Living RVA Blog

Buyers Are Doing the Math

Price is only one part of what it costs to buy a house. The average rate for a 30-year fixed mortgage reached 6.76% on September 10, compared with 6.35% a year earlier, according to Freddie Mac. Higher rates increase the monthly payment and reduce how much house a buyer can afford.

Insurance adds another expense. A September 2026 analysis from Intercontinental Exchange (ICE) found that the average single-family homeowner with a mortgage now pays $209 per month for property insurance nationally - nearly 80% more than at the beginning of 2020.

Property insurance costs rose 8.7% during the past year. Insurance now accounts for 9.6% of the average monthly mortgage payment among the homeowners ICE studied. Add property taxes, utilities, maintenance and repairs, and buyers have plenty to consider beyond the asking price.

That changes how they look at a house. A roof nearing the end of its useful life isn't simply something to deal with someday. It represents another expense. So does an aging HVAC system, a moisture problem in the crawl space or an electrical issue that needs professional attention.

When buyers have several homes to choose from, those expenses become part of the comparison.

Getting an Offer Is Only the Beginning

Virginia's latest housing data reveals another issue sellers shouldn't overlook: getting a house under contract doesn't guarantee it will reach closing.

n August, 34% of Virginia REALTORS® responding to a monthly survey said they had dealt with at least one pending sale that failed to close. That was the highest percentage since Virginia REALTORS® began tracking the question in March 2024.

The most commonly reported reason over time? Problems discovered during the home inspection. 

Virginia REALTORS® says inspection issues have consistently topped the list of reasons reported for failed pending sales. Other reasons include buyers failing to receive final mortgage approval, problems selling an existing home and title issues.

An inspection problem doesn't automatically end a sale. Depending on the contract and the problem, buyers and sellers can negotiate repairs, credits or other solutions. But a problem discovered after the house is under contract puts the seller in a different position than a problem addressed before the house goes on the market.

What Does an Inspector Look For?

A home inspection isn't about whether your kitchen is dated or your wall color is fashionable. Inspectors examine the visible and accessible parts of the home for defects, deterioration and safety concerns. Virginia REALTORS® identifies roofs, electrical systems, plumbing, foundations, HVAC systems and water damage among the problems that surface during inspections.

If selling your home is on the horizon, take a critical look at these areas before listing:

Roof, Exterior and Drainage

• Roof condition, flashing, gutters and downspouts

• Siding, trim, decks, porches, railings and steps

• Drainage around the foundation

Water, Moisture and Foundation

• Plumbing leaks and water stains

• Damp basements or crawl spaces

• Mold, standing water or signs of water intrusion

• Foundation cracks or movement

Electrical and Safety

• Outlets, switches and visible wiring

• Electrical panels and breakers

• Loose railings, trip hazards and other safety concerns

• Smoke and carbon-monoxide alarms

Heating, Cooling and Plumbing

• HVAC condition and maintenance

• Water heater condition

• Faucets, drains, toilets and visible piping

• Signs of corrosion or leakage

Windows, Doors and Interior Condition

• Windows and doors that do not operate properly

• Damaged flooring, walls or ceilings

• Loose fixtures, deteriorated caulk and other signs of deferred maintenance

You don't need to turn an older house into a new one before putting it on the market. An older roof, furnace or water heater isn't automatically a problem simply because of its age. Know its condition. Keep records of maintenance and professional service. Have questionable areas evaluated. Fix active problems.

What Does This Mean for Your Home's Value?

Virginia's housing market hasn't stopped appreciating. July's median sales price was still higher than it was a year earlier. What has changed is the amount of competition for the buyer's attention. More inventory gives buyers choices. Mortgage rates limit purchasing power. Insurance, taxes and other ownership expenses add to the monthly cost. And inspection problems introduce expenses buyers have to consider on top of everything else.

That puts the condition of the home into the financial equation. A buyer comparing two similarly priced houses isn't only deciding which one has the nicer kitchen. They're also considering which house needs a new roof, which has an HVAC system that's been maintained, which has signs of water intrusion and which appears ready to own without a list of immediate projects.

For sellers, maintenance becomes part of protecting the value they've built in the home.

Thinking About Selling in the Next Year or Two?

Don't wait until you're preparing listing photos to find out what needs attention. Walk through your house now. Look at it as a buyer would. Catch up on deferred maintenance. Have concerns evaluated by qualified professionals. Keep receipts and service records for work you've completed.

That doesn't mean replacing every older component or remodeling rooms simply because styles have changed. Focus first on condition, maintenance and safety. You still have a valuable asset as the statewide median home continues to sell for more than it did a year ago. But the market is giving buyers more choices - and a well-maintained home gives them fewer reasons to choose another one.

Sources:

• Virginia REALTORS® — Key Takeaways: July 2026 Virginia Home Sales Report

• Virginia REALTORS® — REALTOR® Confidence Survey Results: August 26, 2026–September 1, 2026

• Virginia REALTORS® — From Pending to Closing: Why Housing Deals Fall Through

• Freddie Mac — Primary Mortgage Market Survey: Mortgage Rates

• ICE Mortgage Technology — September 2026 Mortgage Monitor