Richmond real estate questions, answered

Richmond Real Estate Questions, Answered

These are the questions I get asked most by Richmond-area buyers and sellers, answered plainly. Figures come from Central Virginia Regional MLS and are updated quarterly. I'm Steve Davis, a REALTOR® with River Fox Realty in Richmond, Virginia. If your question isn't here, ask me directly.

What is the housing market like in Richmond, Virginia?

As of August 2026, the median single-family sale price in the Richmond metro area was $450,000, up 3.7% year over year, with single-family homes going under contract in a median of 22 days. Condos and townhomes ran $379,370 and 46 days. Single-family supply sits at 1.8 months, which keeps well-priced, well-prepared homes moving quickly while overpriced ones sit. Source: Central Virginia Regional MLS, covering Chesterfield, Hanover, Henrico and Richmond City.

Is Richmond a good place to buy a home?

Richmond remains more attainable than the Washington, D.C., Northern Virginia and Charlotte markets while offering a comparable range of jobs, healthcare and universities. The trade-off is a tight resale supply, so buyers generally need financing lined up before they start touring. Whether it is right for you depends on your budget, your commute and how long you plan to stay.

Do I need a real estate agent to buy a home in Virginia?

No, Virginia does not require it. What it does require, since August 2024, is a written buyer representation agreement before an agent tours homes with you. Buying without an agent means you negotiate directly with the listing agent, who represents the seller's interests, and you handle inspection negotiations, contingency deadlines and contract terms yourself.

What are property taxes like in the Richmond area?

Each locality sets its own real estate tax rate, so the same house costs a different amount to hold depending on which side of a county line it sits on. The city of Richmond, Chesterfield, Henrico and Hanover counties all publish current rates on their finance or assessor websites. Virginia also levies an annual personal property tax on vehicles at the local level, which surprises many new residents.

What is the difference between buying in Richmond city and the surrounding counties?

They are separate taxing and service jurisdictions. Each sets its own real estate tax rate, utility providers, trash and water service, and permitting rules. City lots tend to be smaller with older housing stock; county inventory skews newer with more land. Ask about the specific locality's tax rates and services before you narrow a search, because holding costs on an identical house can differ meaningfully across a county line.

What is earnest money, and how much is typical in Virginia?

Earnest money is a deposit you make when your offer is accepted, held in escrow and credited toward your costs at closing. In the Richmond area it commonly runs about 1% of the purchase price, though it is negotiable and a larger deposit can strengthen a competitive offer. If you terminate within a contingency the contract allows, it is generally refundable.

What is an escalation clause, and are they used in Richmond?

An escalation clause says your offer automatically increases over competing offers by a set increment, up to a cap you choose. They appear in Richmond on homes expected to draw multiple offers. They are useful but not free: they reveal your ceiling, some listing agents will not accept them, and they do nothing about appraisal risk. Whether one helps depends on the specific property.

Can I back out of a contract in Virginia after the home inspection?

It depends on what your contract says. If you negotiated a home inspection contingency, you generally have a defined window to review the report and either request repairs, renegotiate, or terminate and recover your earnest money. Once that window closes, your options narrow sharply. This is one of the terms worth protecting even in a competitive offer.

What is a CMA, and how is it different from an online estimate?

A comparative market analysis is an agent's valuation built from recent closed sales of genuinely comparable homes near yours, adjusted for condition, updates, lot and concessions. An automated online estimate is an algorithm working from public records; it cannot see your kitchen or your roof. On unusual or recently updated homes, the two can differ substantially.

How do I choose a real estate agent in Richmond?

Ask how many transactions they closed in the last twelve months and in which areas, ask them to walk you through their pricing method rather than just quote you a number, and ask who answers the phone when you call. Read reviews for what clients say about communication under stress, not just the outcome. Then pick the person whose answers you actually trust.

About the author

Steve Davis is a REALTOR® with River Fox Realty in Richmond, Virginia, and a Richmond native. He represents buyers and sellers across Richmond and the Chesterfield and Henrico county areas, and is a member of the Richmond LGBTQ+ Chamber of Commerce. Reach him at 804-787-0636 or steve@riverfoxrealty.com.

Market figures: Central Virginia Regional MLS Local Market Update, August 2026. Last updated September 2026. Equal Housing Opportunity.