Will We See Hundreds Of Covid Induced Foreclosured Homes Hitting The Market In Harrisonburg?


Will We See Hundreds Of Covid Induced Foreclosured Homes Hitting The Market In Harrisonburg?
By Scott Rogers • August 24, 2021
Several folks have recently asked me if I think we will see hundreds of foreclosed homes hitting the market in Harrisonburg in the coming year as a result of Covid and if that could affect home values. I don't think we will see a rush of foreclosed properties hitting the market in this area. Here's why... Pre-Covid, we didn't see many foreclosures in this area. Before the housing peak in 2008, we were seeing 90-ish (93, 97) foreclosures per year in Harrisonburg and Rockingham County. In 2018, there were 85 foreclosures. So, there are/were typically fewer than 100 foreclosures per year. Home values today are higher than they have ever been in this area. If a homeowner is facing foreclosure, they should be able to just sell their home and pay off the mortgage in many cases -- rather than face foreclosure. This was not the case (home values being higher than past sales prices) back in 2009-2014 when we saw more than 150 foreclosures per year. Most homeowners who are working can and do pay their mortgages -- thus avoiding foreclosure. The pandemic did temporarily affect unemployment rates in this area, but that was not widespread or long lasting. So - will we start to see some foreclosures taking place this year and next? Yes. Will it be a disproportionately larger number that will affect the overall housing market? I do not think that will happen. Receive Updates by Email Recent Articles: How Much Have Home Prices Increased, Locally, When Adjusted For Inflation? Our Local Real Estate Market Keeps Testing Basic Economic Theories Recent Rises In Inventory Levels In Context How Many Homes Are Selling For Less Than The List Price? Interstate 81 Through Harrisonburg Will Be Expanded Soon, But Will It Have Sound Barriers? Sample Mortgage Payments In September 2023 Fewer Homes Are Selling, Though Prices Keep Rising, And Now Inventory Levels Are Rising Too!? Major Travel Center Proposed To Include 75,000 SF Building, 673 Parking Spots, 120 Gas Pumps, 24 Tesla Chargers Just Outside Mount Crawford If Your Home Has Not Sold We Should Look At What Buyers Are Actually Buying Home Buyers Might Not Request Showings Of Your Home With Minutes. Gasp!
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 27, 2023 (unless otherwise noted).
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