Virginia REALTORS® has released its first Economic & Housing Market Outlook, taking a look at what’s ahead for Virginia in 2020.
Dr. Lisa Sturtevant, Chief Economist of Virginia REALTORS®, has analyzed economic and housing market data in order to create an outlook regarding Total Jobs in Virginia, Home Sales, Home Prices, New Home Starts, and Mortgage Rates.
- Total Jobs in Virginia: Job growth has been strong in Virginia for the last several years, and this trend will continue into 2020. We expect about 48,000 net new jobs in Virginia in 2020, a 1.2% increase over 2019. Dr. Sturtevant says, “Despite talk of a national recession, the economy here in Virginia is strong and should be insulated from any national downturn, if it happens.”
- Home Sales: In 2020, we’re forecasting 129,343 total home sales in Virginia, up 3% over 2019. Two key drivers of home sales are job growth and the growing millennial population entering the age group of first-time home buyers.
- Home Prices: We predict home prices will continue to rise in Virginia in 2020, and the median home price will be $308,819, a 4.6% increase over 2019.
- New Home Starts: In regard to new home construction, our estimate is that in 2020, there will be 35,450 new housing starts, an 8.9% increase over 2019.
- Mortgage Rates: The 30-year mortgage rate has been at historically low levels throughout 2019. There is no evidence to suggest rates will rise significantly in 2020. The 30-year rate will end up around 4% at the end of 2019, and we’re expecting it to hit 4.25% by the end of 2020.
Click here for more details on the Virginia REALTORS® 2020 Economic & Housing Market Outlook.
Click here for the Virginia REALTORS® 2020 Economic & Housing Market Outlook infographic and summary video.
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Chris Graham
