As you may have heard -- the market is hot -- sales are stead, inventory levels are declining and homes are selling more and more quickly. 

Perhaps, just perhaps, we need some new homes to be built to add to the supply side of the equation?

So -- after all that -- what would it take for us to see more new construction (for sale) housing in and around Harrisonburg?

1.  More highly motivated sellers of development land.

2.  Fewer student housing, rental housing and mixed use developers.

You see, there are parcels of land for sale in and around Harrisonburg right now -- or parcels of land that could be purchased where a builder could build homes and buyers could buy those homes and everyone would live happily ever after. 

But -- most sellers of development land aren't overly motivated to sell quickly AND they are convinced that their land should be valued as if it is being sold to a student housing, rental housing or mixed use developer.

And, so long as there are student housing, rental housing or mixed use developers willing to buy land at a high price/acre AND/OR as long as owners of development land are willing to hold out for that high price/acre -- then land is not likely to be sold to developers or builders at a price/acre that would allow them to build homes for buyers to buy.

I think it is important that our local housing stock increase over the next five years with more options for buyers (especially first -- or second -- time buyers) to make Harrisonburg their home.  But right now, we seem to be at a bit of a stalemate -- sellers of development land don't want to sell their land at prices that would allow a builder/developer to build homes for sale -- and builders/developers don't want to pay (can't pay) overly high prices/acre and still deliver a product to the market at a price that a buyer would be able to afford.