Details on Charlottesville market?
Looking to buy RE within the next two years in Charlottesville, VA. Currently working on getting some private investors together for that and networking.
If you’re in this market, I’d appreciate any insights into the current status and projections for the future, from pricing, off-market deal finds, etc. Any info you have is welcome!
Thanks in advance and I’d love to connect with other investors in this area!
@Justin Kramp The Cville market is just as crazy as anywhere else right now. I've not bought a property locally since 2015 that I have as an investment. There are deals still to be found but they're fewer and fewer over time. You kind of have to think outside the box a lot. 115 Stratford Court should have been a duplex and I saw where the guy renovated and made each unit into a separate Condo. He/She had each unit listed for $329,000 + and got both under contract in a matter of days. I was amazed at the audacity but more amazed at the market's response. I own the duplex next door so you know it got my mind turning ...
@Aaron Howell wow that’s absolutely nuts. I feel like you could sell a Lowe’s shed on a 10sqft lot for 50k here right now.
It’s been crazy in Cville lately! We have two rentals here and are struggling to find more. We have been looking out of state. One of our agents told us he could sell a toilet and 4 walls for half a million right now!!! Would love to chat more about investing and networking.
Opportunities can be found in Waynesboro, just over the mountain to the West and about 45 minutes from Charlottesville. Greene County to the north and Louisa and Orange Counties to the east are growing too. Charlottesville has been seeing growth in tech, research, retiree, tourism and urban flight demographics. Its is not just UVA students and faculty anymore. People have to look outside of Albemarle County and Ch-ville to rent homes under $650 a bedroom. Google Charlottesville Economic Development and select Business Data. I've been buying in the area since 2015 but am now building rather than searching for the high priced mediocre properties that come up and would not cashflow. I did find a 3 bedroom 1 1/2 bath fix-up auction property last year for $107K and there are still vacant places that could be pried from Owners by driving for $$.
@Tom Fisher awesome feedback, thanks! I was hesitant about these areas due to relatively small population sizes and the fact that Charlottesville doesn’t have too many geographical barriers for expansion, so the expansion seems to spread 360 degrees around cville. Is there something I’m missing here?
@Tom Fisher @Justin Kramp Louisa is exploding! We sold around 40 houses in the Countryside neighborhood in about 8 months. The neighborhood behind us is growing too.
Hi Justin, we are moving up to the Cville area next spring and would be glad to meet up with other RE investors in the area. From what ive seen in the thread the market is pretty crazy there at the moment. I've been actively investing in the Houston market for the last few years (BRRRR) but have put the brakes on as prices have just gone nuts.
@Justin Kramp I'm local to Charlottesville. Our market has been pretty crazy the past year. Prices are high in Charlottesville and Albemarle County. As @Tom Fisher mentioned, deals can be had in the surrounding counties. Waynesboro and Staunton would be great locations for investing as prices are still manageable compared to Albemarle and Charlottesville. Louisa, Palmyra, and Greene are also really good options.
@Ian Middleton I’d love to connect. Let me know when you’re here!
Just closed on a primary residence in Crozet today...its a fixer upper but has good bones.
@Ian Middleton Congrats!! Crozet is a great location.
Tons of opportunities to be had. I personally live in Palmyra and we are looking to buy more in the lake. We manage rentals that are doing extremely well all over Charlottesville, Louisa, Palmyra, Waynesboro, Staunton. We have seen rents go up 20% in some cases. People are perfectly willing to drive the 30min from Louisa to Charlottesville to be out of the city a little bit. Your biggest barrier to entry right now is the labor if you buy something that needs some work. We are lucky to have an in-house crew who does it all but the rates some of these companies are charging is unbelievable and its hard to pin them down.
I'm currently looking in Charlottesville and surrounding areas for a STR, but from what I hear, Charlottesville is not STR friendly unless it's owner occupied. Are the surrounding areas mentioned here (Waynesboro, Palmyra, Louisa, Staunton) good options for STR?
@Stacy Weng as an investor and agent its harder and harder to find rentals that makes sense dollar wise. Albemarle/Charlottesville is not the most STR friendly place but outlying areas are and travel to and from is pretty doable.
@Stacy Weng Charlottesville and albemarle is difficult for STR. In Cville you must reside on the property for 180 days. Not sure how so many people have multiple residences and are able to Airbnb more than one. Must be skirting the system, but I imagine it will catch up eventually. We are also looking in other areas like Nelson, which is more STR friendly, but seems like it is becoming saturated. I wouldn't be surprised if regulations begin to change there as well.
@Stacy Weng, @Account Closed is right about the Cville/Albemarle areas, however I think the northern half of Nelson county is strong for STRs and if regulations were changed in the area it would be a determinate to Wintergreen Resort and the Nelson151 trail. So even if regulations were changed I find it hard to believe they would be nearly as strict as the Cville/Albemarle regs.
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Real Estate Agent VA (#0226035116)
- https://www.bpgreal.com/
@Michael H. Cook good to know! My partner just purchased one that is going okay. Not as well as we had hoped (since our next property will be with them). There just seems to be so many to choose from so competition is fierce. I guess there is some good to regulations!
@Aaron Howell @Account Closed thanks for the insights! With the crazy market, I'm also considering rental arbitrage as an option. Any regulations against STR on leased properties in these areas? Thoughts on the Harrisonburg area, with its proximity to the Shenandoahs and Massanutten?
@Stacy Weng I think you would be hard pressed to find a landlord who will let you arbitrage their property. I know I wouldn’t let someone sublet my LTRs for short term rentals. I presume the rewards would have to be quite high for the landlord. What happens when you sign a lease and furnish the place beautifully and can’t get it rented. You will still be on the hook for the rent every month. I know people do it and have been successful, but it would be too much lost sleep for me.
@Stacy WengHarrisonburg is similar to the previously mentioned areas of Cville/Albemarle but the county surrounding Harrisonburg is a solid area.
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Real Estate Agent VA (#0226035116)
- https://www.bpgreal.com/
Just bought what I hope to be an str in waynesboro. Really glad to know what has been mentioned about Charlottesville in this post. Did not know that (but I did know that prices are too high for my wallet). I am feeling encouraged (except for that saturated word). But I still need a team of contractors to do some light repairs. Any suggestions welcome. Especially plumber and electrician
Quote from @Leslie Stouffer:
Just bought what I hope to be an str in waynesboro. Really glad to know what has been mentioned about Charlottesville in this post. Did not know that (but I did know that prices are too high for my wallet). I am feeling encouraged (except for that saturated word). But I still need a team of contractors to do some light repairs. Any suggestions welcome. Especially plumber and electrician
We have an in-house crew now but when we had to hire out Just Better Home Services was always the best. The most expensive, but they did it right the first time and with less headache. If you will be doing this long term, your best bet is to find a contractor with a crew who can do a little of everything.
Quote from @Jake Johnson:
Quote from @Leslie Stouffer:
Just bought what I hope to be an str in waynesboro. Really glad to know what has been mentioned about Charlottesville in this post. Did not know that (but I did know that prices are too high for my wallet). I am feeling encouraged (except for that saturated word). But I still need a team of contractors to do some light repairs. Any suggestions welcome. Especially plumber and electrician
We have an in-house crew now but when we had to hire out Just Better Home Services was always the best. The most expensive, but they did it right the first time and with less headache. If you will be doing this long term, your best bet is to find a contractor with a crew who can do a little of everything.
So helpful. Got the recommendation from my closing atty there now, but he has limitations. Will call them when I see what he is not comfortable doing.
Anyone here who can recommend a home improvement contractor