Slight Uptick in Virginia Mortgage Demand, Home Sales

It hasn’t been a popular time for individuals to apply for a Virginia mortgage in recent months. Due to high prices, inventory has barely budged in the state.

Last month, though, home sales rebounded slightly.

According to the Virginia Association of Realtors, these figures fell 19 percent in October, compared to the previous year - but were at least better than September, when closings were down 27 percent.

For the year, state home sales are down 18 percent. Hope may be on the way for sellers and lower-income families, however, as affordable housing in Virginia is being planned in numerous ways at the moment.

The area with the strongest increase in October closings was the Eastern Shore, at 21 percent. Seeing smaller increases were the New River Valley, Roanoke Valley and the Martinsville-Henry County area.

The biggest drop in closings in October were in the Northern Neck, with a 61 percent decline; northern Virginia, at 50 percent; the Harrisonburg area, with a decrease of 46 percent; and 45 percent in the Lexington area.

The association also reports the median price of Virginia homes in October was $222,800, about 4.5 percent higher than last year’s October price; this would explain the lack of home purchase loan demand until prices drop.