Hampton Roads Real Estate: The Market’s Hot, But Finding a Home Feels Like the Hunger Games
By John Womeldorf, Mr. Williamsburg
Every year, some of the sharpest minds in real estate gather at Old Dominion University’s Hampton Roads Real Estate Market Review and Forecast to analyze trends, predict the future, and—let’s be honest—confirm what many of us in the industry already know: the Hampton Roads housing market does what it wants.
While much of the country is experiencing the worst residential real estate market in 30 years, ODU’s Market Review made it clear that Hampton Roads is bucking national trends, thanks to federal contracts, the port, tourism, and expanding medical and healthcare services. So, while other markets struggle, ours keeps moving—albeit with some serious challenges for both buyers and sellers.
But let’s get into the real story: there are more real estate agents than there are homes for sale. According to ODU’s report, Hampton Roads has over 9,000 agents competing for just under 4,000 listings. That means for every available home, there are more than two agents ready to fight over it. So, while buyers are battling it out in multiple-offer showdowns, realtors are just trying to find a seat at the table.
For Sellers: Congratulations, You’re Holding the Golden Ticket
According to the ODU Market Review, home prices in Hampton Roads jumped 6.5% last year, bringing the average resale price to $391,477. And if you were expecting a price dip, think again—inventory is so low that there simply isn’t enough product on the market to drive prices down.
The luxury market? Absolutely booming. ODU’s report highlighted that homes selling above $1 million increased by 231% since 2019. In 2024 alone, over 550 luxury homes closed, with one topping $12 million.
But here’s the catch: most homeowners aren’t selling. According to ODU’s findings, 80% of mortgage holders have an interest rate below 5%, meaning there’s little incentive to sell and take on a higher payment. This “rate lock” effect is keeping would-be sellers sitting tight, making it even harder for buyers to find a home.
For Buyers: Welcome to the Ultimate Real Estate Gauntlet
If you’re looking to buy in Hampton Roads, you might feel like you’re in The Hunger Games—dodging competition, scrambling to get an offer accepted, and praying you don’t lose out by a few thousand dollars.
ODU’s Market Review made it clear that buyers are facing an uphill battle. The number of existing home sales has dropped by 37% since 2021, and new construction isn’t picking up the slack. New home sales fell by 26% between 2021 and 2024, with the average new home price staying just under $500,000.
The silver lining? Interest rates are trending down. After hitting 8% last year, the ODU report predicts they could dip closer to 5% by the end of 2025. But here’s the reality—when that happens, competition will surge. All the buyers who have been waiting for lower rates will flood the market, making things even more competitive.
What’s Next for 2025? ODU’s Forecast
The Hampton Roads Real Estate Market Review and Forecast had one clear takeaway: demand is sky-high, and supply just can’t keep up. Even with potential interest rate relief, the fact remains that we’ve undersupplied the market for five years straight.
So what does that mean?
• For sellers: If you’re thinking about listing, you’re in a prime position. There’s very little competition, and prices remain strong.
• For buyers: Be prepared to act fast. Get pre-approved, stay flexible, and work with an agent who knows the market inside and out (I happen to know one!).
One thing’s for sure—whether you’re buying or selling, ODU’s report shows that Hampton Roads isn’t slowing down anytime soon. If you need help navigating this unique market, let’s talk—before your dream home disappears.
John Womeldorf
