Northern Virginia Regional Market Trends & Statistics
Please note that the graphs and videos shown on this page are updated monthly.
Graphs are updated monthly on or about the 10th of each month.
A new video is available on or about the 20th of each month.
HOW MUCH INVENTORY IS THERE?
The real estate market is really all about “Supply and Demand”, so to understand the market the first question is: How much inventory is there? In other words, how many homes are currently being marketed for sale in our area?
This chart gives you the 5 year historical data on inventory levels in our Northern Virginia area:
PRICING TRENDS & FACTORS:
When inventory is high, prices will inevitably have to fall so that inventory can be re-balanced. This is what you see in 2007-2009. Remember, too, when looking at that data, that the “First Time Home Buyer” tax credit programs were in place for parts of 2008-2010 offering financial tax incentives for those purchasing their first homes. These programs did stimulate the “starter home” market substantially. This meant that the lower priced homes were selling more rapidly and those were a significant portion of the sales during that time, pulling down the “median” sales price statistics. That program helped to re-balance our inventory levels. Notice that availability patterns (number of available homes on the market – as shown above) return to a somewhat predictable pattern by 2010. One can’t help, however, to notice a moderate reduction in availability of homes in 2011 compared to 2010, and a significant reduction in availability of homes in 2012. In the end, supply and demand – and the balance or imbalance of these factors – is what drives pricing changes; which is well demonstrated by comparing the “supply” chart above and the pricing chart below. Reduction in supply = increase in prices.
This chart shows you the 5 year historical data on median sales prices within our Northern Virginia area:
ARE SELLERS GETTING THEIR PRICE?
Sellers need to know how much negotiation buyers are generally expecting in the market…. and Buyers need to know if low ball offers are getting accepted. While every transaction is individual, this chart gives us a big picture answer to that question. In the chart below, you can see the 5 year historical averages in our region for the percentage of selling price to original list price.
If you’re interested in hearing the latest available statistics, and market indicators in our region, you won’t want to miss this video, and be sure to check back after the 20th of the month to get the next update.
When you’re looking for a REALTOR that knows the market,
you can trust Vicky Chrisner.