Fewer people are buying second homes in Richmond
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Demand for second homes is at its lowest rate since 2018, according to a new Redfin report.
The big picture: It's a sudden shift from recent years, when existing homeowners took out mortgages for hundreds of second (or third or fourth) Richmond homes even as many first-time homebuyers were sidelined due to low-inventory and bidding wars.
By the numbers: Last year, homebuyers applied for around 117 mortgages for second homes in Richmond, and 112 in 2023, per Redfin's analysis of Home Mortgage Disclosure Act data.
- That's down significantly from the more than 300 a year second-home purchases for Richmond houses between 2019 and 2021.
Stunning stat: There were 1,230 second-home mortgages for Richmond homes between 2019 and 2022.
Between the lines: Homeownership costs have soared, and cities are cracking down on short-term rentals.
Meanwhile, travelers may be cooling on second homes, too.
- Budget-conscious guests appear to be delaying or canceling stays at Airbnbs and other rentals, according to analytics firm AirDNA.
The bottom line: It's still a rough housing market out there for everyone.