Industry magazine Builder includes a study this month by a research firm called Market Intelligence that suggests that the Richmond area is likely to be one of the early beneficiaries of an improving economy.
Housing economists have long held that the housing rebound, when it comes, will be uneven. The markets that benefit first will be the ones with the strongest core dynamics; places where house prices never got out of hand, cities where a diverse and progressive employment base drives job creation, towns that continue to draw population despite the economic recession.
Richmond comes in at #12 out of the top twenty markets in this survey!
Specifically, they say the following about Richmond:
Market Health Indicator: 37.3
2009 Total Building Permits: 3,042
2010 Building Permit Forecast: 3,329
Richmond is another market on the mend. The city of 1.24 million is a state capital and home to several universities. The median price of a home here, $198,000, fell only 5% last year. Now, the region, which boasted a below average unemployment rate of 8.4% at year end, is poised to start adding jobs again. Market Intelligence expects employment to rise 0.3% in 2010. Permit levels are expected to rise by roughly 10%, though they won’t come close to 2008’s level of 4,970.
You can read the entire article here.
What do you think? Are we poised to see a better-than-average real estate market here in Richmond?
For more information, see Richmond VA Condos.