and professionally marketed. These are the keys that get my Braemar sellers top of whatever market conditions in which they are listing.
The next Braemar Property Value Report will be out in January. Between now and then, enjoy your holiday season. In the meantime, whenever a home sale want or need arises for you, my business is open year round. Get in touch and let’s set up a time to talk so we can find the right strategy to suit your time frame and needs. Since 2005, No One Knows Braemar Better!
Chris Ann Cleland
Associate Broker, Licensed in VA
Long & Foster Real Estate