Investing in Henry County, Virginia

Henry County is located in southern Virginia along the North Carolina border, anchored by the Martinsville-Henry County area. The independent city of Martinsville is surrounded by Henry County (an enclave) and functions as the primary services/employment hub for many residents. Wikipedia

Major communities investors commonly underwrite include:

  • Ridgeway (town)
  • Larger census-designated places such as Bassett, Collinsville, Fieldale, and Laurel Park (among others) Wikipedia

Investors are attracted to Henry County for several compelling reasons. The county offers some of the most affordable real estate in Virginia, with median home values significantly below state and national averages, creating opportunities for ultra-low entry points ideal for cash-flow investors. Henry County’s location provides excellent transportation connectivity via US Highway 220 and proximity to Interstate 77 (20 miles) and Interstate 81 (50 miles), positioning it within reach of major markets including Roanoke, Greensboro-Winston-Salem, NC, and the Research Triangle.

The presence of SOVAH Health – Martinsville, a 220-bed acute-care hospital employing over 700 people as the largest employer in the City of Martinsville, creates healthcare-related rental demand. Patrick & Henry Community College serves approximately 2,000-2,300 students, generating consistent student housing demand and workforce training for local employers. The county has a rich furniture manufacturing heritage, with Bassett Furniture Industries (founded 1902) maintaining headquarters and manufacturing operations employing hundreds.

The cost of living is 10% below the national average, making it attractive for both tenants and retirees. Martinsville Speedway, a NASCAR short track hosting two Cup Series races annually, brings significant tourism and racing industry presence to the area. The county is part of the Appalachian Regional Commission service area, positioning it for economic development incentives and assistance.

Population & Demographic Overview

  • Current population (July 1, 2024 est.): 49,385 Census.gov
  • Median household income (2019–2023, in 2023 dollars): $48,445 Census.gov

The median age is 47.9 years, considerably older than both the state median of 38.8 years and the national median of 38.7 years, making it one of Virginia’s older counties. Approximately 22.3% of residents are under 18, while a significant portion is approaching or in retirement age.

Racial Demographics: Henry County is 67.9% White (Non-Hispanic), 22.3% Black or African American (Non-Hispanic), 6.7% Hispanic or Latino, with the remaining population comprising other racial groups. The county has a rich multicultural heritage reflecting its textile and furniture manufacturing history.

Commuting Patterns: The mean travel time to work is 24.6 minutes, with many residents commuting to nearby employment centers in Roanoke, Greensboro-Winston-Salem, or within the Martinsville area.

Housing Characteristics: Approximately 73.1% of housing units are owner-occupied, while 26.9% are rental properties, indicating a predominantly homeownership market. However, approximately 46.4% of households in the broader Martinsville-Henry County area are renter-occupied in some submarkets, particularly near Patrick & Henry Community College.

Educational Attainment: Patrick & Henry Community College awards approximately 600 degrees annually, with popular programs including Liberal Arts & Sciences (39.5%), Welding Technology (8.17%), and other technical and career studies certificates.

Tenant Demographics: Primary tenant profiles include healthcare professionals employed at SOVAH Health – Martinsville, Patrick & Henry Community College students and faculty, manufacturing and industrial workers (furniture, textiles, advanced manufacturing), young families seeking affordable housing, retirees on fixed incomes, NASCAR and motorsports industry workers, and workforce renters employed in retail, services, and hospitality sectors.

Rental Market & Long-Term Rental Potential

Conservative underwriting benchmarks (HUD Fair Market Rents, FY 2025 – Henry County nonmetro):

Market “street rent” snapshot (Martinsville rental trend page):

  • 2-bedroom: about $914/mo
  • 3-bedroom: about $1,165/mo Zillow

Typical monthly rent range (low → high, investor band):

  • 2BR: roughly $850–$1,000 depending on condition/location (use FMR as a floor/anchor; confirm with active comps) Hud User+1
  • 3BR: roughly $1,000–$1,250 depending on neighborhood, rehab level, and property type Hud User+1

Primary Rent Drivers:

  • SOVAH Health – Martinsville (220 beds, 700+ employees, 100+ physicians) creating healthcare professional rental demand
  • Patrick & Henry Community College enrollment (2,000-2,300 students) generating student housing demand
  • Bassett Furniture Industries headquarters and manufacturing employing hundreds
  • Manufacturing sector including furniture, textiles, and advanced manufacturing facilities
  • Motorsports industry presence from Martinsville Speedway (NASCAR races bringing tourism and temporary workers)
  • Retail and service sector employment
  • Commuters to Roanoke (45 miles) and Greensboro-Winston-Salem area seeking affordability
  • Cost of living 10% below national average attracting tenants seeking affordable options
  • Retirees relocating for affordable living
  • Limited new construction creating demand pressure on existing rental stock

Common Tenant Profile: The typical renter includes healthcare workers from SOVAH Health, community college students and faculty, manufacturing employees, young professionals and families seeking affordable housing, retirees on fixed incomes, motorsports industry workers, and service sector employees. With a 1.3% vacancy rate, the market indicates undersupply relative to demand, creating favorable conditions for landlords.

Fix-and-Flip & Value-Add Opportunities

Pricing + liquidity indicators (recent public snapshots):

  • Zillow average home value (Henry County): about $137,047 (down 5.7% year-over-year; Zillow also notes homes go pending in ~28 days) Zillow
  • Redfin median sale price: about $186,750 (Feb 2025) Redfin
  • Days on Market (DOM): about 70 days (Feb 2025) Redfin

Investor-focused takeaways (value-add lens):

  • Henry County can support cosmetic-to-light rehab when you buy well below retail due to condition (dated interiors, deferred maintenance) and renovate to the local “move-in-ready” standard. Zillow+1
  • County-level DOM suggests flips can be viable but should be underwritten with realistic holding time and conservative ARVs—especially outside the most liquid pockets. Redfin

Underwriting focus

  • Entry price points (margin matters more in smaller markets)
  • Renovation scope matched to local comps (avoid over-improving)
  • Exit liquidity by micro-area (Martinsville-adjacent vs. more rural pockets)

Local Economy & Employment Base

Henry County’s rental stability and resale confidence are supported by a mix of healthcare, education, manufacturing, and services employers.

Major employers / anchors (examples):

  • Sovah Health – Martinsville (healthcare; “over 700” employees noted by the hospital) Sovah Health
  • Henry County Public Schools (large K-12 employer base listed by regional economic development) Martinsville Economic Development
  • Manufacturing employers in the area (example: Eastman listed among major employers by the regional economic development site) Martinsville Economic Development
  • Additional employer categories noted include call centers/back office operations (examples listed include Faneuil, ICF International, Young Williams PC) Martinsville Economic Development

Why Invest in Henry County?

  • Ultra-Affordable Entry Points – Median home values $98,878-$199,000, among Virginia’s lowest, with distressed properties available under $75K
  • Extreme Cash Flow Potential – Very low acquisition costs relative to rents create opportunities for strong percentage returns
  • Healthcare Employment Anchor – SOVAH Health employs 700+ workers, providing stable high-wage employment resistant to economic cycles
  • Community College Demand – Patrick & Henry Community College’s 2,000+ students create consistent student housing demand
  • Tight Rental Market – 1.3% vacancy rate with waiting lists indicates strong undersupply of quality rental housing
  • Manufacturing Heritage – Bassett Furniture Industries (founded 1902) and ongoing manufacturing presence provide employment base
  • NASCAR & Motorsports – Martinsville Speedway brings tourism, motorsports industry, and temporary housing demand
  • Below-Average Cost of Living – 10% below national average makes market attractive to tenants seeking affordability
  • Improving Economics – Median household income increased 10.9% in one year ($43,694 to $48,445), indicating positive trajectory
  • Fiber Optic Infrastructure – Mid-Atlantic Broadband’s network supports business attraction and remote work opportunities
  • Strategic Location – Proximity to Roanoke (45 miles), Greensboro-Winston-Salem, and access to I-77/I-81 corridors
  • Appalachian Regional Commission Benefits – Access to economic development grants and technical assistance for distressed areas
  • Limited Competition – Small market with modest investor activity creates opportunities for diligent investors

Buying or Selling Property in Henry County?

JND Real Estate Group, LLC works with local and out-of-state investors looking to buy discounted properties in Henry County, Virginia. If you are searching for off-market deals, long-term rental properties, or fix-and-flip opportunities, contact us today to learn more.

Contact Information:

Janice Shearin – 252-326-1197
Dwight Cox – (919) 944-7248

jdrealestategroup@yahoo.com

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Important Investment Disclosure

The information provided on this page is for general informational purposes only and is not intended to be financial, legal, tax, or investment advice. All market data, population statistics, rental estimates, pricing information, and other metrics are derived from third-party sources believed to be reliable; however, JND Real Estate Group, LLC makes no representations or warranties as to the accuracy, completeness, or timeliness of such information. Real estate markets are subject to change, and conditions may vary by property, neighborhood, and time. Investors are strongly encouraged to conduct their own independent due diligence, verify all data independently, and consult with licensed professionals prior to making any investment decision. JND Real Estate Group, LLC assumes no liability for investment decisions made based on the information presented on this website.