Recent home buyers face greatest risk of foreclosure
The nationwide subprime mortgage crisis has reached the Rockbridge area.
Declining home values will largely affect those
who have purchased a home in the past two years, at the peak of the
housing frenzy, according to Darryl Magee at Stonewall Country
Properties. Despite a growing population of retirees and two universities, which usually provide some
insulation from national trends, the number of foreclosures this year
will be up dramatically, Magee predicts. Sales will be affected too, he said. Shenandoah normally sells 300-350 homes in a year;
right now, there are 500 getting cold on the market. Until that overhang
of unsold homes is finally worked off, prices will continue to sink as a
low demand falls short of the oversupply. Mary Childs has the story.
Produced by Washington and Lee journalism students.
Lead supervisor: Prof. Brian Richardson
Reporting supervisors:
Technical supervisor: Michael Todd