The State of the Richmond Real Estate Market and the Growing Appeal of Custom Homes

As the Richmond, VA real estate market continues to evolve, prospective home buyers and sellers are keen to understand the latest trends and what they mean for their real estate goals. The latest market data from One South Realty, as of July 3, 2024, provides a comprehensive snapshot of the current state of the market. For those interested in new homes, particularly custom builds, these insights are invaluable. At Keel Custom Homes, we specialize in creating tailored living spaces that meet your unique needs, whether you’re looking for a home in Richmond or across Central Virginia. Let’s delve into the key data points and explore how they impact your decisions as a buyer or builder.

Current Market Overview

The recent market report highlights several critical metrics:

  • New Inventory Units: 523

  • Resale Inventory Units: 997

  • Regional Inventory Months (All): 1.54 months

  • Regional Inventory Months (Resale): 1.01 months

The data indicates that resale homes continue to move quickly, with a regional inventory of just over one month. This trend suggests a competitive market for resale properties, reinforcing the appeal of new custom homes where buyers can bypass the competition and build exactly what they want.

Market Activity and Pricing

Key statistics on market activity include:

  • New Listings Last 7 Days: 357

  • New Sales Last 7 Days: 370

  • Median Days on Market: 7 days

  • Median Price Last 30 Days: $430,000

The market remains active with nearly as many homes being sold as listed, reflecting strong demand. Homes are selling quickly, with a median of just seven days on the market. This rapid turnover underscores the need for buyers to act quickly and consider the benefits of building a new home where timelines can be more predictable.

Pricing Trends

Pricing trends offer critical insights for buyers and sellers:

  • Median Closed Price per Square Foot (Last 30 Days): $224

With a median price of $430,000 and a price per square foot at $224, Richmond’s housing market is holding strong. The success rate, representing the percentage of homes that sold versus those listed, remains robust. This stability is good news for those looking to invest in a new custom home, as it indicates a healthy market with sustained demand.

Competitive Landscape

The report also highlights the competitive nature of the market:

  • Immediate Sales: 45%

  • Bidding Wars: 69% of sales involved bidding wars

  • Above Asking Price: 69%

  • At Asking Price: 17%

  • Below Asking Price: 14%

With nearly 70% of homes selling above the asking price, the competitive landscape can be challenging for buyers looking for existing homes. This environment makes building a custom home an attractive alternative, allowing you to avoid bidding wars and get the home of your dreams without the stress of competing offers.

Benefits of Building a Custom Home with Keel Custom Homes

Tailored to Your Needs

One of the primary benefits of working with a Richmond, VA custom home builder like Keel Custom Homes is the ability to tailor every aspect of your home to your specific needs and preferences. From floor plans to finishes, you have the freedom to design a home that perfectly suits your lifestyle.

Fixed Costs and Timelines

In a competitive market where prices can escalate rapidly, building a custom home offers the advantage of fixed costs and timelines. By working with an experienced on-your-lot custom home builder, you can lock in prices for materials and labor, protecting yourself from market volatility.

High-Quality Construction

At Keel Custom Homes, we pride ourselves on delivering high-quality construction that meets the highest standards. By choosing a custom home, you can ensure that your home is built with the best materials and craftsmanship, providing long-term value and durability.

Prime Locations

Building a custom home allows you to choose the perfect location. Whether you want a secluded lot with plenty of privacy or a community with amenities and a sense of neighborhood, Keel Custom Homes can help you find and build on the ideal lot in Richmond or Central Virginia.

The Process of Building with Keel Custom Homes

  1. Initial Consultation: We begin with a detailed consultation to understand your vision, budget, and timeline.

  2. Design Phase: Our team works with you to customize one of our professionally designed portfolio plans or create a completely custom floor plan from scratch that meets your needs.

  3. Site Selection: We help you find the perfect lot for your new home, whether it’s a parcel you already own or one we help you locate.

  4. Construction: Our experienced builders bring your vision to life with meticulous attention to detail and quality.

  5. Final Walkthrough: Before you move in, we conduct a thorough walkthrough to ensure every aspect of your new home meets your expectations.

Conclusion

The Richmond real estate market continues to thrive, presenting both opportunities and challenges for home buyers. With rising prices and a competitive landscape, building a new custom home with Keel Custom Homes offers a compelling alternative. As a leading Central Virginia custom home builder, we are dedicated to helping you create the perfect home on your lot, tailored to your unique needs and preferences.

Contact Keel Custom Homes today to learn more about how we can help you navigate the Richmond real estate market and build the home of your dreams. With our expertise and commitment to quality, we are your trusted partner in making your custom home vision a reality.

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The Ultimate Guide to Building Your Dream Home with Keel Custom Homes in Virginia

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Choosing the Right Custom Homebuilder: Why Keel Custom Homes Stands Out in Richmond, VA