LEXINGTON, Ky. (LEX 18) — At the start of the year, home prices were up nine percent compared to last year, according to Redfin. A recent post from Fayette County PVA sparked even more discussion.
Fayette County Property Valuation Administrator David O'Neill posted the statistic on Facebook, saying that only two new houses in Lexington were built, marketed and sold in 2024 for less than $250,000.
Lexington Councilmember Whitney Baxter is fighting to address the issue.
"We're fighting an uphill battle," Baxter said.
Baxter talked to a developer shortly after the PVA post.
"He was taken off guard that it was even a possibility that a house could've been built for that amount of money. He said anything under $300,000 is really really difficult right now," Baxter said.
Fayette PVA added that new houses have been built at a rate of only about 500 per year for the past fifteen years.
Baxter became a realtor thirteen years ago because she wanted people to own homes. Recently, however, that's becoming more difficult.
"When you live in a community that can't accommodate its population, it's disheartening, and you want to do anything that you can to help meet that need and educate the public," she said.
According to Fayette PVA, demand for houses in Lexington remains increasingly robust. The median sale price for new construction is $430,000.
"Since 2017 they said there's gonna be a shortage of new construction for $250,000...under $25,000 for the rest of our lives," Bob Sophiea said.
Team leader of New Home Collective, Sophiea's first thought when he heard Fayette PVA's post led to a question: who's trying to buy a new construction home under $250,000 in Lexington?
His second thought?
"I was looking around to the other counties to see what's available under $250,000, new construction wise," Sophiea said.
As for Whitney's take on the big picture of affordable housing?
"It's really important for the city to put money in our affordable housing trust fund," Baxter said.
According to Baxter, it's to nurture programs and projects and meet a huge need in the Lexington community.
