2016 Rockingham County Market Report Annual Recap

ROCKINGHAM COUNTY MARKET REPORT December 2016

Presented by:

K L I N E RMe aAl tYy

HARRISONBURG & ROCKINGHAM COUNTY

Overall Area Summary

Units Sold Year to Date

12 Month Residential Sales

12 Month Average Sales Price

Months Supply of Inventory

NORTHWEST ROCKINGHAM

Timberville Broadway

16.16%

16.16%

2.79%

3.78 months

Interstate

81

NORTHEAST ROCKINGHAM MASSANUTTEN

Elkton Route

33

HARRISONBURG

1,308

1,308

$213,982

-37.32%

JMU Route

33

SOUTHEAST ROCKINGHAM

SOUTHWEST ROCKINGHAM Bridgewater © 2014, Kline May Realty

*Differences indicated from December 2015 Harrisonburg-Rockingham Association of REALTORS® statistics, as of December 31, 2016

Interstate

81

Grottoes

HARRISONBURG Units Sold Year to Date

12 Month Residential Sales

12 Month Average Sales Price

Overall Area Summary

Months Supply of Inventory

NORTHWEST ROCKINGHAM

Timberville Broadway Interstate

15.79%

15.79%

0.22%

81

2.62 months

NORTHEAST ROCKINGHAM MASSANUTTEN

Elkton Route

33

HARRISONBURG

440

440

$183,595

-45.00 %

JMU Route

33

SOUTHEAST ROCKINGHAM

SOUTHWEST ROCKINGHAM Bridgewater © 2014, Kline May Realty

*Differences indicated from December 2015 Harrisonburg-Rockingham Association of REALTORS® statistics, as of December 31, 2016

Interstate

81

Grottoes

SOUTHEAST ROCKINGHAM

Overall Area Summary

Units Sold Year to Date

12 Month Residential Sales

12 Month Average Sales Price

Months Supply of Inventory

NORTHWEST ROCKINGHAM

Timberville Broadway Interstate

19.83%

19.83%

$261,254

81

4.10 months

NORTHEAST ROCKINGHAM MASSANUTTEN

Elkton Route

33

HARRISONBURG JMU

284

284

-1.20%

-44.46%

Route

33

SOUTHEAST ROCKINGHAM

SOUTHWEST ROCKINGHAM Bridgewater © 2014, Kline May Realty

*Differences indicated from December 2015 Harrisonburg-Rockingham Association of REALTORS® statistics, as of December 31, 2016

Interstate

81

Grottoes

SOUTHWEST ROCKINGHAM

Overall Area Summary

Units Sold Year to Date

12 Month Residential Sales

12 Month Average Sales Price

Months Supply of Inventory

NORTHWEST ROCKINGHAM

Timberville Broadway Interstate

16.78%

16.78%

7.31%

81

2.44 months

NORTHEAST ROCKINGHAM MASSANUTTEN

Elkton Route

33

HARRISONBURG

167

167

$234,975

-42.38%

JMU Route

33

SOUTHEAST ROCKINGHAM

SOUTHWEST ROCKINGHAM Bridgewater © 2014, Kline May Realty

*Differences indicated from December 2015 Harrisonburg-Rockingham Association of REALTORS® statistics, as of December 31, 2016

Interstate

81

Grottoes

NORTHWEST ROCKINGHAM

Overall Area Summary

Units Sold Year to Date

12 Month Residential Sales

12 Month Average Sales Price

Months Supply of Inventory

NORTHWEST ROCKINGHAM

Timberville Broadway Interstate

81

9.26%

9.26%

6.38%

5.49 months

NORTHEAST ROCKINGHAM MASSANUTTEN

Elkton Route

33

HARRISONBURG

236

236

$202,391

-8.47%

JMU Route

33

SOUTHEAST ROCKINGHAM

SOUTHWEST ROCKINGHAM Bridgewater © 2014, Kline May Realty

*Differences indicated from December 2015 Harrisonburg-Rockingham Association of REALTORS® statistics, as of December 31, 2016

Interstate

81

Grottoes

NORTHEAST ROCKINGHAM

Overall Area Summary

Units Sold Year to Date

12 Month Residential Sales

12 Month Average Sales Price

Months Supply of Inventory

NORTHWEST ROCKINGHAM

Timberville Broadway Interstate

81

16.49%

16.49%

9.38%

4.78 months

NORTHEAST ROCKINGHAM MASSANUTTEN

Elkton Route

33

HARRISONBURG JMU

113

113

$198,754

-49.70%

Route

33

SOUTHEAST ROCKINGHAM

SOUTHWEST ROCKINGHAM Bridgewater © 2014, Kline May Realty

*Differences indicated from December 2015 Harrisonburg-Rockingham Association of REALTORS® statistics, as of December 31, 2016

Interstate

81

Grottoes

Overall Area Summary

MASSANUTTEN Units Sold Year to Date

12 Month Residential Sales

12 Month Average Sales Price

Months Supply of Inventory

NORTHWEST ROCKINGHAM

Timberville Broadway Interstate

81

28.30%

28.30%

$227,158

NORTHEAST ROCKINGHAM MASSANUTTEN

5.65 months

Elkton Route

33

HARRISONBURG JMU Route

68

68

-0.50%

-49.70%

33

SOUTHEAST ROCKINGHAM

SOUTHWEST ROCKINGHAM Bridgewater © 2014, Kline May Realty

*Differences indicated from December 2015 Harrisonburg-Rockingham Association of REALTORS® statistics, as of December 31, 2016

Interstate

81

Grottoes

FINDING FOREVER HOMES

K

line May Realty is committed to helping the people in our community buy and sell homes. We want to help animals find their forever homes too. Once a month, we feature homeless animals from the RH-SPCA and Virginia Paws for Pits on our “Finding Forever Homes” segment. The “Finding Forever Homes” segment on the Kline May Realty Television Showcase is in its second year, and it has been a huge success. During the segment, we introduce our viewers to animals who are in need of a forever home.

Most of the animals we have featured with the exception of just a few have already found their new forever family.

A few others, including Princess Sable pictured to the left, are still searching. If you want to open your heart and your home to a new animal this year, please consider rescuing a shelter pet.

SALES ACTIVITY THIS MONTH RESIDENTIAL SALES BY MONTH Harrisonburg & Rockingham County, Monthly Sales, 2012-2016

What This Chart Shows: Residential home sales by month, over the past 5 years. This chart helps show seasonal trends in home sales.

Bottom Line: The residential market finished strong in 2016 with 93 sales in the month of December, slightly higher than, but very consistent with, the past several Decembers. In 2016, most months exceeded historic norms when compared to the past 4-5 years, and overall sales for the year increased by more than 16% over 2015’s figures.

Source: Harrisonburg - Rockingham Association of REALTORSÂŽ Multiple Listing Service, 12/31/16

SALES ACTIVITY THIS MONTH RESIDENTIAL PROPERTIES PLACED UNDER CONTRACT Harrisonburg and Rockingham County 2013-2016

What This Chart Shows: The number of residential properties on which Buyers and Sellers entered into contracts each month. This is an excellent indicator of future sales.

Bottom Line:

December is typically the slowest month of the year for new contracts due to the holidays and winter weather. 2016 was no different in this regard; however, 80 ratified contracts is a higher number than we’ve seen over the past few years.

Source: Harrisonburg - Rockingham Association of REALTORS® Multiple Listing Service, 12/31/16

SALES TRENDS RESIDENTIAL UNITS SOLD YEAR TO DATE Harrisonburg and Rockingham County December 31, 2016

What This Chart Shows: Total residential sales from January 1 until the date on this chart, for each of the past five years.

Bottom Line: After relatively modest increases in the unit of sales during 2014 and 2015, residential sales surged 16% in 2016, topping 1,300 for the first year since 2006. 1,308 Year-to-Date units sold is the best sales figures we have seen in the last 10 years.

Source: Harrisonburg - Rockingham Association of REALTORSÂŽ Multiple Listing Service, 12/31/16

SALES TRENDS RESIDENTIAL SALES, PAST 12 MONTHS Harrisonburg & Rockingham County, Past 12 Months Sales, 2013-2016

What This Chart Shows: The past twelve months sales, for this month and each month since 2012. This is one of the best ways to see the true long term trend in the market.

Bottom Line:

The past 12-months Sales represent all of 2016. As we mentioned in the prior chart, this is the first time that sales have topped 1,300 in ten years.

Source: Harrisonburg - Rockingham Association of REALTORSÂŽ Multiple Listing Service, 12/31/16

INVENTORY SINGLE FAMILY AND TOWNHOME LISTING INVENTORY City of Harrisonburg 2012-2016

What This Chart Shows: The long term inventory trend in the City of Harrisonburg, with Single Family homes separated from Townhomes.

Bottom Line:

The inventory of homes for sale in the City of Harrisonburg is at its lowest point since we began tracking these numbers in 2007. In December, there was an average of 94 homes for sale. Just two years ago, in December of 2014, that number was 200. As we have been saying for the past few months, if there is not a significant increase in inventory next year, we will see a very competitive Seller’s Market with competing offers and quickly rising prices.

Source: Harrisonburg - Rockingham Association of REALTORSÂŽ Multiple Listing Service, 12/31/16

INVENTORY SINGLE FAMILY AND TOWNHOME LISTING INVENTORY Rockingham County 2012-2016

What This Chart Shows: The long term inventory trend in Rockingham County, with Single Family homes separated from Townhomes.

Bottom Line: While not nearly as constrained as inventory in the city, the number of homes for sale in Rockingham County is still below historic averages. In December, there was an average of 334 homes for sale in the county. Two years ago that number was 405. As with the city, if we don’t experience an increase in inventory, there will be significant upward pressure on prices.

Source: Harrisonburg - Rockingham Association of REALTORSÂŽ Multiple Listing Service, 12/31/16

PRICING AVERAGE AND MEDIAN SOLD PRICE Harrisonburg and Rockingham County Rolling 12 Month Average, 2012-2016

1-Year Change Average - up 2.785% Median - up 4.054%

3-Year Change Average - up 7.431% Median - up 8.512%

What This Chart Shows: The long term trend in average and median sales price for homes.

Bottom Line: The average and median prices continued to rise in December as the market reacts to the continued demand from Buyers for a decreasing number of homes. The median price increased 4% in 2016, and we expect that figure to be 6-10% higher next year.

Source: Harrisonburg - Rockingham Association of REALTORSÂŽ Multiple Listing Service, 12/31/16

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