Crozet Real Estate Market Mid-2023 Update – Fewer homes listed & sold, resale prices down

Home sales in Crozet + Brownsville are down, year over year, prices for resale homes are down, new construction prices are up, and days on market are up a little bit.

The Crozet real estate market is stable. (despite being remarkably unaffordable for so many)

I wrote an overview of the Charlottesville – Albemarle real estate market at RealCentralVA, and this one is a bit different than that one — this is focused on Crozet + Brownsville Elementary school districts, and I’m looking at new construction and resale transactions.

Questions? Please ask.

434-242-7140 | [email protected]

A few data points for Crozet + Brownsville

  • From 1 January 2023 to 30 June 2023
    • 133 (down) homes sold. Average Days on Market: 29 (up). Median: 4. Average sales price: $632,011
    • 50 (down) new construction sold – Average price: $720,826 (up)
    • 83 (down) resale homes sold – Average price: $578,508 (down)
    • 83 single family homes sold and 50 attached homes sold
    • 25 homes sold under $400K; 21 of those had 3 or more bedrooms
    • Average age of home sold in 2023: 15 years
    • 128 homes were listed.

  • From 1 January 2022 to 30 June 2022
    • 151 homes sold. Average Days on Market: 18. Median: 4. Average sales price: $649,280
    • 61 new construction sold – Average price: $705,529
    • 90 resale homes sold – Average price: $611,156
    • 113 single family homes sold and 38 attached homes sold
    • 31 homes sold under $400K; 25 of those had 3 or more bedrooms
    • 144 homes were listed.

  • Will home prices in Crozet come down?
    • Maybe. But if you are able to buy now, and you have life/job security, what might be the opportunity cost of waiting? As I tell my clients, I can’t answer that. I know that houses have appreciated, even as mortgage rates have increased substantially.
  • Will interest rates come down or go up?
    • Yes.

Specific questions that only buyers/sellers can ask and answer (with professional guidance?)

There’s really only one question, usually — Should I wait to buy or sell?

# of homes sold in 1st half of 2023; some of the neighborhoods

attached + detached homes. neighborhoods with more than 1 sale.

Neighborhood# of homes soldAverage PriceAvg Sq Ft – above grade
Bargamin Park3$446,000.002,261
Glenbrook at Foothill10$706,600.802485
Glenbrook at Parkside10$485,156.801996
Laurel Hill2$425,000.001468
Old Trail26$748,342.892523
Orchard Acres2$248,750.001154
Pleasant Green11$452,279.552070
Sparrow Hill2$797,500.002705
Western Ridge4$656,875.002769
Westlake at Foothill4$936,666.673080
Wickham Pond6$505,583.332260
Not in neighborhood16$690,937.502211

I wrote this last year, and it mostly holds (although interest rates are a bit higher now)

The one thing I’d add to what I wrote below is that mortgage rates are causing more homeowners to stay where they are rather than move up or down, especially if they are staying in Crozet or Charlottesville/Albemarle.

One of the most common conversations I have is this:

-Prices are so high! I should sell my house.

-I agree. (knowing the next part of the short conversation)

-Where would I go?

– Nowhere; you’re going to stay where you are.

Mortgage interest rates are causing the market to shift

Looking at interest rates through this lens:*

$650K price.
20% down
Principal + Interest payment= $2,263

Change that interest rate to 6% -> $3,118

And 5.5% -> $2,953

For a $500K at 5.5% house, P&I = $2,271

Buyers are going to necessarily pull back.

Sellers need to be mindful of buyers’ more limited budgets and set expectations appropriately. And listen to the best professional guidance they have. (here’s where I ask you to contact me with questions)

* I like Karl’s Mortgage Calculator; it’s a great iOS app too.

* note:these numbers are for just Principal and Interest; a full mortgage payment is comprised of Principal + Interest + (property) Taxes + (homeowners’) Insurance. Hence the commonly-referenced “PITI payment.” If you’re in a HOA, factor those fees in as well.

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