Last month our trivia question was, “Of the four main ways to purchase a house (VA, FHA, or Conventional loans, or cash) what percentage of each type was used by buyers to purchase homes in Hampton Roads in 2023?” The answers in order from the most popular to least based on percentage are: VA (Veteran Affairs) – 35.43%, Conventional – 30.66%, Cash – 18.27%, and FHA (Federal Housing Authority) – 12.95%. Here is a link to last month’s newsletter discussing the basics of the different types of loans.
These loan percentages are based on the home sales across Hampton Roads in 2023 and are limited to the sales of homes that sold for $766,600 or less. We chose to cap the price at $766,600 because anything above that results in a much worse interest rate when using a VA loan. Our parameters cover up to 96% of all of the sales across Hampton Roads. For reference, conventional loans made up 49% of all of the sales above $766,600.
There are many different types of conventional loans. Today you can get a conventional loan with as little as 3% down (some credit unions even have a zero down conventional loan), which has increased the use of conventional loans across the board.
In general, FHA and VA loans have tighter lending standards about the overall condition of the home. In most cases, conventional lending standards will allow minor repair items to pass that would prevent a VA or FHA loan from closing. If a home is in reasonably good shape, assuming someone is eligible, a VA loan (if buyer is eligible) is really hard to beat from a buyer’s perspective.
One of things we often tell both buyers and sellers is at the end of the day you really have to convince two different “people” to agree to buy a house. The buyer and the lender. While the lender isn’t a person, if the lender doesn’t agree to finance the purchase the sale isn’t going to happen.
As you can see, when you are buying or selling a house there are a lot of moving parts and decisions to be made. Give us a call (757-726-7653 for Lee, 757-434-9084 for Harry) or reply back to this email and we will be happy to talk through your individual situation. We love real estate and are always happy to talk.
Don’t forget, we manage rental properties and can help with your property management needs as well!
Check out the Rental Management section of our website, here.
What’s Happening in Suffolk
Color, Form, and Soul Exhibit
Suffolk Parks and Recreation, Suffolk Art Gallery and Suffolk Art League will hold the opening reception for our spring exhibit, Color, Form, and Soul, on Saturday, April 27, 2024 from 4 to 6 p.m. Thi…
Get ready for an unforgettable night under the stars! Our Saturday Cinema event is back and better than ever! Join us for a magical evening of outdoor cinema, where we’ll be screening some of yo…
This exhibition features artwork by the talented Elizabeth River Artists Association. OPENING RECEPTION: Thursday, June 6, 2024 – 5:30-7pm On view June 6-July 13, 2024; Tuesdays-Saturdays, 10a…
Enjoy live music on Friday’s in Suffolk at our Downtown Festival Park located at 215 W. Washington St. or at Bennetts Creek Park located at 3000 Bennetts Creek Park Rd.! All concerts are free an…
Summer Film Series at the Center: Black Panther – Wakanda Forever
Join Suffolk Tourism, in partnership with the Suffolk Center for Cultural Arts, as they proudly present the Summer Film Series at the Center, a series of three blockbuster films. The series kicks off …
The Market offers an array of fresh local produce, beef, poultry, eggs, honey, baked goods, pickled vegetables, jams, plants and flowers, handmade soaps, candles, garden and farm décor, jewelry, and…
In case you were wondering, my wife and I did not succeed at keeping our porch pollen-free. If you don’t understand our first sentence or the title, take a quick read of last month’s newsletter HERE.
The flowers are blooming, leaves are on the trees, and for sale signs are going up in yards all around town. Let’s look at last month’s numbers, from REIN (our local MLS):
As you can see, the number of active listings is up but the total number of sales is down when you compare March of 2023 to March of 2024. The number that isn’t on the chart, but the one we think is the most important, is the month’s supply of inventory (MSI). For March 2024 MSI was 1.75 which is only a little higher than February 2024 when it was 1.73. In an average market the MSI should be between 5 and 7 months, so the inventory (number of homes listed for sale) could double and we would still be in a seller’s market. The MSI is up from last March, when it was 1.27, but the market still has plenty of demand from buyers before we shift out of a seller’s market.
Interest rates have been in the news a lot lately, but what the stories usually fail to explain is that the interest rates vary for the different types of loans. There are three main types of loans and they each have unique characteristics. From a downpayment perspective, the VA (Veteran Affairs) loan is 100% no money down. FHA loans (Federal Housing Administration -another type of government loan) come with a 3.5% down payment. Traditional conventional loans are 20% down. The interest rates don’t always follow the down payment. While the lowest interest rate is a 15 year conventional loan, the 30 year conventional loan rates are actually a little higher than FHA or VA loans. Next month we will go into more detail about the types of loans that are available. If you have questions in the meantime, please don’t hesitate to contact us.
This leads to our trivia question. Of the 4 basic ways to purchase a house (VA, FHA, or Conventional loans, or cash) what percentage of each type were used by buyers to purchase homes in Hampton Roads in 2023? Reply back to this email with your answers including percentages for each category. The winner will receive both bragging rights and a gift certificate to Cafe Davina in downtown Suffolk.
Just like there are many ways to buy a house, everyone’s situation is different, so give us a call (757-726-7653 for Lee, 757-434-9084 for Harry) or reply back to this email and we will be happy to talk through your individual situation. We love real estate and are always happy to talk.
Don’t forget, we manage rental properties and can help with your property management needs as well!
Check out the Rental Management section of our website, here.
What’s Happening in Suffolk
“Walk On The Wild Side” Exhibit
This popular exhibit at the Suffolk Center for Cultural Arts never disappoints as invited artists bring decoy and other animal carvings, sculptures, photographs, paintings, and drawings that highlight…
Call and reserve your spot today! This is a unique opportunity that you do not want to miss. Kermit takes his audience on a musical journey through time, while demonstrating how each instrument works …
Kayak Excursion of Nansemond River at Constant’s Wharf
Located on the Nansemond River, John Constant founded this important trading center and village known as Constant’s Warehouse, which would become the Town of Suffolk in 1742. Guided kayak excursions…
Suffolk Farmers’ Market 2024 Season Opening Celebration
The Suffolk Farmers’ Market kicks off the 2024 season on Saturday, May 4, in the Suffolk Visitor Center Pavilion at 524 North Main Street. The weekly market is enjoyed by locals and visitors searchi…
The Suffolk Art League, in cooperation with the Suffolk Art Gallery, will hold a Bridge and Games Luncheon on Monday, May 6, 2024, from 10am to 2pm, at the Suffolk Art Gallery. Tickets are $25 per per…
Love Country Music? You are in for a real treat when you come to see The Hit Men of Country featuring five fabulous musicians who have performed, toured or recorded with some of Country’s greatest a…
Annual Holland Ruritan Club’s Custom Car, Truck & Motorcycle Show
Spend a great day in the heart of Western Tidewater at the 6th Annual Custom Car, Truck & Motorcycle Show! Free admission, entertainment, vendors, and lots of fun for whole family. Advertisers and…
Get ready for an unforgettable night under the stars! Our Saturday Cinema event is back and better than ever! Join us for a magical evening of outdoor cinema, where we’ll be screening some of yo…
3rd Anniversary Celebration at Amedeo’s Ristorante
We cordially invite you to join us in celebrating our third anniversary in business on May 4th. The occasion promises a delightful fusion of commemorations including Cinco de Mayo and the Kentucky Der…
My wife and I love to spend time on our screened in porch. Last weekend we discussed solutions for keeping pollen off our porch cushions and need to come up with a plan sooner rather than later. The first official day of spring was Tuesday March 19th, so I am happy to report that the real estate market realizes it is spring time as well. While we don’t have this month’s numbers in yet, based on what we have experienced over the last few weeks our local real estate market is definitely “springing.”
Here are the numbers from REIN (our local MLS) from last month:
As you can see, we had over 10% more homes listed for sale in February 2024 than we did in February 2023 and the median sales price is up over four percent. The month’s supply of inventory is still well under two months at 1.73. Even with the higher number of homes listed, options are still limited for buyers. This is especially the case for homes listed under $400,000.
At the risk of sounding like a broken record, If you are thinking about selling your property, now is the time to get started. Sellers often make the mistake of waiting to list in the summer, but statistics show that spring is a much better time to get the ball rolling. Based on a study we did the five months with the highest number of homes going under contract were April, June, May, July, and March. If you are considering selling, now is the time to start making plans and we are here to help. Give us a call (757-726-7653 for Lee, 757-434-9084 for Harry) or just reply back to this email. We love real estate, and are always happy to talk.
Also, if you have any suggestions for keeping pollen off a screen porch, Lee would appreciate the tips!
Don’t forget, we manage rental properties and can help with your property management needs as well!
Check out the Rental Management section of our website, here.
What’s Happening in Suffolk
40th Annual Juried Photography Exhibit
The Annual Juried Photography Exhibition returns to the Suffolk Art Gallery! Now in its 40th year, this exhibit is the largest and longest running juried exhibition of photographic works in Hampton Ro…
Join us at our Spring Wine Fest for a delightful afternoon filled with the finest wines, live music, and good vibes-let’s raise our glasses! Join us at Decoys Seafood at the BLIND DUCK TIKI BA…
Join us for Suffolk Tourism’s winter edition of the Suffolk Farmers’ Market! The winter market is an open-air gathering place featuring fresh, locally grown foods, jams/jellies, meats, and…
Cappuccino, macchiato, cortado, oh my! Join the baristas at Cafe Davina in Downtown Suffolk and learn about the different brew types and origins, what the difference is between a light and dark roast,…
This popular exhibit at the Suffolk Center for Cultural Arts never disappoints as invited artists bring decoy and other animal carvings, sculptures, photographs, paintings, and drawings that highlight…
As we review the numbers and trends over the last couple of months we are glad to report that we have good news for both buyers and sellers. Take a look at the numbers in the chart below. We’ll detail the positives we see for buyers and sellers in the following paragraph.
Buyers should be glad to see that interest rates are still down over a point from the fall and active listings (the numbers of homes on the market for sale) are up over 8% when comparing January 2023 to January 2024. The median days on the market was longer than a month for the first time in over 3 years, and the month’s supply of inventory came in at 1.72 months, up from 1.27 in January 2023. The bottom line is, while we are still firmly in a seller’s market, buyers are starting to have more choices, especially in higher price ranges.
Seller are happy that the median sales price is up almost 6% from January 2023 to January 2024, and seller’s know that a balanced market has a roughly 5 month supply of inventory. Since our local market is still under 2 months, sellers are still in control. Additionally, our local market is always slower over the winter, helping buyers who are willing to move their Christmas tree.
As we head into spring, if you are thinking about selling your property, now is the time to get started. Sellers often make the mistake of waiting to list in the summer, but statistics show that early spring is a much better time to get the ball rolling. Based on a study we did the five months with the highest number of homes going under contract were April, June, May, July, and March. Many people do move during the summer months but that is often because they listed their house in the spring, aiming for offers that might close 30 to 60 days later in time for a summer move. If you are considering selling, now is the time to start making plans and we are here to help.
Give us a call (757-726-7653 for Lee, 757-434-9084 for Harry) and put our experience to work to help make you more money!
Don’t forget, we manage rental properties and can help with your property management needs as well!
Check out the Rental Management section of our website, here.
What’s Happening in Suffolk
Traveling Exhibit: “The Life and Legacy of the Marquis de Lafayette”
Suffolk Tourism is pleased to host the “The Life and Legacy of the Marquis De Lafayette,” an informational exhibit developed by The American Friends of Lafayette. On display at the Suffolk Visitor…
35th Annual Young Artists and Authors Showcase: “ClimateScape: Resilient Cities for Tomorrow’s Climate”
Suffolk Sister Cities International sponsors an annual Young Artists and Authors Showcase that help foster a sense of global citizenship and goodwill for young students. This year’s theme is “…
Get ready to dance to the beat of your own silent drum at Suffolk Parks & Recreation’s Silent Party! Join us at Kings Fork Recreation Center on Friday, March 1, from 7 – 10 p.m. for an…
Join us for Suffolk Tourism’s winter edition of the Suffolk Farmers’ Market! The winter market is an open-air gathering place featuring fresh, locally grown foods, jams/jellies, meats, and…
The Suffolk Public Library is turning the Holland Ballfield into a family fair for one afternoon! Booths will have all of your favorite games, challenges and prizes, and you might even learn along the…
The Suffolk Humane Society will host the Paws for the Arts Gala on March 2, 2024, at the Hilton Garden Inn Suffolk Riverfront from 5to 10pm. The Gala features live and silent auctions, artwork by loca…
The Annual Juried Photography Exhibition returns to the Suffolk Art Gallery! Now in its 40th year, this exhibit is the largest and longest running juried exhibition of photographic works in Hampton Ro…
Join us for a relaxing, fun, carefree afternoon as we unleash our inner artists! Drawing and Painting Instructor, Darsey Whitlow, will be guiding you step-by-step to create an acrylic painting on canv…
Winter Family Movie Series at the Center: Puss In Boots – The Last Wish
Join Suffolk Tourism, in partnership with the Suffolk Center for Cultural Arts, as they proudly present the Winter Family Movie Series at the Center, three blockbuster family movies that enchanted wor…
Join us for the Annual Mystery Authors Festival on Saturday, March 16, 2024, from 1-6pm, at the Suffolk Conference Center at the Hilton Garden Inn Suffolk Riverfront. This one-day festival will showca…
“MATILDA THE MUSICAL” is presented by The Hurrah Players and tells the story of an extraordinary girl who, armed with a sharp mind and a vivid imagination, dares to take a stand to change her s…
Join Decoys Seafood on St. Patrick’s Day for some good ol’ Irish fun! They’ll have food specials, drinks specials, green beer, live music, and more! On top of that, wear your best S..
Murder Mystery Dinner Theater: “Death of a Gangster”
In this “Married to the Mob” event, you’ll never know who to trust. With the two families merging together, someone is bound to lose power, which means someone else will lose their life! Get on …
It’s the return of the popular American Girl Program, featuring Julie Albright, on Saturday, March 23, 2024, at Riddick’s Folly House Museum! When Julie Albright finds out that her new sch…
Join us at our Spring Wine Fest for a delightful afternoon filled with the finest wines, live music, and good vibes-let’s raise our glasses! Join us at Decoys Seafood at the BLIND DUCK TIKI BA…
Join the Suffolk Center for Cultural Arts for the “Tangled Roots: A Celebration of Black Culture,” on March 24, 2024, beginning at 3pm. The Tangled Roots Black Expo is an exhibition dedica…
Cappuccino, macchiato, cortado, oh my! Join the baristas at Cafe Davina in Downtown Suffolk and learn about the different brew types and origins, what the difference is between a light and dark roast,…
Last January we decided to run a trivia contest to guess the medium sales price for 2023 across Hampton Roads and offered to donate $100 to the charity of the winner’s choice. Joey’s guess was $331,400 and the final number was $330,000 so he was the closest. Congrats to Joey and to ForKids, the charity he picked. We will run the same contest again this year, so see below for the details.
As you can see in this chart from the Real Estate Information Network (REIN, our local MLS), the median sales price continues to increase (it was $312,000 in 2022). In this chart, the red bar is the medium sales price, the gray vertical bars are the total number of homes that sold each month, and the green bar across the bottom is HUD’s estimated of the median family income.
If you look at the statistics in the chart it might appear that the trends of 2004-2009 are similar to the market now, but we do not believe that will mean that we are in store for a price drop similar to the one that occurred between 2007-2011. A large part of the decline during that time frame was the result of bank foreclosures caused by lax loan underwriting. Thankfully, lending standards are much tighter now, and the Month’s Supply of Inventory (MSI) is still well under 2 months. In an average market the MSI should be between 5 and 7 months, so the inventory (number of homes listed for sale) could double and we would still be in a seller’s market. As a result, we think that the prices will continue to trend upwards.
Based on our experience, knowledge, and the statistics of the current market, we predict that this spring will continue to be a seller’s market. Interest rates have dropped over a point since October, and assuming they stay below 7%, we think the medium sales price will continue to rise.
What do you think? Reply back to this email with your prediction of what you think the median sales price will be for 2024. We will make a $100 donation in your honor to the charity of your choice for the guess closest to next year’s number.
As always, every situation is different, so give us a call (757-726-7653 for Lee, 757-434-9084 for Harry) or reply back to this email, and we will be happy to talk through your individual situation.
Don’t forget, we manage rental properties and can help with your property management needs as well!
Check out the Rental Management section of our website, here.
What’s Happening in Suffolk
Everyone Has A Story – Exhibit
Suffolk Center invites the community to a new collaborative art exhibition, ‘EVERYONE HAS A STORY,’ on view from December 14, 2023 to February 3, 2024. EVERYONE HAS A STORY pairs the literary arti…
Join us for Suffolk Tourism’s winter edition of the Suffolk Farmers’ Market! The winter market is an open-air gathering place featuring fresh, locally grown foods, jams/jellies, meats, and…
The Suffolk Art League in cooperation with the Suffolk Fine Arts Commission cordially invites you to attend the Exhibit of Excellence: Suffolk Student Art 2024, on display at the Suffolk Art Gallery
Join us for a relaxing, fun, carefree afternoon as we unleash our inner artists! Drawing and Painting Instructor, Darsey Whitlow, will be guiding you step-by-step to create an acrylic painting on canv…
Did someone say GALENTINES?! Dress up & grab your girlfriends for a night out on the town…Valentine’s Day party style! Come on out to Decoys Seafood on February 8, 2024, from 5-8pm. Ti…
Winter Family Movie Series at the Center: The Little Mermaid
Join Suffolk Tourism, in partnership with the Suffolk Center for Cultural Arts, as they proudly present the Winter Family Movie Series at the Center, three blockbuster family movies that enchanted wor…
The Suffolk Art League will hold its 40th Annual Antique Show and Sale at Kings Fork Middle School on February 24-25, 2024. Admission is $7 per person; the show is open Saturday, 10am-5pm, and Sunday…
35th Annual Young Artists and Authors Showcase: “ClimateScape: Resilient Cities for Tomorrow’s Climate”
Suffolk Sister Cities International sponsors an annual Young Artists and Authors Showcase that help foster a sense of global citizenship and goodwill for young students. This year’s theme is “…
I was dreaming all December of snow falling for a white Christmas that we definitely did not get, but at least the interest rates have been falling over the last two months. Here is a chart from the St Louis Fed showing the 30-year mortgage rates since August 1st.
As you can see, interest rates have dropped over a point during the last two months, and that is good news for both buyers and sellers. This chart from the Real Estate Information Network (REIN, our local MLS) shows that the number of homes selling are still lower than last year, but the median sales price is up almost 10% when comparing November 2022 to November 2023.
Last year we predicted that the number of sales would go down and that we didn’t expect the median sales price to change much. Our main point was that we disagreed with the opinions of many that the price of homes was likely to go down in 2023. When the final numbers come in for the year, we are almost certain to finish the year with fewer home sales across Hampton Roads but at an increased median sales price.
Last week the Cross Realty family celebrated together during the annual office Christmas party. It was my 22nd Christmas party as an employee of Cross Realty, and each year, my father, Harry, always talks about his father, my grandfather Harry Lee Cross, Jr. My grandfather loved the office Christmas party for many reasons, but for him, the most important thing it signified was that his small business had another successful year. This will be Cross Realty’s 70th year as a family business in Suffolk, and I am proud to be a part of ensuring that Harry Lee Cross Jr.’s legacy of serving as your trusted hometown professional continues. From all of us at Cross Realty, we appreciate you allowing us to be of service over the years and look forward to continuing to help you over the next 70 years!
Don’t forget, we manage rental properties and can help with your property management needs as well!
Check out the Rental Management section of our website, here.
What’s Happening in Suffolk
Festival of Lights 2023
Welcome in the holidays with the 4th Annual Suffolk Festival of Lights at Sleepy Hole Park! This FREE drive-through holiday light display is sure to put you in the festive spirit! The display is avail…
Join the Suffolk Art Gallery for the Winter Exhibit: Stories in Stitches, a display of work from members of the 54-40 African American Quilters Guild of Virginia. Founded in March 1993, the group is t…
Suffolk Center invites the community to a new collaborative art exhibition, ‘EVERYONE HAS A STORY,’ on view from December 14, 2023 to February 3, 2024. EVERYONE HAS A STORY pairs the literary arti…
Celebrate the New Year a little early with a countdown, balloon drop, crafts, snacks, dancing, and more! The party will start at 11am and we will ring in the New Year at noon! Ages 0-5. For more infor…
Celebrate the New Year a little early with a countdown, balloon drop, crafts, snacks, dancing and more! The party starts at 11:00am and we will ring in the New Year at noon! For ages 0 through 5. For…
Do you know what makes an agent successful? We do. Cross Realty welcomes queries from those who are interested in joining our award-winning team. Call Harry today at 757-434-9084 to schedule a confidential meeting.
Specializing in properties in South Hampton Roads, Virginia.
