The historic low housing inventory creates value opportunities in competitive housing markets.
Anticipation of new home listings to hit a 10-year high as some owners see right now as the best time to sell.
Condo and rental demand are likely to surge as inventory supply chain issues impact the housing market.
This Year Will Bring Balance to the Housing Market
After two consecutive years in which words like “unprecedented,” “historic,” and “white-hot” have been buzzing about, we can now add “inflation” to the list.
What is inflation, and how will it affect the real estate market in 2022?
Real estate is not immune from the inflationary effects of declining purchasing power on an economy. When prices go up, so do the costs associated with real estate. In a nutshell, that’s how inflation works; like a rising tide lifts all boats, so does inflation with rising costs. However, there are always reasons to be genuinely confident in real estate’s proven ability to hedge against inflation and be profitable.
Here are three particulars and tips to help you navigate these inflationary waters and better prepare you to make your move when you decide it’s time to do so.
#1: Low Housing Inventory Drives Values
With the market expected to remain undersupplied throughout the year and with this year already seeing historic low numbers in housing inventory, continued supply chain issues, and material costs resulting from inflationary pressure will undoubtedly influence the market. Many analysts are anticipating a modest 3% growth in home values, compared to the 24% return that last year saw.
Historically, it is well-documented that real estate remains profitable when inflation affects an economy. One reason is that landlords can always pass their cost increases off to their tenants. But the real lesson here is the age-old axiom that scarcity creates value. So instead of seeing the record-low number of housing inventory as something to steer clear of, it means that while there may be much competition in home buying, that’s because of the value of being a homeowner.
#2: New Listings to Hit 10-Year High
The end of double-digit price growth in home values will also encourage more homeowners to cash out finally, which will create more inventory in the market. But as the market settles down and becomes more balanced, homeowners will also be more inclined to list their homes to offset inflationary pressures elsewhere, though it will not be enough to meet the expected historical demand in 2022. This increase in listings of existing homes will also coincide with a slight increase in the listings of newly constructed homes, similarly expected to be the highest in a decade.
New home inventory should increase from 2021’s bottom, but we anticipate the market will remain undersupplied. In particular, the entry-level supply of new home construction will remain highly constrained.
#3: Condo and Rental Demand Will Take Off
2022 will also see the end of mortgage forbearance, which along with inflationary pressures, will cause many homeowners to sell and rent instead. This surge in rental costs and demand will create opportunities for others looking to get into the housing market. As a result, expect rents to increase 7% by the end of 2022, more than double the predicted year-over-year growth in home prices of 3%, once again proving that homeownership is always a more reliable use and investment of your money.
As the pandemic subsides, more people will live in cities once again where renting is more common. Additionally, the strong labor market will cause many movers wanting to move into a new town the opportunity to get to know their new city before they commit to homeownership.
The Market Is Moving—Get Started Now
There’s always much to consider when buying a new home. Whether you’re a first-time home buyer or looking for your next, understanding the more significant economic trends is always important to maximize your efforts’ success. So contact us today and let us know how we can help support you in your journey.
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
Welcome to 6418 Marye Rd! If acreage and privacy are what you crave, then this is the one! You will enjoy entertaining family and friends with the privacy of 1 1/2 acres, plenty of space to roam and create your own backyard oasis and that’s only the beginning! The inside features a family room with a gas fireplace, perfect for those chilly winter evenings. The sunny kitchen has a handy cooktop and wall in the oven and pantry for all your cooking needs with adjoining space for your table and chairs. Off the kitchen is a sunroom where you can let your imagination go wild with possibilities! Lovely re-stained hardwood floors throughout the house and into all three-bedroom. The owner’s bedroom with an en-suite bathroom has a walk-in shower. This house boasts a huge full basement, perfect for a game room, extra space to make a comfy space for guests, workshop, the possibilities for this house are endless! The basement has an inside entrance and an outside entrance.
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
2021 proved to be a great year for Lake of the Woods real estate! Year-over-year, homes sales were up, median sold price was up, days on the market were down, and average sold to original list price ratio was above 100%!
In 2018, 234 homes sold, which was an 8% decrease from 2017. The median sales price rose to $249,900. In 2019, we realized a 28.63% gain in homes over 2018, with a total of 301 selling. 2020 showed a slight gain in sales at 313, yet the median sold price increased 7.87% to $291,250, up from $270,000 in 2019. And then came the 2021 market: a whopping 14.7% increase in the number of homes sold and a median sold price increase of 15.9 percent over 2020.
Average days on the market (DOM), which is the number of days it takes from the time a property is listed until it goes under contract, has steadily declined from 93 in 2017 to 16 in 2021.
It’s also telling to note that a significant number of lots have sold in the past five years. From January 1, 2017 through December 31, 2021, a total of 196 lots sold: 24 in 2016; 37 in 2017; 45 in 2018, 41 in 2019; 49 in 2020; and only 24 in 20201. Coincidentally, 2016 and 2021 realized the identical number of lot sales (reported in the MLS). There simply are very few lots left in LOW.
Of the MLS sales reported in 2017-2021, new construction numbers have varied. 2017 saw 20 new construction homes sales; 2018 dipped to only 11; 2019 realized 31; 2020 sales jumped to 41, while 2021 ended at 37.
Again, there aren’t many lots left in LOW, which, of course, will impact new construction sales in the future.
Another notable statistic is the dramatic rise in average sold price to original list price ratio. It has steadily risen from 95.5% in 2017 to 100.9% in 2021.
According to Freddie Mac and the Mortgage Bankers Association, mortgage rates are expected to rise and end 2022 in the 3.75-4% range for a 30-year fixed. Today, it is possible to obtain a 15-year fixed rate just under 3%.
The prognosis for 2022 is excellent! In LOW, there are 15 homes active on the market as of 1/26/2022. Low rates and hopefully more inventory should propel us to experience another year of healthy sales and appreciation, although appreciation is expected to slow from what we’ve experienced the past two years.
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
Welcome home to 103 Marble Ct! This fabulous, custom-built home on the golf course is move-in ready and will delight from the moment you arrive. Once you enter, you are welcomed by a living room with soaring ceilings and built in shelving. The kitchen boasts beautiful new quartz countertops and a dining area. The sunroom will be one of your favorite areas with access to the deck and backyard. When it comes to entertaining, there is plenty of space for everyone with the separate formal dining room, spacious living room and a family room, both with wood burning fireplaces. The inviting owner’s suite is spacious, and the en-suite bathroom offers a double vanity and jetted soaking tub. The large second bedroom with an attached powder room shares a full bath with the third bedroom. Enjoy your favorite beverage, read a book, or just relax and take in the sounds of nature while relaxing on the deck.
A private, gated, secured community, Lake of the Woods offers anything and everything you could possibly want. Home to two lakes (the 550 acre main lake and a 35 acre “fishing lake”), a golf course, an equestrian center, a fire and rescue department, and a church all within the gates, Lake of the Woods simply has it all. Whether your passion is boating, water skiing, kayaking, golfing, horseback riding, or simply taking in the breathtaking views from the clubhouse while enjoying a fabulous meal, from your own deck or yard, or from one of the beaches, you won’t be disappointed! Perhaps you’d like a game of bridge or volunteering your time and talents…Lake of the Woods offers more than 60 clubs and/or organizations from which you may choose to become involved. Located in Orange County, we are fortunate to enjoy low real estate taxes. Coupled with home prices ranging from $200,000+ to over $2,000,000, Lake of the Woods is the perfect community for both full-time residents, as well as weekenders. But don’t take my word for it, please come see for yourself! I will gladly give you a tour of Lake of the Woods by boat and by car so that you may experience why I love Lake of the Woods!
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
Come see what this lake life is all about! Enjoy this beautifully furnished, one level living with an open floor plan, spacious living room with vaulted, wood beam ceilings and fireplace. Amazing kitchen with stainless appliances, gorgeous granite countertops. You will love the owner’s suite with en-suite bath and walk in closet. Relax on your rear deck and enjoy a meal with a wooded private backdrop. APPLICATION FEE IS $30.00. BACKGROUND, CREDIT AND EMPLOYMENT VERIFIED. NO PETS AND NO SMOKING! NO EXCEPTIONS!!
A private, gated, secured community, Lake of the Woods offers anything and everything you could possibly want. Home to two lakes (the 550 acre main lake and a 35 acre “fishing lake”), a golf course, an equestrian center, a fire and rescue department, and a church all within the gates, Lake of the Woods simply has it all. Whether your passion is boating, water skiing, kayaking, golfing, horseback riding, or simply taking in the breathtaking views from the clubhouse while enjoying a fabulous meal, from your own deck or yard, or from one of the beaches, you won’t be disappointed! Perhaps you’d like a game of bridge or volunteering your time and talents…Lake of the Woods offers more than 60 clubs and/or organizations from which you may choose to become involved. Located in Orange County, we are fortunate to enjoy low real estate taxes. Coupled with home prices ranging from $100,000 to over $2,000,000, Lake of the Woods is the perfect community for both full-time residents, as well as weekenders. But don’t take my word for it, please come see for yourself! I will gladly give you a tour of Lake of the Woods by boat and by car so that you may experience why I love Lake of the Woods
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
Do you love garage and yard sales but don’t like the hassle of driving to various locations to check out all the goods? Well, this is the PERFECT event for you! On Saturday, April 9th and Sunday, April 10th the Fredericksburg Expo & Conference Center will be hosting an “Everything But the Garage Sale”! This is the largest yard sale in the area expanding over two days. There will be a variety of items like housewares, furniture, kids stuff, antiques, collectibles, and more from homeowners and collectors alike! Grab a friend and head over or a fun day of bargain hunting and shopping! General admission is from 9am – 5pm on Saturday. Sunday the expo center will be open 10am – 3pm. Tickets are on sale now, visit here to purchase.
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
Annual Fredericksburg Kids Expo returns to the Fredericksburg Expo & Conference Center (2371 Carl D. Silver Pkwy, Fredericksburg VA) February 12 and 13th. Ready to take the kids out of the house for a fun filled day?! Grab the whole family to come out and learn, explore and play. There will be so much to do and see, from toys and games to numerous attractions. There will be info for parents on new adventures, spots club and fitness, learning centers, day cares, schools, sporting equipment, camp info, and so much more!
Saturday, the Kids Expo will be held from 9am – 5pm, and Sunday, 10am to 3pm. Tickets (13+) are $10/each, Senior tickets (60+) are $8/each and children (3-12) are $5/each. To purchase tickets and for more information about this event, visit their Facebook page here.
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
The Millers Co. and Sullivan’s Bake Shoppe are hosting their first event at Wilderness Run Vineyards. They’ve partnered together to offer Whiskey peanut butter truffles, hot cocoa bombs, a variety of decorated and flavored cookies, macarons, Valentine’s jewelry, décor and more!
Grab your special someone and bring them by Wilderness Run located at 11109 Plank Rd, Spotsylvania VA 22553 on Saturday, February 5th. The Millers Co. and Sullivan’s Bake Shoppe will be there from 12p – 4pm. Check it the event on Facebook for the most up to date information.
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
Welcome to 35142 Saba Place, a beautiful end unit townhome with lots of natural light. As you enter, you will immediately notice the kitchen featuring a breakfast bar, plentiful counter space and a pantry. The main level is open and will make entertaining and daily life a breeze! The spacious owner’s suite and en-suite bath with soaking tub, separate shower, and a huge walk in closet are sure to please! In addition to the owner’s suite, the upper level offers two additional bedrooms and full bath. The lower level features a bedroom and a full bath with a private entrance. Grab your favorite beverage and relax on your deck or your patio.
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
The LOW Lioness Lions Club is sponsoring a Mardi Gras Dinner Dance at the Lake of the Woods Clubhouse on Saturday, March 5th, 2022. This awesome event starts sharply at 6pm with cocktails, followed by dinner at 7pm with your musical entertainment, The Reunion Band closing out the event from 8pm to 11pm. There will be a silent auction and 50/50 raffle held, with the total cost of this event at $60 per person. Purchase tickets here starting February 5th.
Whether you’re looking for homes for sale in Lake of the Woods VA or Waterfront property in Virginia we are your Real Estate Advisors for Stafford, Fredericksburg, Spotsylvania, Locust Grove, Central Virginia, and Greater Virginia. Thinking of selling? In any market condition, “what is my home worth?” is the #1 question asked by homeowners. If you wish to sell your home, it needs to be sold for top dollar and in a timely manner. Pricing your home accurately, Pat will partner with you to make the selling process so much easier. Get started today by calling us at (540) 388-2541 or contact Pat Licata.
To see available Lake of the Woods properties, please visit our site.
