Commercial Property Appreciation in Downtown Harrisonburg


Commercial Property Appreciation in Downtown Harrisonburg
By Scott Rogers • February 29, 2008
I was recently asked about the rate at which commercial properties are appreciating (growing in value) in downtown Harrisonburg. Getting to an answer took quite a bit of data collection and analysis, but here's what I have compiled . . . Methodology Properties meeting the criteria below were considered in this study, which resulted in a data set of 145 properties: B-1 zoning (downtown central business district) Current commercial use categorization Property improvements of $50,000 or greater Point-to-point Sales Analysis A point-to-point sales analysis was completed of all properties for which two historical sales prices and dates were available, where the sale dates were at least two years apart. This resulted in a data set of 8 properties: Appreciation per year ranged from 7% to 26%. Average appreciation per year was 16%. Five-Year Comparison of Assessed Values The 2003 assessed value and 2008 assessed value were compared for each of the 145 properties. Appreciation per year ranged from 1% to 56%. Average appreciation per year was 12%. NOTE: The 12% per year increase in assessed values includes a number of properties purchased and rehabbed by investors (which, in some cases, caused major increases in assessed values). So, added value by investors is part of the 12% (not just perceived market appreciation by the assessor). Receive Updates by Email Recent Articles: It Is OK To Improve Your Home Beyond The Value Range Of Your Neighborhood, But Realize That You Are Doing So, And The Potential Consequences 35% Of Townhome, Duplex and Condo Sales Are New Homes! While You Might Not Recoup The Cost Of Remodeling Your Current Home, Maybe You Should Do It Anyway! Basically, All Remodeling Projects Will Cost More Than They Will Add To Your Home Value The Speed Of Home Sales (Days On Market) Is Likely The Best Indication Of The Mood Of The Market If Your House Is Going To Sell, There Is A Very Good Chance It Will Be Under Contract Within A Month Be Amazed By Your Home Value And Be Content To Stay Putting The Pace of August 2021 Home Sales In Context Harrisonburg Area Home Sales Spike Again In August 2021 Your House Does Not Need To Be Photo Ready When I Visit For The First Time
Have any questions? Contact Scott Rogers at 540-578-0102 or scott@funkhousergroup.com
Based on information from the Harrisonburg-Rockingham Association of REALTORS® or its MLS, for the period Jan 1, 2000 through Sep 26, 2021 (unless otherwise noted).
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